By ROGERS KALERO
THE 2022 National budget presented by Finance Minister Sityumbeko Musokotwane looks promising and it could set the stage for economic recovery and national development if it could be implemented and all sectors funded ,’’ Association of Mine Suppliers and Contractors (AMSC) President Augustine Mubanga has said.
Mr Mubanga also said, under the 2022 national budget, the ambitious quest of the ‘New Dawn’ government of meeting 3 million tonnes per annum copper production, was achievable especially if the problems and challenges facing Mopani Copper Mines (MCM) were addressed.
Mr Mubanga, however, said the view AMSC on the Mineral Royalty Tax (MRT) was that government should have started with the 50 per cent deductible and 50 per cent non-deductible for a win-win situation. Mr Mubanga has urged Members of Parliament (MP) to debate the issue of MRT critically so that the nation could get the best from it.
He said, under the arrangement of the 50 per cent deductible and 50 per cent non-deductible, when government foregoes 50 per cent of the MRT which would be deductible, it will give relief to the mines and also help them to recapitalise . Mr Mubanga was giving a view of the AMSC on the 2022 National budget which was presented by Finance Minister Situmbeko Musokotwane last week on Friday He said while government understood the challenges which the mining sector was facing, his association did not believe that the MRT was a deterrent to increasing production. “While we are all anxious to see increased production in the mining sector, but it should not be loop-sided like the 100 per cent left off in the budget. Our view AMSC on the Mineral Royalty Tax (MRT) is that government should have started with the 50 per cent deductible and 50 per cent non-deductible which would result into a win[1]win situation. However, after government has given the mines deductible of MRT, we expect the mines to be profitable, transparent , increase production so that government can get returns at the end of each period of financial year,’’ Mr Mubanga said. On Non-deductible , Mr Mubanga said government must introduce five per cent import duty on concentrates from the Democratic Republic of Congo.
Author
