THE Zimbabwe Miners Federation (ZMF) is pushing small-scale producers to deliver gold through syndicates, ensuring they qualify for the government’s 5% incentive on every 500 grammes sold.
The Ministry of Mines and Mining Development has embarked on an aggressive campaign to ensure that gold deliveries for the year reach 40 tonnes.
Fidelity Gold Refinery in March lowered the incentive threshold from 20 kilogrammes to 500 grammes, making it easier for more miners to qualify for the 5% gold delivery incentive.
“ASM (artisanal small-scale miners) produced 65% of the total 13,8 tonnes in the first quarter showing a significant delivery,” Zimbabwe Miners Federation chief executive officer Wellington Takavarasha told businessdigest.
“This trend has been going on since 2017. The average monthly delivery in the first quarter was two tonnes. The government has implemented initiatives to support ASM, including funding facilities such as the 5% gold incentive for every 20-kilogramme tranche delivered. The incentive has now been scaled down to 5% for every 500 grammes delivered, widening the bracket.”
He said small-scale miners in Zimbabwe were also taking advantage of the surge in gold prices by increasing production and deliveries.
“Small-scale miners have significantly contributed to the country’s gold output, accounting for about 65% of the national gold output. In the first quarter of 2025, gold deliveries soared by 40,6%, driven by increased mining activity, prompt payments, and strong gold prices,” Takavarasha said.
“With the current high gold prices on the international market, small-scale producers have benefited from increased production and return on investment. This has boosted their income and improved their livelihoods.”
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Gold prices have surged 40% year-to-date to over US$3 251,50 per ounce.
Should the government meet the 40-tonne target and current prices hold till year-end, gold exports could total US$4,27 billion.
“ZMF has set miners to deliver gold in syndicate associations so that they also benefit from the 5% gold incentive for every 500 grammes delivered,” Takavarasha added.
To support these small-scale miners, ZMF has lobbied for the establishment of a dedicated fund to support ASM, such as the US$40 million gold development initiative fund administered by FGR.
ZMF is also lobbying for a US$10 million facility administered by the Zimbabwe Mining Development Corporation.
“ZMF has advocated for simpler and more streamlined regulations that cater to the needs of ASM, making it easier for them to operate legally,” Takavarasha said.
He added that the federation had also promoted environmentally friendly practices among ASMs, including training programmes and access to cleaner technologies.
The ZMF chief said by addressing these challenges, the organisation aimed to support the growth and development of the ASM sector, which was crucial for Zimbabwe's economic development and poverty reduction.
