Chamber of Mines welcomes approval of changes to mining tax

The Zambia Chamber of Mines has welcomed the decision by Cabinet to approve changes to the 2015 Mineral Royalty Tax regime.

In a statement issued to QFM News today, the Chamber says the step signifies the commitment by the Zambian government towards resolving some of the challenges the mining industry is facing in the country.

It says the decision by Cabinet which follows President Edgar Lungu’s directive to the Ministers of Finance and Mines to make changes to the mining tax regime is commendable.

The Chamber of Mines says they will now await the details of the proposed changes to the 2015 Mineral Royalty Tax and remains optimistic that the industry’s recommendations are considered.

It adds that it is pleased that State House is making strides to practicing an open door policy with the mining industry, a move that will strengthen transparency and accountability, including deepening consultation and dialogue between Government the mines.

The Chamber states that over half of Zambia’s copper production is currently in a loss making position following a consistent decline in the international copper price.

It adds that at the current copper price, nine out of eleven of the country’s large mines both open cast and underground are uneconomic.