The desperate plight of the starving people of Zimbabwe

By Mail Foreign Service
Last updated at 4:02 AM on 12th March 2010

 

For us it is a saddening sight - a magnificent bull elephant struck down in his old age.

But for the starving of Zimbabwe, it was little short of a miracle.

The carcass provided a vital source of food, and hundreds of desperate villagers in the Gonarezhou National Park descended on the dead animal within minutes of its discovery.

Fallen giant: The corpse of the bull elephant lies undisturbed in deep scrubland in Gonarezhou National Park

Using machetes, axes and knives made from tin cans they set upon the six-ton carcass, which was found deep in scrubland.

Fights broke out as villagers battled to strip chunks of flesh from the animal and drag them away to feed their families.

It took just one hour and 47 minutes for the 13ft-tall elephant to be reduced to a skeleton. Every part was used for food, even the trunk and ears.

The bones of the 70-year-old animal were taken to boil for soup and within 24 hours nothing was left but a blood-stained patch of earth.

The desperate descend: Within minutes, starving villagers arrive at the carcass

Battle begins: Soon, the villagers are fighting to get the urgently-needed meat

The images are undeniably shocking. But they illustrate the terrible lengths to which Zimbabweans are forced to go just to survive under Robert Mugabe.

Yesterday, the Red Cross warned the situation in the former British colony is 'critical' with 2.17million - one in four of the population - requiring urgent food aid.

Emma Kundishora, of the Zimbabwe Red Cross Society, said: 'In some parts of the country, the food situation is as bad as many of our volunteers and staff have ever seen.'

Brutally effective: Nothing goes to waste, with the skin, trunk and ears all removed

Conditions are expected to deteriorate further this year following the collapse of agriculture caused by President Mugabe's violent seizures of thousands of white-owned farms since 2000.

Erratic rain has also damaged crops of corn. Harvests could produce just 500,000-tons this year, less than a third of the amount required to feed the nation.

Photographer David Chancellor said: 'Just after dawn a villager spotted the carcass as he passed on a bicycle.

Stripped: After less than two hours, only bones remain. Even these will later be taken

'It was in the middle of nowhere, but within 15 minutes hundreds of people had arrived from all directions.

'The women formed a ring around the elephant and the men stood inside, fighting and stabbing each other to get to the meat.'

He added: 'The meat was taken back to homes. Some was eaten immediately but most was dried on washing lines and stored to eat later.

'There were celebrations in the surrounding villages for the next two nights.'

 

Rugare Gumbo slams Mugabe

http://www.theindependent.co.zw/

Thursday, 11 March 2010 21:26

ZANU PF's new secretary for information and publicity, Rugare Gumbo, has
reportedly sharply criticised President Robert Mugabe over who the most
senior party official in the Midlands province should be as he battles to
displace bitter rival Emmerson Mnangagwa as the political titan of the
deeply-divided region.

Gumbo's unexpected criticism of Mugabe, which could trigger a fierce
backlash, during last weekend's provincial development committee meeting in
Gweru left senior party officials shocked and wondering whether their
long-serving leader's grip on the fractured movement was faltering.

The meeting was attended by Zanu PF politburo and central committee members,
MPs, councillors and civil servants.

Inside Zanu PF sources said Gumbo stuck a knife into Mugabe after a heated
debate on who between Mnangagwa and himself was the top dog in the Midlands.
It is said Gumbo dismissed Mugabe's assertion at a politburo meeting on
February 24 that Mnangagwa was the kingpin of the Midlands, saying it was
"misleading and unconstitutional".

"The debate on who is senior between Gumbo and Mnangagwa has been going on
since the announcement of the new Zanu politburo. However, the situation
boiled over last Saturday when it was openly raised," a senior party
official said. "The issue exploded and the fight intensified at the meeting
last weekend."

Mnangagwa confirmed last night that the issue was raised at the meeting, but
was quick to say there was no leadership wrangle in the province.

He said it was clear that he is the most senior member of the party in the
province as he has been active for the past 30 years.

When asked to comment on Gumbo's pronouncement that he was more senior by
virtue of Zanu PF's constitution, Mnangagwa chuckled and said: "Hakuna
zvakadaro (there is nothing like that). Why don't you go and ask Gumbo? I
can't speak on his behalf. People at the meeting said dhara harisati rafa
(the kingpin is still alive, referring to Mnangagwa)."

Sources said the dispute erupted after Mberengwa East MP Makhosini Hlongwane
demanded to know who was senior between Gumbo and Mnangagwa at the start of
the meeting which was chaired by Midlands provincial governor Jason Machaya.

"Hlongwane  asked at the beginning of the meeting who was senior between the
two. Machaya tried to blockcome at the end of the meeting under the any
other issues session. So at the end of the meeting Hlongwane asked the
question again and all hell broke loose after that," a source said.

