Mineral export earnings shoot up to US$4,7bn

Oliver Kazunga-Senior Reporter

MINERAL export earnings more than doubled to US$4,735 billion in the first nine months of the year, driven by lithium and stronger commodity prices.

This follows President Mnangagwa’s decision to ban raw mineral ore exports which earned the country less.

According to Minerals Marketing Corporation of Zimbabwe (MMCZ) general manager Dr Nomusa Moyo, the figure represents a 101,8 percent increase from US$2,347 billion recorded during the corresponding period last year, translating to an additional US$2,388 billion.

Mineral export volumes also increased by 23,4 percent, rising from 3,840 million tonnes to 4,738 million tonnes.

September alone generated US$685,03 million in mineral export sales, representing a 116,6 percent increase from the same month last year. Monthly export volumes rose 70,8 percent to about 844,063 tonnes.

Presenting the MMCZ’s mineral export sales performance at a media workshop in Masvingo yesterday, Dr Moyo said as at September 30, lithium had emerged as the country’s leading mineral revenue earner, overtaking platinum group metals (PGMs).

“Lithium, therefore, led by approximately US$430 million.

“We attribute lithium’s emergence as the leading revenue earner to the beneficiation work being driven by Government, alongside producers’ investment and operational efforts,” said Dr Moyo.

Combined sales of spodumene, petalite, and lithium sulphate amounted to an estimated US$2,159 billion, accounting for 45,6 percent of total mineral export earnings.

Meanwhile, PGMs generated about US$1,729 billion, equivalent to 36,5 percent of total sales.

Spodumene was the biggest individual contributor, generating an estimated US$1,812 billion, up 368,2 percent from the same period last year. Its average realised sales value jumped to about US$1,483 per tonne from US$387 a year earlier.

Petalite sales increased 583,3 percent to US$155,29 million, while lithium sulphate contributed US$190,52 million from an estimated 33,807 tonnes, having recorded no sales last year.

Dr Moyo said the performance highlighted the growing contribution of value addition to mineral export earnings as enunciated by President Mnangagwa’s administration.

“This demonstrates the contribution that further processing is beginning to make to export earnings.”

PGM metal sales increased 31,6 percent to an estimated US$1,63 billion, while concentrate sales rose 69,8 percent to US$465,56 million.

However, production and dispatches were affected by Zimplats’ furnace maintenance during September.

Other minerals also recorded strong growth, with high-carbon ferrochrome, chrome concentrate, steel, coke, granite, and diamonds registering increases in both value and volume.

Apart from increased beneficiation the MMCZ attributed the overall improvement to higher global commodity prices, the development of new markets, enhanced production, and intensified efforts to curb mineral leakages. For the remainder of the year, Dr Moyo said the outlook was mixed across commodities, with battery and energy-storage demand continuing to support lithium consumption, although buyers were becoming more selective.

For PGMs, platinum is expected to perform better than palladium and rhodium, with demand and prices likely to remain differentiated and volatile.

Chinese smelter requirements and restocking are expected to support chrome ore demand, although ferrochrome buying remains cautious. Regional demand for metallurgical coke is expected to remain supportive, while the rough diamond market continues to face cautious buying.

Overall, commodity prices are projected to remain above 2025 levels during the fourth quarter.

“Our priority is to support producers in reaching markets while strengthening the accountability that protects Zimbabwe’s mineral value, as well as recognising the different market conditions and operational challenges facing each mineral.”

The MMCZ will continue monitoring market demand, sales realisations, and operational constraints as producers pursue export and value-addition opportunities.

Source: Mineral export earnings shoot up to US$4,7bn – herald

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