Suspension of 10pc export duty on copper concentrates to undermine economic sovereignty

By NATION REPORTER

THE Operation Save MMD has condemned the UPND government’s decision to suspend the export duty on copper concentrate for three months, warning that the move will promote foreign exploitation while undermining the country’s economic sovereignty.
In a statement issued by Operation Save MMD spokesperson, Mulondiwa Muyoche, the party has described the decision as a serious policy misstep that will sacrifice long-term national interests in favour of foreign mining corporations.
The decision to suspend the 10 percent export duty on copper concentrates was announced by the Finance and National Planning Minister Dr. Situmbeko Musokotwane.
“Zambia is richly endowed with minerals, yet the benefits of these resources have not meaningfully improved the lives of ordinary citizens,” Mr. Muyoche said.
“Suspending this tax sends the wrong message: that Zambia is willing to prioritize corporate mining profits over national development.”
He argued that export taxes on raw or semi-processed minerals were globally accepted mechanisms for promoting local value addition, strengthening domestic revenue collection, and ensuring that countries like Zambia benefit more meaningfully from their natural wealth.
“Dr. Musokotwane’s claim that the suspension will boost local mineral processing is both contradictory and misleading. If the goal is value addition, then unprocessed exports should be discouraged – not incentivised,” Mr Muyoche explained.
He warned that removing the tax effectively rewards companies that refuse to invest in local smelting and refining capacity, thereby stalling industrial development and job creation.
The MMD also criticised the manner in which the policy change was decided, saying it lacked transparency and public involvement.
“The fact that the decision was made in consultation with mining companies, and not with Zambians, the true owners of the country’s mineral wealth—demonstrates a growing disconnect between the government and the people it claims to serve.”
The party further expressed concern that the suspension appeared to be part of a broader push to appease international financiers, particularly the International Monetary Fund (IMF), noting that the policy shift coincided with the promise of an additional US$145 million from the institution.
“What our country needs are predictable, transparent, and citizen-centered policies – not short-term fiscal maneuvers driven by international pressure,” said Mr. Muyoche.
He called on Parliament to urgently intervene and reverse the decision, asserting that lawmakers have a constitutional duty to protect the country’s resources and ensure they benefit the people first.
“Zambia’s minerals must benefit Zambians first. The MMD – under whose leadership the mining sector was liberalised but responsibly regulated – stands firmly against any policy that facilitates the externalization of wealth and the internalisation of poverty.”
The party has urged all citizens, civil society, and opposition stakeholders to remain vigilant and demand greater accountability in how Zambia’s natural resources are managed.