Copper output in Zambia, the continent’s biggest producer after Democratic Republic of Congo, may climb to a record this year as prices rebound, Finance Minister Felix Mutati said.
Mr Mutati said production is set to exceed 800,000 metric tons which would beat the record 790,007 tons reached in 2013.
Output of the metal rose to 8 percent to 770,586 tons last year, boosted by higher output from a First Quantum Minerals Ltd.
While copper surged 18 percent last year after three straight annual declines and has exceeded $6,000 a ton 3 times since November. 11, it’s still 42 percent off a February 2011 record.
[pullquote]We have told mining companies: We are not touching you[/pullquote]
“It’s looking cheerful, the price is close to $6,000 — at that level, most of the mines in Zambia are making money, they are beyond breakeven,” Mr Mutati said.
“We are maintaining stability in the mining-sector tax regime, it’s in the law,” he said. “We have told mining companies: ‘We are not touching you,’ and the mines are clear in their minds about this.”
In December, Zambia abandoned plans to charge a 7.5 percent levy on imported copper concentrates from January 1.
come 2018 GRZ will be servicing another Euro bond or getting a loan from somewhere for something. ?
Twalya again ba Kopala.
In the meantime on the verandah HH crying in his Chibwantu! Bama, nebo bama………
I thought Copper is now NOT the major contributor of the economic output in Zambia.
There is a not as much of a demand of Copper as there was say 3 decades ago. There is a good amount of substitutes and like Chile ( which produced way more than Zambia, its economy has waned).
The prices of Copper has dropped ( a case of demand and supply), I am not trying to educate the masses here, what I am saying is, WHY not concentrate on Agriculture, where the raw natural resources have always been there?
Declining copper prices and a severe electricity shortage are the biggest reasons for Zambia’s tumble. Its currency, the kwacha;s currency has coincided with the the time Copper prices curved downwards- I remember Reading an article.
I remember Glencore is among the companies that have…
No miracles here, concentrate on Victoria falls and Agriculture and the bottom line is, the Mines will never be resurrected because of the outward LOW demand worldwide.
You do nothing on external factors
I speak as someone with several academic qualifications
Thanks
BB2014,16
PF jerabos are happy too. Its a good year for Lusambo.
Look at Lungu, looking all intently as if there is anything actually going on in that brain.
Probably drunk and just fighting to stay awake!
Nubian princess.
Stop lusting over HH, he is taken, try mike mulongoti.
THE MOST EFFECTIVE WAY FOR ZAMBIA (SECOND LARGEST PRODUCER OF COPPER IN AFRICA AFTER CONGO) TO CONTROL OR CONTRIBUTE TO CONTROL COPPER OR ANY METAL PRICES ON THE INTERNATIONAL METAL MARKET IS TO EXPEDITE THE DEVELOPMENT OF MANUFACTURING INDUSTRIES INVOLVING ALL METALS. THE MANUFACTURE OF CONSUMABLE AND OTHER ROTABLE GOODS FROM OUR METALS WOULD EFFECTIVELY CONTROL THE COPPER PRICES INCLUDING OTHER METALS. THIS IS BECAUSE MOST OF PRODUCED METALS WOULD BE CONSUMED LOCALLY BY THOSE INDUSTRIES, LEAVING A SHORTAGE ON THE METAL MARKET AND THEREFORE PUSHING THE METAL PRICES UP. AS LONG AS WE JUST REMAIN EXPORTERS OF METALS AND NOT MANUFACTURED METAL GOODS WE WILL NEVER INFLUENCE THE SUPPLY AND DEMAND ON THE MARKET TO POSITIVELY, AFFECT PRICES.
White men in London are fixing our copper prices, they have never even seen copper in their lifetime. This is economic slavery of the worst kind
Well you can form you own market …but what do you talk about at the AU useless issues like ICC; no one has the courage to even table such apart from a 90 year old man Bob. You were offered help 9 years ago by the Norwegians but you refused …they only country that will benefit is Switzerland and its country men do not even know where Zambia is.
Who cares about this even if the price climbs to Mount Kilimanjaro…we will still get crumbs in comparison and the crumbs we get will be used on over priced roads with a life span of a snail in salt.
I agree with Mushota, the reason for the $6000 price is due the strike at Escondida mine in chile, the largest producer of the commodity, stick to agriculture not claiming the glory were u have done no work at all.
@ Gawa and Mushota: You speak as though this country has supported agriculture at any time? I refute. look, if I want to export tons of maize (from my own sweat) to Katanga in the DRC, which has a yawning market, I’m harassed but jerabos can export copper with ease. So not until we depolitisize agriculture and see it as business, the dream to make agriculture the back bone of our economy will remain rhetoric.
AND??
LIKE THE FEIRA ROAD THE COPPER MONEY WILL GO INTO TASILA’S PURSE, WHILST ZAMBIANS WILL CONTINUE TO WALLOW WAIST DEEP IN SH1T!!
By the end of Chakolwa’s stolen term, Esther, & Tasila will be as wealthy as Eduardo Do Santos’ daughter.
NOT BAD FOR A PAIR OF KOMBONI MARKETEERS HEH!!
