Mining industry ready to defend its interests

THE Chamber of Mines has picked out some issues that need urgent attention in the mining industry so that the vital sector continues to contribute in Namibia’s economic development.

The Chamber identified the new royalty tax, local beneficiation of mined products, transfer pricing and black economic empowerment as serious challenges that needed to be ironed out as soon as possible. The Chamber of Mines represents the mining industry, which is Namibia’s major economic sector.At the Chamber’s gala function held on Friday, the organisation’s President, Mark Dawe, said the organisation would no longer be a pushover or sit and watch while legislation that affected the industry negatively was implemented; but would instead see to it that they were consulted and involved before anything was given a go-ahead.He said the imposition of royalty taxes was detrimental to the industry, while forced local value-addition of precious minerals would not work and that transfer pricing was putting the industry’s reputation at stake.Dawe said other threats to the industry were the delays by the Ministry of Mines and Energy in processing mineral rights applications, delays by the Home and Affairs Ministry in issuing work permits, and a critical shortage of skills.According to Dawe, stakeholders in the mining industry have thoroughly discussed these issues by and the Chamber has adopted a position on them, which will be presented to the Ministries of Mines and Energy, Finance and Trade and Industry later this month.He also said the Chamber would strive to market Namibia to attract investors.”It is our task to partner our Ministry (Mines and Energy) in the effort to remove negative perceptions of Namibia as a preferred destination for exploration and investment.”But if we are going to be serious about achieving our goals of maximising investment in new mines and realising Vision 2030, we are going to be honest with our partner.We will talk loud.We will be frank and straightforward in our lobbying to see legislation that is negative for our industry removed,” said Dawe.The Chamber of Mines represents the mining industry, which is Namibia’s major economic sector.At the Chamber’s gala function held on Friday, the organisation’s President, Mark Dawe, said the organisation would no longer be a pushover or sit and watch while legislation that affected the industry negatively was implemented; but would instead see to it that they were consulted and involved before anything was given a go-ahead.He said the imposition of royalty taxes was detrimental to the industry, while forced local value-addition of precious minerals would not work and that transfer pricing was putting the industry’s reputation at stake.Dawe said other threats to the industry were the delays by the Ministry of Mines and Energy in processing mineral rights applications, delays by the Home and Affairs Ministry in issuing work permits, and a critical shortage of skills.According to Dawe, stakeholders in the mining industry have thoroughly discussed these issues by and the Chamber has adopted a position on them, which will be presented to the Ministries of Mines and Energy, Finance and Trade and Industry later this month.He also said the Chamber would strive to market Namibia to attract investors.”It is our task to partner our Ministry (Mines and Energy) in the effort to remove negative perceptions of Namibia as a preferred destination for exploration and investment.”But if we are going to be serious about achieving our goals of maximising investment in new mines and realising Vision 2030, we are going to be honest with our partner.We will talk loud.We will be frank and straightforward in our lobbying to see legislation that is negative for our industry removed,” said Dawe.