Sources said Machaya - who supports the Zanu PF faction led by retired army
commander General Solomon Mujuru against the Mnangagwa camp - stuttered when
he tried to tackle the issue. It is said he then deferred the matter to
Mnangagwa himself.

Before Mnangagwa could defend his turf, it is said the new Zanu PF Youth
League deputy secretary Edison Chakanyuka chipped in and made a disclosure
which most provincial party officials did not know.

Sources said Chakanyuka, a Mnangagwa loyalist, told the gathering that
Mugabe had on February 24 clearly told the politburo that Mnangagwa was
senior to Gumbo after the issue had reached his attention following a
provincial coordinating meeting where it initially came up.

"Chakanyuka said the president had explained to the politburo that seniority
in the party has not changed because of the new politburo appointments. He
said it was now clear who was senior and there was loud cheering," a source
said.

However, Gumbo is said to have fought back immediately after that. Sources
said Gumbo rejected Mugabe's intervention, saying it was "misleading and
unconstitutional". They said the new Zanu PF spokesman insisted the "there
is nothing like that; the constitution is very clear".

Gumbo is said to have stated he was senior to Mnangagwa both by history and
now by hierarchy. It is said he insisted Mnangagwa was a student while he
was a senior member of the Zanu PF Dare ReChimurenga (war council) in Zambia
in the early 1970s and through his latest appointment he had just got back
his old position.

However, Mnangagwa's loyalists disagree vehemently. Although Mnangagwa was
at the University of Zambia between 1973 and 1975 when Gumbo was already a
powerful party official, he has a long history in Zanu PF which was much
more illustrious than that of his rival, they say.

Mnangagwa's adherents say their principal participated in all the liberation
movements from NDP to Zapu and then Zanu. He trained as a soldier and was
imprisoned for a long time during the struggle. Mnangagwa, they say, escaped
the hangman's noose due to being "under-age" when he was arrested for
allegedly blowing up a locomotive in Masvingo. He was jailed for 10 years.

"If you look at their record Mnangagwa is clearly senior," a party official
said. "Gumbo is better off raising the constitutional argument because he
has a case there."

In terms of the party hierarchy reflected in politburo rankings, Gumbo is
number 10 while Mnangagwa is number 11. Mugabe told the politburo last month
that this did not mean anything when it comes to precedence in the party.

Sources said the problem had initially surfaced during a provincial
coordinating meeting in Gweru which came after the new politburo was
announced on February 12. It is understood at the meeting Machaya had stoked
the fires by allowing Gumbo to close the proceedings in his capacity as "the
most senior official in the province".

That did not go down well with the Mnangagwa camp which was said to have
discussed the issue afterwards and resolved that their leader should meet
Mugabe to sort out the matter, sources said.

This led to Mugabe's intervention in the politburo where he stated that
Mnangagwa was the most senior party official in Midlands. Mugabe's remarks
were said to have left most of the politburo members, who belong to the
Mujuru faction, dismayed and angry.

Gumbo, backed by the Mujuru faction, especially within his province which is
now deeply divided between the two camps, has however been holding his
ground.

Dumisani Muleya

Ownership wrangle breaks out over Telecel stake

http://www.theindependent.co.zw/

Thursday, 11 March 2010 21:21

AN ownership tussle has split Telecel Zimbabwe after Telecel International
announced plans to sell a disputed 11% stake in the country's second largest
mobile phone operator, the Zimbabwe Independent can reveal.

Sources close to the developments say Telecel International, the largest
shareholder in the company, last month indicated that it would sell the 11%
stake in its local operation in line with laws restricting foreigners from
owning a controlling shareholding in local telecoms companies.

Telecel International currently owns 60% of Telecel Zimbabwe but the High
Court ordered in 2007 that the foreign group should sell 11% to locals.

Pressure from empowerment laws has also forced the international company to
consider selling the disputed stake. Empowerment minister Saviour Kasukuwere
recently gazetted indigenisation regulations compelling foreigners to sell
51% stakes to blacks.

It emerged this week that the local shareholders are now at each other's
throats over the stake amid indications that Jane Mutasa, a businesswoman
currently in custody for allegedly defrauding Telecel, and fugitive
businessman James Makamba are both reportedly eyeing the stake.

Sources say although Telecel International prefers selling to Makamba, he is
a fugitive after he left the country in August 2005 in the wake of
externalisation charges. In order for the transactation to get through,
Makamba would need regulatory approval. Sources say his legal problems will
stand in the way of the deal.

The fugitive businessman, according to the same sources, is a favourite for
the Egyptian-controlled mobile telecoms company. Makamba engineered the
partnership and holds more shares in the company than Mutasa.

