It is reported that the Mineworkers Union of Zambia may block attempts by government to bring Vale, a Brazilian mining company to operate in the country planned for this year because of its human rights record.
Mr Rayford Mbulu president of MUZ urged the government to draw lessons from the privatization of Zambia Consolidated Copper Mines, which he said had left miners still going through turmoil and torment because the process had not been consultative.
Mr Mbulu said that based on the information, government is striking investment partnership deal with Brazil and about USD 600 million is supposed to be pumped into this country’s mining operations.
He said that the union had information that Vale has got the worst human rights records in relation to investment. Much as there had been massive attraction of investment in the mining sector, the question of credibility of the investors that were being brought remained unanswered. The other question that still lingered on concerned the workers and communities’ benefits from the investment.
Mr Mbulu argued that Vale, which had employed people under the United Steel Workers in Canada had subjected its employees to serious violations.
He said that much as it was important to attract investment, it was equally important to exercise caution and ensure that consensus was established through a consultative process before settling for any one investor.
The miners’ union was of the firm belief that the Brazilian investor that would be coming into Zambia was Vale because the company was also conducting prospective processes in Mozambique and Tanzania, and it wanted to grow its presence in the southern African region.
Meanwhile the chamber of mines said mining companies are not obliged to develop infrastructure in the areas they operate but they can do community social responsibility projects on voluntary basis in order to be viewed as good citizens.
Mr Frederick Bantubonse GM of Chamber of mines said while speaking during a public discussion discussion hosted by Caritas Solwezi in conjunction with CTPD on the subject that the mining tax debate: an endless tug of war on recently said there were no such conditions requiring mining firms to build developmental structures in their areas of operation.
Mr Bantubonse said that it was not clearly stated in statutory regulations whether the mining companies had a strictly assigned role in developing areas where they worked part from their core businesses.
Recently President Banda and his Brazilian counterpart, Lula Da Silva announced that two Brazilian mining companies planned to invest about USD 600 million in the mining industry through the opening of a mine in Konkola in northern Zambia.
(Filed by Mr Kapembwa Sinkamba SteelGuru Correspondent Zambia)