One wonders WHAT WE CAN DO TO WEAN THE MINDS OF ZAMBIA POLITICIANS FROM THIS COPPER and START THINKING ABOUT A SUSTAINABLE WAY TO RUN OUR ECONOMY! ALWAYS singing and waiting for miracles on copper! WHERE IS THE LONG TERM STRATEGY TO END OUR DEPENDENCE ON IT? WHERE IS A WELL ARTICULATED and COMMUNICATED PLAN TO DEVELOP OR AGRIC,TOURISM,MANUFACTURING and OTHER SECTORS TO BECOME MAJOR FOREX EARNERS TO REPLACE COPPER?? OOOH MY GOD!
The roads in the copperbelt will still be dilapidated as the mine trucks carry the investors copper to and fro.Zambians will still gain nothing from the holes being dug in their land. Slavery continues
The owners of these mines are just mentioning copper. What about Cobalt, Gold Silver, Uranium and many other very valuable minerals? In 1977, 78,79 there was NDOLA COPPER REFINERY, C/W PM plant and Slimes plant, which some politicians decided to do away with where some of the mentioned minerals were extracted from the copper and shipped to Ndola Airport under security in “sealed” vehicles. Why are we just mentioning Copper?
@8 Pink Toe, VERY GOOD OBSERVATION! But THIS IS WHAT HAPPENS WHEN CORRUPTION TAKES OVER IN EVERYTHING OUR “LEADERS” DO. For them FOCUS IS ON COPPER for them to INTIMIDATE MINES AND COLLECT BRIBES, NO THINKS ABOUT SETTING UP EVEN THE PRECIOUS METALS PLANT as we add under KK. They say LUMWANA is a COPPER/GOLD and URANANIUM MINE- how many times do we hear them report on gold and uranium recoveries from their mining processes.
Why is the finance minister celebrating instead of the owners of capital in the mines? This is purely hypocritical, he is trying hard to show us that his policy on mining is working just after a month of the budget coming into effect. Hold your fire, we know the real reason the copper price has gone up, Trump. A lot of investors are scared of what he might do and of course events in Chile are also contributing factors. But even if the price reaches 10000 US dollars, so what? The benefactors are somewhere in Europe and India while you wallow in poverty with you fake policies.
I don’t know if ever our copper benefits our country.
I find it funny to see zambians languishing in poverty when we daily boast of the metal; does it mean that we lack capacity to handle our economy! Very interesting question to ask.
We only remain with the change while foreigners take all value of our copper.
If this doesn’t work for us why not just stop mining?
It’s mockery to talk about copper.
Yes indeed has copper stopped having by products eg gold as it was in the Kunda days!
Zambians need to follow-up such stories and prove who is stealing the metals
The prices can soar to unprecedented levels and it won’t have an impact on a country that has sold decades of potential profits away for the benefit of a few.
I cant believe anything from Mutati. I will wait for economists from abroad
That is all the kaponyas dream about, getting money without having to do any work…
They are failing to produce wealth for the country any other ways. Only borrowing or copper. Chapwa.
The price of copper and other metals has gone up as predicted by international economists recently. But we still have a problem, ….our share of our resource is too small to make a difference to our economy and this needs fixing by ‘touching’ the mines. This is the future resource of our children and cannot be allowed to continue providing more to Western gov’ts than we get.
Patriot Abroad, I support you. The other reason is that Tramp’s coming has caused this as he is expected to “rebuild” USA. Demand for copper will definitely be high and so the price is expected to reach as high as $8000 by 2018/19
It’s time ZRA should adjust the taxes rates not 6 percent ?lates talk about proper percentages which can help to daiverstfai the economy.To be able to buy equipment for driving the country.As you can see Uk on break ziti? Usa American first so why not Zambian first .in Uk we are paying 20 percent so how do you come up with that 6 percent that should be taken as a joke .
That Nathan Nyirenda guy who sung mwemakufi needs to be honoured. The song is asking whether its the colour of our skin which is a problem because we have everything. I find it surprising that people are still talking about Copper. Export of maize and mealie meal to a yawning DRC market is called smuggling….unbelievable
Funny that the government tries to take credit for things it has nothing to do with! Copper prices are global and the only way our resources will benefit our country is if we are allowed to stand up to the international companies that steal them from us, avoid paying tax and then claim they are not doing it! The giant is trying to stand up for this but the government lead by weak Lungu is not helping. We need to be stronger than he can ever be if we are going to improve the country.
We have always talked about turning copper into finished and saleable products, but I am yet to hear what these finished products would be.
We should say for example:
1. Produce Copper Sulfate and cobalt sulfate reagent grade to be exported.
2. We should produce cobalt isotopes that can be used in manufacture of rechargeable batteries.
3. Copper sulfate for pest control in Agriculture.
4. Use our metallic copper to produce bronze that can be exported.
The list is endless.
May i suggest to the our dear ZNBC producers to bring this guy Mutati on TV and question him seriously on the road map to diversification from copper. I mean, these people are like ‘children’,when all things are well,they forget about tomorrow and how volatile the copper prices are. when the copper prices abound like this they forget completely that what determines those prices are external forces they will never control. and when there is a downward spiral in prices, they remember there are other sectors. Unfortunately mere talk without investing in those sectors will never bring any dividends for the country.
I would like to see even the president being held accountable to his speeches on diversification. It should not be mere talk. Its time we demanded this from our government.
GRZ needs to come up with a deliberate policy to facilitate controlled export of maize by small scale businesses to DRC where demand is high. Do stop people from trading. We need those dollars to supplement the economically unstable copper foreign exchange earnings. Ba GRZ be very serious with agriculture, its our only way out. This country has struggled with copper for the past 50 years plus, but still poor. Change (diversify), or you will kill people with hunger!!!!!!!!!!!!!