But Mutasa, according to the same sources, has not been a favourite for the
shares after she clashed with executives from the parent company earlier
this year.

If Makamba's bid for the stake fails, Mutasa stands to get the shares,
sources said.

She is also said to have pre-emptive rights for the shares.

"Makamba is fighting Mutasa for the stake," one of the sources said.
"Telecel told workers and other shareholders of its plans to sell its
 stake."

Telecel is also considering a share option scheme. That way the shares would
be in the hands of a neutral party, sources say.

The deportation of Telecel managing director Aimable Mpore last month is
said to have also increased the tension between Mutasa, Makamba and Telecel
International executives.

Mutasa clashed with Telecel on the appointment of Mpore by the majority
shareholder late last year.
Mpore was deported last month for breaching immigration rules.

Mutasa wrote a strongly worded letter to Telecel International rebuking the
group for the senior appointments at the company.

She wrote: "Zimbabwe is a proud nation of highly experienced and very
qualified people such as engineers and accountants. On what basis does
Telecel recruit foreigners and award them top positions?

"Why are foreigners being paid more than local managers who have endured and
suffered in this country?

This is serious discrimination.. In his address to workers, Mpore indicated
that his mandate was to fire existing managers. To my surprise as acting
chairperson of the board, Mpore wanted to do everything in secrecy at
Telecel without my knowledge."

She alleged Telecel International was "syphoning millions of dollars" from
the company.

"To my surprise millions of dollars are being siphoned from the country to
other economies. This money generated locally must circulate in Zimbabwe and
promote black empowerment.  I am bitter to see how these foreigners are
working together in cahoots externalising funds generated in Zimbabwe. I
want to see that money supporting local people who supported the network
during difficult times," read the letter in our possession.

Mutasa also argued that Telecel's competitor - Econet Wireless - run by
Zimbabweans was "very successful".

She also attacked her partners - Telecel International - for not awarding
contracts to local companies and opting to engage foreigners.

Mutasa added: "The (Telecel) licence clearly indicated that we must empower
our local people both men and women. The licence is wholly owned by
Zimbabweans. Why is it foreigners want to manage our company? Is this the
reason Telecel is reluctant to cede the 11% shareholding? It was agreed that
an 11% stake was to be handed over two years ago. This is now three years.
We want our 11% back so that we can manage ourselves."

In another letter to Mpore, her lawyers reminded the former Telecel boss
that she was a director and shareholder and would not hesitate to resort to
disciplinary measures.

Documents show that at least US$15 million is said to have been paid to
foreign suppliers from various companies. She also queried why contracts
were awarded to foreigners when local companies could have been engaged.

"Mobi Factory from Egypt was given US$750 000 to supply towers. Why should
we buy towers all the way from Egypt?" asked Mutasa.

Mutasa says Telecel Zimbabwe paid US$3 million to foreign companies for the
purchase of handsets.
She added: "Money was transferred to foreign companies. This was done
without going to tender. No single local was contracted to supply handsets."

Telecel appointed Alexander Kiel, a German national, as chief financial
officer, Tobias Jack, a Tanzanian as chief technical officer, Mohamed
Abdeinkang an Egyptian as a rollout director, and Anwar Soussa, another
Egyptian, as head of the commercial department.

Mutasa argues there are suitably qualified Zimbabweans for these jobs.
She was this week denied bail on fraud charges.

Biti allocates IMF funds

http://www.theindependent.co.zw/

Thursday, 11 March 2010 20:44

FINANCE minister Tendai Biti yesterday distributed US$100 million -- part of
the International Monetary Fund's US$510 million Special Drawing Rights
(SDR) funds received last year for infrastructural development.

The money, Biti said, would be applied to priority arrears, particularly
infrastructure. He said the identified infrastructure was consistent with
government thrust of "reconstruction with equitable growth and stability".

"Given that this money has to be repaid at a later stage, it is critical
that utilisation be targeted at projects that will generate economic
activity and give returns to the country," said Biti addressing the
beneficiaries.

Government has so far accessed US$50 million of the SDR which has been
directed towards procurement of inputs for the 2009/10 agricultural season.

Of the US$100 million, US$10 million was allocated to rehabilitate Hwange
Thermal Power station and US$10,28 million for roads dualisation and bridge
construction.

Biti allocated US$18,1 million for the rehabilitation of Harare
International Airport taxiways and construction of JM Nkomo airport in
Bulawayo.

Rehabilitation of rail infrastructure was allocated US$5,02 million. water
and sanitation projects for Bulawayo received US$6,47 million, Marondera
US$2,9 million and Mutoko US$180 000.

Mtshabezi Water Augmentation Project was given US$7 million, ICT
infrastructure US$6,2 million and broadcasting transmission network US$800
000.

