Business
Nyasa Cooperative calls for more investment in ASMs
November 30, -0001 / Gloria Mbwana
A grouping of Artisanal and Small-scale Miners (ASMs) the Nyasa Mining Cooperative Society says there is a need for Malawi to heavily invest in the ASMs in order for the country’s gemstone products to compete on the world market.
In an interview with Mining & Trade Review, the Cooperative’s chairperson Percy Maleta who was part of a team of local ASMs who showcased products at the International Expo in Beijing, China says as Malawian ASMs, they have learnt that through adequate government and private sector investment in the subsector, other countries have modernized ASMs operations.
“Our friends this side of the world have modernized their mining industry including their ASMs while we are stuck with pick and shovel. Malawi needs heavy investment in the ASMs in order to beat international marketing,” he says.
He explains that through the expo, local ASMs have learnt how business should be done to develop the ASMs subsector in Malawi, which is very young.
“Rubbing shoulders with experienced professionals in the sector was a big boost,” he says.
Maleta proposes that when opportunities arise for local ASMs to showcase at such high profile events, government should help them to secure pavilions by subsidizing costs just as governments of neighbouring countries do in order to enable their ASMs market their products at trade fairs and gemstones exhibitions.
He says: “Zambia is always represented by its ASMs at all major gemstone shows.”
“Zambian ASMs have over four pavilions at the biggest gemstone show in the world in Tucson, Arizona heavily supported by their government.”
“We hope Malawi government will be doing the same.”
Maleta says it is very unfortunate that Malawi has not been aggressive in promoting the ASM subsector as compared to its peers though the country is on the ladder as the next destination for gemstone suppliers owing to more discoveries of minerals that continue to be made.
He, therefore, says it is imperative for Malawi to use this discovery of various minerals to its advantage.
Maleta says: “For Malawi to improve as a country to ensure that our gemstones are competitive on the market and the ASMs subsector adequately contributes to the economy, there is a need for change across the board.”
“Government should seriously consider making ASMs licensing flexible so that we are able to get licenses in all mining hot spots”.
“This can also be done at district level unlike the set up now where a prospective miner has to travel all the way from Marka in Nsanje to Blantyre or Nthalire in Chitipa to Mzuzu just to pay a MK2000.00 for a prospecting license for the district.”
He says such centralization in issuing small-scale mining licenses is encouraging the citizenry to do illegal mining.
Maleta also urges government to invest in ASMs training in mining, value addition and marketing and clearly spell out ASMs subsector support in the national budget just as the case is with small scale agriculture where there are extension workers, lots of subsidies and support.
The Beljing Expo ran from September 15 to 30, and the cooperative was also expected to exhibit at another show in USA from September 5 to 12 under the sponsorship of Export Development Fund (EDF). However, the USA show has been rescheduled to February 1 to 8, 2020.
“We are very thankful to EDF and this is what we are looking forward to as ASMs. We ask other organization to emulate as it is through participating at these shows that we gain the exposure and strike deals,” he says.
In the USA, the cooperative will showcase Malawi gemstones in Tucson, Arizona and at Malawi Embassy in Washington DC.
Maleta says: “It is my wish that the Ministers, Principal Secretaries, and Directors of the following Ministries; Natural Resources, Energy and Mining: Industry, Trade and Tourism; Finance and Economic Planning; and Foreign Affairs and International Cooperation at least attend one gemstone show to really appreciate and understand what other countries that are excelling in the ASM subsector are doing.”
“Let them start with the biggest gemstone and mineral show in the world in Tucson Arizona next year in January or February. These decision makers need exposure just like the miners and we trust that this request reaches them in good faith.”
At the Beljing Expo, Maleta says the Cooperative met five prospective buyers of Malawi gemstones and other minerals and prospects are high that it will sign contracts with the buyers.
He, therefore, describes Nyasa’s attendance of the Expo as a success but says since marketing of Malawi gemstones and minerals is an ongoing exercise, the Cooperative will be attending all major international exhibitions.
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