Mopani Mines has commended the PF government for not succumbing to pressure to reintroduce the controversial mining windfall tax.
Mopani Board Chairman Emmanuel Mutati says the current tax regime in the mining sector is favourable enough to encourage fresh investments.
Mr. Mutati explained that the 2008 mining windfall tax would have destroyed the mining sector if it had not been repealed.
The Board Chairman said the structure of the windfall tax was damaging to the sector as it was imposed on gross revenue unlike other countries to tax net profits.
He said the current mining variable and the mineral loyalty taxes are adequate to encourage the growth of the mining sector.
Mr. Mutati was speaking today when he met selected Business Journalists at Mopani’s new corporate offices on Alick Nkhata road.
He said Mopani Mine’s parent company Glencore has today invested over 2 billion US dollars in its operations in Zambia.