Govt concerned some mines are declaring losses

Mines and Mineral Resources Minister, Richard Musukwa says government is concerned that some mining firms have continued to declare losses making it difficult for government to get the required taxes.

The Minister said this in Lusaka when he officiated at the three day 7th Zambia Alternative Mining Indaba held under the theme “Our Natural Resources, Our Future! Extraction for all, putting local communities first”.

Mr. Musukwa says President Edgar Lungu during a recent meeting with the mining firms made it categorical to them that it does not make business sense for them to continue operating when they are making losses.

He says there is need for the mining companies to be truthful and declare the correct profits so that the government can get its share in terms of taxes.

He adds that the mismatch that exists between the mining companies and the local communities where they operate is also worrying and needs to be addressed.

Mr Musukwa has further stated that government will not entertain mining companies that are not applying the safety regulations as enshrined in the mining charter.

Speaking earlier, Civil Society for Poverty Reduction (CSPR) Executive Director, Patrick Nshindano observed the need for the nation to manage well the mineral resource so as to reduce the high poverty levels.

And Zambia Alternative Mining Indaba (ZAMI) Chairperson, Chibubi Palo said the indaba is a platform to share ideas on what has worked and not worked in the mining sector in ensuring that local communities benefit from their natural resources.

The Indaba is organized by the Center for Trade Policy and Development (CTPD) and the Church Mother bodies.