Zimbabwe Diamond mining must benefit communities

STAKEHOLDERS in the mining industry have challenged the government to properly account for revenue from the diamond mining sector and ensure that it benefited the poor.Delegates at a Corporate Social Responsibility (CSR) workshop organised by the Southern Africa Resource Watch (SARW) and Zimbabwe Environmental Lawyers Association (Zela) accused the government of failing to plough back revenue from diamond proceeds in community development.

The diamond mining industry has been in pandemonium since the country’s gems have been shunned by major international buyers after being classified as “blood diamonds”.

This has created a lucrative black market which makes it difficult to ascertain the real revenue derived from diamonds. Zanu PF’s Simbaneuta Mudarikwa asked what was being done by the Zimbabwe Mining Development Corporation and other state enterprises to develop communities they operate in.

“We would want to know who is getting money and benefiting from the industries in mining,” Mudarikwa asked. “What is being done to develop communities? For instance we have the ZMDC, what is it doing? Where is the money going to? We should not only question what foreign-owned companies are doing. Even those state-owned companies have a role to play. What are they doing?”

Political interference and preferential treatment of some mining companies have also contributed to the problems in the mining sector.

The situation at Chiadzwa, the main hub of diamond mining in Zimbabwe, remains dire.

Villagers have accused Chinese company Anjin of depriving them of employment opportunities by favouring Zanu PF supporters.

Some delegates called for more robust research to craft a proper framework for the diamond industry.

Chairperson of the Portfolio Committee on Mines and Energy, Edward Chindori-Chininga, said there was need for proper research on empowerment so that people have a better understanding of where “we are going”.

“There should be accountability. Some mining companies tend to take social responsibility as a charitable measure and not as a responsibility. They think that whatever they have done or given communities it’s a blessing. The community must benefit,” said Chindori-Chininga.

He said something was “terribly wrong” in the 10% shares that are for the community trusts.

Chindori-Chininga said: “CSO needs to do some work on what structures need to be put in place to develop the community. Guidelines should be clearer on community structures in terms of who is involved, what is the structure like, what is the role of the DA (District Administrator) and under what regulations will it operate.”

SARW director Claude Kabemba said it was important that the government promoted its own people first.

“Our local companies are worse than foreign companies. If we can’t set best standards for ourselves, how do we expect foreign companies to perform?” he asked.

Research on Zimbabwe’s mining sector in Marange and Mutoko by Zela paints a worrying picture.

“A few lucky villagers were however employed by the mining company although a lot more are bitter that they have been sidelined, particularly by Anjin that is alleged to be bringing workers in from China, hence depriving local youths of employment opportunities,” Zela reports. “There are also reports that mining companies should employ people from Zanu PF structures only.”

The environmental lawyers expressed concern over lack of support from the judicial system to protect the rights of the Chiadzwa people who were forcibly relocated without being given compensation except for the US$1 000 disturbance allowance to each family and groceries for a month.
They argued that cases filed at the courts were not treated as urgent issues.

“The effect of the court decision is that since the court failed to uphold the need to promote class action, it gave a licence to the state and mining companies to relocate the families without making any consultations or reaching agreement with the people, except using coercion and threats,” Zela said.

“It also means the judiciary is not ready to protect the economic, social and cultural rights of communities against the operations of mining companies and government. The courts that are expected to be the last bastion in protecting the environmental, economic, social and cultural rights of the poor are failing to do so.”