Housing was allocated US$10 million, completion of the central registry
US$3,5 million, and US$19,54 was allocated for productive sector lines of
credit.

The Infrastructure Development Bank of Zimbabwe was appointed by Biti to
facilitate disbursements as well as recoveries.

"The bank will also in conjunction with my ministry and line ministries,
monitor and evaluate the impact of our interventions," Biti said.

"Therefore, we have taken a stance that each implementing agency as well as
beneficiary institutions be responsible for the repayment of the loans."

Biti said the projects were selected on the basis of their ability to
re-invigorate the economy and hence the need for them to be completed within
time and money.

"Based on our experience with other projects last year, the resources will
not be disbursed to beneficiary institutions, rather payments will be made
directly to supplier of goods and services," Biti said.

Paul Nyakazeya

Political violence victim narrates ordeal to PM

http://www.theindependent.co.zw/

Thursday, 11 March 2010 20:30

THE anguish on Prime Minister Morgan Tsvangirai's face said it all as
Rutendo Munengami, wife of Glen View North MP Fani Munengami, yesterday
narrated her ordeal when 10 armed men beat her up and raped her in her home.

Seven years might appear like a long time to many people, but for Munengami
memories are still fresh and she will never forget the cold winter night in
June 2003 when 10 men dressed in army fatigues broke into her house.

With tears streaming down her cheeks, Munengami courageously tells a packed
Book Café in Harare of politically motivated violence on women.

"One of the assailants lifted a gift that I had received from my husband and
asked if he was good in bed which I did not answer," she said. "He went
ahead to ask "sei wakashamira mutengesi" (Why are you dressed in skimpy
clothes for a sellout). He walked towards me and lifted my nightdress and
raped me once in front of my nine-month-old son."

One of her adductors, she claimed, was late Zanu PF minister without
portfolio Elliot Manyika who died in a car crash two years ago.

After being abducted she said the assailants grabbed her baby boy and
attempted to throw him on the floor before another abducted MDC supporter
saved the innocent child from the near fatal experience.
For the alleged abductors she said, they feared that the nine-month infant
would "sell-out just like his father".

"My life has been affected tremendously by this ordeal," said Munengami who
is now an expectant mother.

"I cannot do heavy jobs like carry heavy items. After I got pregnant with
the third child, I was told that I could not have any more children as my
back cannot sustain it."

For supporting the MDC, she spent three weeks in hospital nursing injuries
suffered in the attack.

Her traumatic experience typifies the story of many women and other
unfortunate people that have witnessed the ugly face of Zimbabwe's
politically motivated violence since Independence.

Launching a book documenting politically motivated violence titled Cries
from Goromonzi: Inside Zimbabwe's Torture Chambers, Tsvangirai said Zimbabwe
needs transitional justice before next year's elections.

The book recounts horrifying stories of 23 prominent and ordinary people
detailing an orgy of violence targeted at suspected and known MDC-T
supporters.

The MDC claims that over 300 people lost their lives during the bloody 2008
presidential election runoff that saw President Robert Mugabe clawing back
to power after losing the first poll to Tsvangirai.

The book also names and shames state apparatchiks who through commission or
omission fuelled persecution of dissenting voices.

Yesterday's book launch coincided with the date of Tsvangirai's brutal
assault three years ago during the bloody Save Zimbabwe campaign at Harare
Grounds, Highfield.

Police allegedly brutalised the MDC leader leaving him with bloodshot eyes,
a swollen face and arms fractured. Sekai Holland and National Constitutional
Assembly chairman Lovemore Madhuku were also assaulted during the peaceful
protest. Apart from Tsvangirai's injuries, the fateful day also claimed the
two youthful lives of Gift Tandare and another MDC-T supporter who were
fatally shot.

This incident put Zimbabwe's human rights record in the spotlight and
subsequently led to an emergency Sadc meeting in Dar-es-Salaam where former
South African president Thabo Mbeki was appointed mediator between the
country's political rivals.

"It is very difficult to come to an occasion of this nature and not feel the
cries of the victims," Tsvangirai said.

"On hindsight how do you confront a regime that does not see any benefits of
negotiation? How do you confront a dictator using democratic means? How do
you balance the cries of victims and the fear of persecution? There cannot
be real forgiveness without justice. National healing has not begun meeting
the needs of the people."

The inclusive government formed a national healing organ to pacify the
animosity between rival political parties.

"The progress that we have made in the last 12 months is being challenged by
unilateral decisions.For the moment we are not progressing at the pace any
one of us would choose. But we are progressing anyway.We make two steps
forward and three steps back," Tsvangirai added

Since 1980, the report stated, the country has been "plagued" by serious
levels of human rights violations perpetrated by security agents that
include the police, army and intelligence service and other "private bodies"
linked to Zanu PF led by President Robert Mugabe.

