Sat, 21 Jan 2017 13:26:54 +0000
BY OSCAR MALIPENGA
ZAMBIA is losing close to K3 billion annually through corporate tax dodging because some mining companies have continued to take advantage of Zambia’s weak monitoring systems for various minerals extracted, Centre for Trade Policy and Development (CTPD) executive director Isaac Mwaipopo has revealed.
And the CTPD has demanded that Government should met stiff punishment on the companies that have been stealing money from Zambia through illegal
export trade and illicit financial flows.
Mr Mwaipopo was reacting to revelations in the Auditor General’s report that six mining companies had been exporting more than permitted volumes of extracted minerals.
He said the situation was unfortunate for a country like Zambia that was desperately in need of maximum revenue for local economic growth.
“In the report, it is stated that six mineral exporters actually exported 6,241,628 kilograms instead of exporting the permitted 3,402,172 kgs.
“This is 80 percent beyond what was to be exported, making Zambia to lose out on revenue,” he said.
Mr Mwaipopo said there was need to ensure that communities where the resources were extracted from adequately benefited from the resources in their communities. “We know that in many parts of our country local people mostly bear the negative burdens that come with mining-related activities, people get displaced, their sources of livelihood taken away, only a paltry few get to practically participate in the economic activities in their communities,” he said.
Mr Mwaipopo called for the full operationalization of the mineral value chain monitoring system, adding that there was need for Zambia to step up efforts around improving the monitoring of minerals extracted.
He said key among the processes that needed to be expedited was the full operationalization of the mineral output statistical evaluation system, known as the mineral value chain monitoring system, adding that it would help reduce revenue leakages.
