Mines unhappy with proposed new taxes, reveals MUZ

THE MAST 20th September, 2018.

THE Mineworkers Union Of Zambia says jobs will only be created if the government implements more projects in the country. And MUZ has revealed that most mining companies are not happy with the government’s proposed new taxes. MUZ president Joseph Chewe said in an interview that the government should not only focus on increasing taxes for mining companies but also create employment for Zambians through large projects such as the recently launched non-ferrous ore body by NFCA in Chambishi district.

He said having such projects would be the only way to address the high levels of unemployment.

“We need to attract more investments in the country and there has been no [large] projects in Zambia that are currently running and as a union, it is worrying. And I feel that having projects in the country is the only way that the government can create jobs as there are very high levels of unemployment,” Chewe said.

And Chewe said the government should not kill the mining industry through high taxes but should help with sustaining it. He said increasing taxes in the mining industry would lead to job losses and the cutting down of some projects. Chewe said MUZ has had interactions with mining companies who expressed unhappiness with the proposed new taxes.

He said the government should also consider that the mining companies were grappling with increased electricity tariffs and increasing taxes would affect their operations.

“The new proposed taxes need to be [considered with] extreme caution because very often when the government increases taxes, these companies usually cut jobs and stop certain projects from running. We understand that mining is important to the country but the government should look at the other [side of the] picture of sustaining it and not killing it,” said Chewe.

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