It further alleges that there are several "secret detention camps" across
the country which are directly controlled by the state. An example of such a
camp, according to the report, is a prison complex at Goromonzi Police Camp,
40 km east of the capital.

Human Rights lawyer Dewa Mavhinga in his foreword to the book attributed the
country's political violence to a culture of impunity.

"The widespread use of torture to achieve political and other ends, as the
report highlights, is entrenched by a prevailing culture of impunity --
protection of perpetrators of torture by the state," he said.

He said there was no commitment by the inclusive government to bring
perpetrators of political violence to book.

"The inclusive government must rise up to the challenge of dismantling the
machinery and infrastructure of torture and end impunity," Mavhinga said.

The report recommends that government should criminalise acts of torture and
also advises the state to educate "law enforcement personnel, civil or
military, medical personnel, public officials, and other persons who may be
involved in the custody, interrogation or treatment of any individuals
subjected to any form of arrest, detention or imprisonment about the
prohibition of torture".

Cries from Goromonzi also challenges the yet to be formed Zimbabwe Human
Rights Commission to uphold basic human rights. It also recommends
government to have "effective remedy" for persons whose rights have been
violated in accordance with the International Covenant on Civil Rights.

Justice minister Patrick Chinamasa recently told delegates at the High-Level
of the 13th Session of the Human Rights Council in Geneva that government is
committed to upholding human rights.  He however said: "Focus should not be
only on civil and political rights at the expense or exclusion of social,
economic and cultural rights.

"The Zimbabwe government is concerned about traditional bias in favour of
civil and political rights. Issues of racism, racial discrimination
xenophobia and related intolerance and the right to development should be
given their rightful place on the table".

Bernard Mpofu
 

State’s case more fiction than fact –– Bennett lawyer

http://www.theindependent.co.zw/

Thursday, 11 March 2010 20:28

THE defence lawyer in the trial of MDC-T treasurer Roy Bennett told the High
Court this week that placing the deputy Agriculture minister-designate on
his defence would be a complete “miscarriage of justice” as the state has
failed to provide evidence to support allegations it raised in its summary.

Beatrice Mtetwa said this applying for discharge of Bennett after the state
led by Attorney-General (AG) Johannes Tomana closed its case on Monday.

It is the state’s case that arms dealer Peter Michael Hitschmann supplied
Bennett with arms of war to destabilise the country and that he implicated
the MDC-T treasurer through e-mails and confessions to state security agents
of the plot to commit treason.

Mtetwa argued that Bennett was being charged under a repealed section of the
Public Order and Security Act (Posa) and that the alleged offences took
place well after the section was outlawed.

She said evidence given by police Superintendent James Makone was “really
more fiction than fact” and should be thrown out.

Mtetwa said Makone failed to prove that Hitschmann had a Mozambican bank
account in which Bennett deposited money for procurement of firearms as
alleged by the state.

She said Makone confirmed under cross examination that Hitschmann had no
such bank account.

Mtetwa said the state had not led any evidence showing that there ever was a
transfer from the accused to Hitschmann.

In her submissions, Mtetwa asked the court why the state had not called
“these nameless and faceless individuals who kept Hitschmann for the first
night (of his arrest) and caused him to write various statements”.

She also indicated that the majority of the 106 weapons found in Hitschmann’s
possession were not known to him and the state did not dispute that.

The state in the summary also alleged that Hitschmann and Bennett planned to
destroy water canon trucks using grenades and detonators but according to
the defence no attempt was made to prove this.

“My Lord should ask how that allegation came to summary when not a single
witness was called to testify on those allegations,” Mtetwa said.

She described the e-mails “as a bundle of worthless pieces of paper which do
not constitute electronic mail and which do not implicate the accused”.

She also argued that the state could not prove the authenticity of the
e-mails.

“These shortcomings are clear for his discharge,” she said.

In response Tomana said the defence submissions lacked merit arguing that
the allegations were admissible and made from competent statements. Justice
Chinembiri Bhunu will deliver his ruling on Mtetwa’s application on March
31.

l Meanwhile, human rights lawyers have written to Tomana demanding an
explanation as to why eight police officers who brutally assaulted and
permanently maimed a man while torturing him, are walking free four months
after the offence was reported in Kadoma.

The letter submitted to the AG’s office last week by Mbidzo, Muchadehama &
Makoni legal practitioners requested that Tomana take action.

According to a medical report done at Parirenyatwa hospital in December last
year, Jeremiah Mugadzahweta suffered a “chronic subdural haematoma” –– a
condition induced by a blow with a blunt object on the head that resulted in
a midline shift to the right of his brain.

