By Thomas Chidamba

The Government set $12billion revenue target by 2023 is likely to suffer a huge blow due to the marauding Covid-19 pandemic that has ravaged the world and led business to a standstill.

The Corona Virus was first detected in China in December last year before spreading to other parts of the world where it called untold suffering.

More than 700 000 people are said to have died of the disease worldwide.

In Zimbabwe, the death toll continues to surge on a daily basis and it has now passed 90 from recorded more than 4000 cases.

The pandemic has taken a toll on businesses and individuals across the world.

Mining sector has not spared from the effects of Corona Virus.

The impact of the disease now threatens the attainment of the set 1$12billion revenue target set by government last year.

Government has set an ambitious target for the mining sector, as a key driver of the economy.

However, the Covid-19 pandemic is set to derail such plans of reviving the economy through a set revenue threshold for the mining sector.

Speaking during the MineEntra Virtual Conference, which ran under the topic: The Future of Zimbabwean Mining Industry Post Covid-19, Chamber of Mines president Ms Elizabeth Nerwande said the pandemic has crippled the mining sector in several ways.

This year’s prestigious mining extravaganza, MineEntra, could not be held physically at its usual venue at the Zimbabwe International Exhibition Centre in Bulawayo because of the Covid-19 lockdown restrictions.

The MineEntra Virtual Conference ran under the theme, Explore, Expand, Extract.

She said it will be a herculean task for the sector to reach the $12billion revenue target by 2023.

Ms Nerwande said Covid-19 pandemic posed a great challenge for the mining sector as they struggled to balance between operation and containing the spread of the virus.

“As mining industry, one of the challenges we had is that we had to play balance in light of the Covid-19, on one hand wanting to continue operations and sustain net forex inflows on the other hand.

“The lockdown on the economic activities on the back of adverse lockdown worldwide has impacted partly on the entire (mining) industry.

The supply chain has also been submerged as most companies rely on imported raw material and they had been delay in deliveries as borders were closed here and there,” she said.

Despite the adverse challenges posed by Covid-19, Ms Nerwande remains positive that, with policy consistence, mining can be the backbone of the country’s economy.

“Capital shortages has been one of the issues that have affected the mining sector.

“In spite of a slowdown, the sector remains sustainable to grow the economy. We need to keep engaging government, telling them that it ($12billion revenue target) cannot be attained as long there is policy inconsistence,” she Said.

Speaking on the same Conference, Fidelity Printers and Refiners Head of Gold Development Initiative Fund Mr Matthew Chidavaenzi said the challenges bedeviling the country will soon be a thing of the past and the mining sector will bloom again.

“Covid -19 came and it aided to an existing challenge so there is need for people to stand in these Covid-19 Challenges.

“The gold sector is supposed to be significant in attainment of the ($12billion revenue target) vision by achieving an annual of 100tonnes.

“if we are able to achieve 100 tonnes, with or without Covid-19 , then it can be achieved,” he said.

Mr Chidavaenzi said in post Covid initiatives, the country most up its production and perhaps increase more mines to meet the target.

“The country needs to increase its capacity in mines. . . We need to resuscitate and reopen unused mines. We also need to invest in exploration activities, improve to the resource definition of our sector.

“We need to formalize and capacitate small scale miners,” he said.

Mr Chidavaenzi said the attainment of the $2billion revenue target requires funding to recapitalise the sector.

“The glue that brings together all these is funding. Mining, by nature is capital intensive and requires availability of currency.

“The pre-Covid-19 position is that the industry required about a billion US dollars to reequip, finance expansion plans and also operations,” he said.