One of Zimbabwe’s remaining diamond miners has suspended production under the weight of a global slump in gem prices, whose effects are rippling across international markets, the Zimbabwe Independent can exclusively reveal.
Anjin Investments — which only revived operations in 2017 after being caught up in a government crackdown that shut down seven operators — has been forced to place its mine under care and maintenance.
The company has also terminated contracts for a significant number of workers who had gone unpaid for seven months, according to confidential documents seen by the Independent.
The layoffs followed the company’s failure to raise sufficient funding from a recent diamond sale that had been earmarked to clear the salary backlog. Documents show that Anjin has been battling severe financial strain.
Minutes of a January meeting between management and workers revealed revenue pressures dominated discussions, with management outlining the company’s financial position following its latest diamond sale.
“The chairperson highlighted that though it was previously promised that all the outstanding US dollar salaries were going to be paid in full after the sale of diamonds, it did not go as planned since the sale did not yield the expected amount,” the minutes read.
“After factoring in 11% royalties and 30% liquidation to ZiG (Zimbabwe Gold), the company was left with approximately US$1,5 million to cover salaries and other pressing obligations,” the minutes added.
Zimbabwe’s exporters, including diamond miners, are required to surrender 30% of their foreign currency earnings to authorities, which is converted to ZiG at the prevailing official exchange rate.
- Corruption Watch: The army must act fast
- Corruption Watch: The army must act fast
- TelOne FC challenge Sheasham promotion
- Marange diamonds leakage exposed
Keep Reading
“As a result, all employees were only paid two months’ salaries.”
Documents also show the board resolved to place the mine under care and maintenance to reduce costs, while production remains halted.
“The company has suspended operations, as evidenced by the fact that there is no production. It was noted that the company is now on care and maintenance, whereby there will be a stand-down on all production operations,” the minutes state.
“It was highlighted that the board had recommended the non-renewal of contracts for all redundant workers so that the company will not continue to incur a huge wage bill while there is no production taking place.
“All redundant employees will be informed through written notices concerning the non-renewal of their contracts during the stand-down. Those employees will be given first preference for re-engagement if the shareholders decide to resume operations.”
The headwinds battering Anjin are not isolated.
Frustrations have been roiling the global diamond industry — now experiencing its most difficult period in more than a decade — amid falling prices, weak consumer demand and intensifying competition from synthetic stones.
Natural diamond prices have been under sustained pressure since mid-2024. Industry benchmarks show rough diamond prices have dropped sharply from the post-pandemic boom of 2021 and 2022, when pent-up consumer demand in the United States and Europe drove a surge in jewellery sales.
Since then, however, the market has cooled dramatically. Diamonds, typically considered luxury goods, are among the first items consumers cut back on when economic conditions tighten.
Major producers have responded by curbing supply.
Global mining giant De Beers has repeatedly cut prices at its rough diamond sales and reduced supply in an attempt to stabilise the market, while Russia’s Alrosa, another major producer, has slowed shipments to prevent further price declines.
The slump has had particularly severe consequences for countries that depend heavily on diamond revenues. Botswana, the world’s leading diamond producer by value, has been among the hardest hit. Diamonds account for roughly a third of Botswana’s government revenues and about 80% of its export earnings.
Gaborone has responded by accelerating efforts to diversify its economy beyond diamonds.
The Independent reported in July that the government-controlled Zimbabwe Consolidated Diamond Company had launched a retrenchment exercise to avert collapse following the brutal global price crash.
It was estimated at the time that up to 400 workers could lose jobs at the firm as it attempted to ride out the turbulence.
The company faced difficult choices between retaining workers and safeguarding a strategic state enterprise threatened by falling revenues.
The downturn has been partly driven by geopolitical tensions since 2022, while a global supply glut has also weakened demand for diamonds.
At Anjin, the Independent learnt this week that in a letter addressed to one of the affected workers, mine manager Prosper Munemo confirmed the suspension of operations.
“This serves as a formal notification that your employment contract with the company will not be renewed with effect from February 22, 2026,” Munemo wrote.
“The company is not operating due to major operational challenges, making it impossible to continue. You are further notified that the non-renewal was agreed by both the executive management of the company and the works council during a meeting held at the mine on February 4, 2026.”
The terminations reduced Anjin’s workforce of about 400 employees to a skeletal staff complement tasked with maintaining the mine during the shutdown.
Munemo also informed workers that the company’s shareholders were expected to convene an urgent meeting to deliberate on the crisis and the issue of outstanding salaries.
“I am giving you an update on the resolution that we passed during the works council meeting held on February 4, (2026),” Munemo wrote in a message to workers last week.
“The shareholders are set to meet next week. It is during that meeting that they will deliberate on our outstanding salaries,” he said.
Anjin management confirmed the developments this week saying “falling rough diamond prices on the international market, mainly attributable to the coming on to the market of synthetic diamonds which are cheaper (were among the factors)”.
“The ore body is over 60 metres from the surface. Interaction of these factors have made operations of the company unprofitable over the past two years. A shareholders meeting has been scheduled before the end of the month of March to deliberate on the turnaround strategy. The company would require additional areas for exploration and mining and the amount required can only be determined by the geological characteristics of the concessions to be made available to the company,” management said, noting that salaries in ZiG were up-to-date, but nine months of US dollar pay was still outstanding,” management noted.
Anjin is a joint venture between Chinese construction giant Anhui Foreign Economic Construction Company and Matt Bronze, an investment vehicle linked to the Zimbabwean military. The company was first licensed to mine diamonds in the Chiadzwa fields in 2010.
In 2016, the government halted operations of seven diamond mining companies in the area, including Anjin, citing allegations that the firms were understating production and depriving the country of significant revenue. The company later resumed operations in 2017.