Mugadzahweta, owner of a security company contracted by a mining company
CAFAX gold mine to provide security, also suffered “multiple petechial
hemorrhages on the buttocks and blisters” caused by a blunt instrument.

The doctor indicated that there was a possibility of permanent disability.

The lawyers’ letter said none of the accused who are identified by name ––
Detective Inspector Dzafunwa (alias Shumba), Detective Constable Sibanda,
Detective Constable Nyamurindire and five other unidentified police
officers –– have been arrested and appeared in court.

It was alleged that on October 13 2009 Mugadzahweta at around 9pm while
sleeping at the Grand Hotel in Kadoma was awakened by a loud bang on the
door and eight policemen, some armed, entered his room.

The men began assaulting him all over his body with booted feet, open hands,
baton sticks and other blunt objects. While under attack, Mugadzahweta, who
is a retired police officer, noticed that some of the assailants were police
officers in uniform and armed with AK47 rifles.

Mugadzahweta was then handcuffed with his own handcuffs and taken to Kadoma
police station where he was separated from the rest including the mine
geologist, a Mr Mudzangwa, who was also assaulted.

He was taken to CID investigations department and asked to lie face down.
The eight police officers continued to attack him all over the back, feet
and especially on the buttocks and other blows landed on his head.

Wongai Zhangazha

Diamond saga: ‘sleaze, corruption and perversion of course of justice’

http://www.theindependent.co.zw/

Thursday, 11 March 2010 19:59

FOLLOWING President Robert Mugabe’s claims last week that De Beers looted
diamonds from the controversial Chiadzwa fields for 15 years and that
African Consolidated Resources plc (ACR) was their agent that replaced them,
the Zimbabwe Independent’s Chris Muronzi this week caught up with ACR chief
executive officer Andrew Cranswick to hear his side of the story. Below are
the excerpts. Muronzi: What is your reaction to President Mugabe’s claims
last Thursday that De Beers looted Chiadzwa diamonds for 15 years?

Cranswick:  Well, if we look at these statements, they simply reflect
comments made earlier in Bulawayo to the press club by Minister of Mines
Obert Mpofu. Clearly, the president has been misinformed and that is
worrisome.

Muronzi: So let’s deal with the minister’s comments.  Where has he erred?

Cranswick:  The minister alleges links between ACR and De Beers.  This is an
invention.  Our share register is public record and any links can easily be
proved or disproved.  Not only has De Beers never had shares in ACR, we do
not and have never shared a single common shareholder. It is also ironic,
because the ministry attempted to use an expired De Beers EPO (exclusive
prospecting order) over the area where we discovered diamonds to invalidate
our mining claims.

Muronzi:  Is that the cancellation of your rights which was overturned by
the High Court last year?

Cranswick: Yes. The High Court ruled the cancellation was unlawful and that
our rights are valid and have been since early 2006.

Muronzi:  While on the subject of shareholding, who is your largest
shareholder and what equity of the company do they control?

Cranswick: The largest single shareholder we have is at 6%. It is Blakeny
Asset Management who have several investment funds under their control, made
up of private and institutional money. It would take the top 13 shareholders
to cover 50% and thereby voting control. This makes for a very healthy
spread and avoids any single shareholder having too much power.

Muronzi:  Reverting to the minister’s utterances, what are the
contradictions of the facts as you see them?

Cranswick:  He implies that De Beers had been at Chiadzwa for 15 years
mining diamonds. That’s impossible as the maximum tenure for an EPO is five
years, and actually De Beers allowed their EPO to expire in March 2006 after
only four years exploration.

Muronzi:  Did De Beers mine in those four years?

Cranswick:  When we acquired the rights over a much smaller area, there were
no signs of any mining having taken place. Furthermore, an EPO is only an
exploration right, not a mining right and I doubt they would have broken the
law.  Finding diamond deposits can take many years of expensive, repetitive
sampling and testing of soils and other survey methods. It seems unlikely
that they could have discovered the diamonds and illegally mined them in
such a short space of time without attracting attention.

Muronzi:  The minister states that you acquired the rights from De Beers
under irregular circumstances using a junior officer, and did not follow a
tender process. What are your comments?

Cranswick: Any allegation of irregularity serves the purpose of the illegal
incumbents. That short sentence contains no less than four untruths. We did
not acquire our rights under or from De Beers. Our rights are not even the
same as De Beers. They are exploration and mining rights through mining
claims. They are not EPOs. No collusion existed at any time with De Beers.
How could it? We are competitors. One, the circumstances were not irregular.
Stating that they were irregular contradicts the findings of the High Court.
The minister has already been warned about contempt charges by the Chief
Justice (Godfrey Chidyausiku). Two, mining claims are pegged in accordance
with very strict provisions under the Mines and Minerals Act. We follow
these to the letter in all of our pegging. While “junior officers” are
obviously involved in such a process, the claims are ultimately awarded by
the mining commissioner who is a very senior officer. Not only did the
mining commissioner stamp the final claims (which were registered over three
months, April, May and June 2006), his superior later confirmed their
validity when improper attempts were made to cancel the claims after we
discovered diamonds.

