Zambia is planning a law to compel mining companies to give local suppliers a fair share of procurement, Mines Minister Richard Musukwa.
Mr. Musukwa said during a meeting with suppliers, labour unions and other officials on the proposed law that the mining sector imported goods and services worth over $4 billion annually but only 10 percent went to local suppliers.
“This is a mismatch and must not be entertained. Mining investors have been a darling of foreign contractors,” Musukwa said, without specifying how much the government wanted miners to procure locally.
Zambia’s comparative advantage is in mining, and the government needs to ensure that the mining industry drives growth in other sectors of the economy, Mr. Musukwa added.