Increased investment bodes well for Zambia

Zambia, internationally recognised as a major producer of copper and cobalt, is expected to see increased investment in the coming year as efforts continue to rebuild the copper industry following the global economic meltdown. Chris Chiinda, director of Cee Cee Freight & Suppliers, whose services range from customs clearing and forwarding to transport logistics throughout South, East and Central Africa, is upbeat about 2011. “The falling copper prices and falling production due to declining world copper demand and the recent global economic crisis definitely highlighted the country’s reliance on copper, but then the price of copper in 2010 rose to almost $9000 per ton, which was very good for Zambia.” Chiinda says the privatisation process launched in the country has already led to a significant inflow of investment to the mining sector, and a reversal of fortunes is confidently predicted for the copper mining industry for 2011. “With more investments expected to rebuild the copper industry, and corresponding production increases of refined copper, Zambia could once again become one of the top four or five copper producers,” he says. “The mining industry has faced challenges such as slow global economic growth, labour unrest, transportation difficulties – including port congestion – and shortages of spare parts, raw materials and fuel, but despite this there are immense opportunities.” From the exploration for new mineral deposits to gemstone cutting and polishing, the establishment of new mines and even reclaiming copper from slug tailing dumps, Zambia’s mining sector remains one of opportunity, he added.