Muronzi:  What about allegations that ACR mined diamonds without declaring
them — sometimes alleged to have been going on for many years?

Cranswick: Again, lies assist the incumbents. How could we have mined for
many years? Our acquisition of the area was completed in June 2006. We
discovered diamonds and declared the discovery in September 2006 — an
extraordinarily short time. We were illegally evicted in October 2006. So we
had six weeks occupation post-discovery and only four months of total
occupation. We have been refused access ever since in spite of several court
rulings.

Muronzi: Diamonds seem to have a close association with war in Africa —
does that worry you?

Cranswick: Every single rich alluvial diamond deposit ever found in Africa
has ended in war. The Anglo-Boer war in South Africa 100 years ago, the
defence of Namibia by the apartheid regime, Angola, DRC, Sierra Leone,
Liberia — it is a frightening prospect.

Muronzi:  Botswana avoided war, is that the only exception?

Cranswick: There have been no exceptions. Botswana does not have alluvial
diamonds. Their diamonds are kimberlitic in nature, making it far harder to
loot on a manual scale and easier to secure and police.

Muronzi: How long will the diamond deposit in Marange last?

Cranswick: Unlike kimberlite-based deposits, alluvial diamond ore bodies are
very finite.  Our estimation is that the core of the diamonds deposit,
sitting mostly but not entirely on ACR-held ground, will be mined out in 10
to 20 years.  This again stresses the need for management of the diamonds
for the good of Zimbabwe.

Muronzi:  You have been accused of pushing for Zimbabwe’s suspension from
the Kimberley Process. Is that true?

Cranswick: Another convenient lie. The record shows exactly the opposite. I
have personally not only lobbied against such a suspension, I have actually
criticised all sanctions at a recent London investment conference. I promote
ACR and Zimbabwe extensively around the world.

Muronzi: Mines permanent secretary Thankful Musukutwa wanted to cancel your
claims again by giving the company notice under Section 50 of the Act.  What
is your response?

Cranswick: In law, due to the Supreme Court appeal launched by the ministry,
the notice of cancellation is incompetent and has no force and effect. We
have applied for the High Court to set it aside. They have attempted this on
four previous occasions, each time unlawfully.  In the interim they have
entered into strange and lopsided agreements with non-transparent operators
of no technical standing.  It reeks of sleaze, corruption and perversion of
the course of justice.  The people of Zimbabwe deserve better.

 

Empowerment: Govt flip-flopping undoes economy

http://www.theindependent.co.zw/

Thursday, 11 March 2010 19:56

IN 2007 Zimplats invited President Robert Mugabe to tour its Makwiro
Platinum Mine at a time when the empowerment crusade was gathering momentum.
For the mining giant the visit was an opportunity to show off social
investment -- roads and houses -- in and around the mine and get some time
to engage with an unpredictable leader whose government has a habit of
accusing foreign companies of salting away profits without investing in
social services or threatening them with seizure.

The following day Mugabe praised Zimplats and Rio Tinto for investing back
into the communities where they operate and promised government would
cautiously implement its empowerment policy taking into account several
factors, including empowerment credits.

In a bid to impress the government and head off threats of confiscations of
their assets, mining companies were jostling to outdo each other in social
spending.

Mine owners compiled an empowerment working paper where they agreed to
Zimbabwean equity ownership, social and infrastructure spending, local
procurement, assisting small scale miners, and to release ground or mineral
rights.

Mugabe and then Mines minister Amos Midzi seemed to be in agreement with the
Chamber of Mines' proposals. Guided by that understanding and harmony of
vision, the chamber proposed that a mining company "could also consider
releasing some ground from its mining claims to the government or Zimbabwean
investors. Any ground (mineral rights or claims) released in the past as
part of a company's indigenisation process shall also count towards its
score in terms of this code."

Such mineral reserves and "resources, or a similar code" would be used to
calculate the deemed credit towards empowerment, the chamber said.

Zimplats gave up some of its platinum concessions worth over US$150 million
in a bid to win 30% empowerment credits. By handing over the concessions, it
was agreed that Zimplats had complied with empowerment policies. Essentially
the move meant Zimplats had complied with empowerment and only needed to
sell an additional 19%. Anglo also gave up its platinum claims in the
Shurugwi area held by its subsidiary, Unki Mines.

Todal Mining, a joint venture between Zimbabwe Mining Development
Corporation (ZMDC) and Camec, is now planning to mine at the Shurugwi
concession.

The chamber argued that mining companies were often situated in remote areas
where the level of infrastructure and other support to the Zimbabwean
communities was limited saying there was need to encourage development.

"Mining companies shall be encouraged to make social and infrastructure
investments particularly within the areas that they operate in, but not
limited to these areas. Social and infrastructure expenditure by mining
companies shall be converted into an equivalent empowerment score for the
company," the chamber says in its document.

The argument seemed reasonable then. Come implementation time, Mugabe is no
longer impressed by promises of fancy infrastructure and schools in the
various mining towns.

Even Reserve Bank of Zimbabwe (RBZ) chief Gideon Gono, sometimes a lone
voice of reason in the midst of policy madness, cautioned government in 2007
on the need to address empowerment and attracting foreign direct investment.
The following year, the Indigenisation Act was enacted.

"We (RBZ) fully support the noble objective of empowering the majority of
Zimbabweans through the introduction of enabling statutes that expand wider
involvement of the people in mainstream economy," Gono said.

"Noble as this objective is, however, our well-considered advice to
legislators and government in general is that a balance should be struck
between the objectives of indigenisation and the need to attract foreign
investment."

Gono proposed that bigger projects worth US$500 million and above comply
with empowerment laws after 11- 15 years. He said this would accord
investors "escalated dividends that allow them to plough back their initial
investment outlays".

However, Gono's views were ignored.

For investors with US$500 million, Gono had proposed that indigenous
Zimbabweans have rights to at least 20% shareholding in or within the first
five years, be possessing 45% equity in six to 10 years and then achieve 51%
stakes in 11-15 years.

He also warned that there was need to ensure the programme did not only
benefit fat cats and the politically connected few as happened in the land
reform.

"We also call upon government to ensure that the empowerment drive is not
derailed by a few well-connected cliques, some who are already making the
most noise in ostensible support of this initiative, who would want to amass
wealth to themselves in a starkly greedy but irresponsible manner, whilst
the intended majority remain with nothing as happened in respect to
government empowerment schemes such as the land reform programme," Gono
said.

At the height of affirmative action, Saviour Kasukuwere (now Indigenisation
minister), Phillip Chiyangwa, Peter Pamire and others benefited immensely
from empowerment deals buoyed by their activism credentials.

Across the border, ruling African National Congress officials -- Tokyo
Sexwale, Cyril Ramaphosa, Mzilikazi Khumalo and others -- are some of the
major beneficiaries of empowerment policies.

But the South African situation is different. Banks in South Africa could
and can still fund empowerment deals.

Gono equated capital to a timid commodity that is always ready to jump ship
at the slight inclination of attack "whether factual or perceived".

After riding on the affirmative bandwagon, Kasukuwere is back again in a
different jacket.

He has come up with indigenisation regulations which many fear will wreak
havoc with the economy. Kasukuwere's regulations demand: "Within the next
five years from the date of operation these regulations, or within five
years from the commencement of the business concerned, as the case may be,
cede a controlling interest therein to indigenous Zimbabweans; unless, in
order to achieve other socially or economically desirable objectives, a
lesser share of indigenisation or a longer period within which to achieve it
is justified."

Last week, Kasukuwere told journalists that banks should lend more to locals
or "ship out". This was a new tone - a take it or leave it.

The Business Council of Zimbabwe want the word "cede" changed to "sell"
arguing the former implies giving away shares.

Others within Zanu PF question the need for empowerment in some sectors.
Tourism minister Walter Mzembi says over 80% of the country's tourism sector
is in the hands of blacks. The stock market, a good confidence yardstick,
has been falling since the empowerment regulations were published.

While the indigenisation debate goes on, what is clear is that the
government has no settled position on the issue despite sound advice from
its own allies. It keeps on changing goal posts and the real casualty of
that policy flip-flopping will be the economy. The tumbling of the stock
market might be a harbinger of things to come -- only worse!

Chris Muronzi

I only consult when there is need –– Kasukuwere

http://www.theindependent.co.zw/

Thursday, 11 March 2010 19:50

WITH the debate on the indigenisation regulations still raging on, the
Zimbabwe Independent’s Chris Muronzi spoke to Empowerment minister Saviour
Kasukuwere about the matter. Below are excerpts of the interview. Muronzi:
You gazetted indigenisation regulations compelling foreigners to cede 51%
shareholding to indigenous Zimbabweans. Is this the ideal time to carry out
a wealth re-distribution exercise?

Kasukuwere: When is the right time for empowerment?

Muronzi: I say so because we are coming out of an economic crisis.

Kasukuwere: Exactly. The people must also come out of the crisis together
with the economy. You will agree with me that there has been a racial skew
of ownership in this country. Secondly, we must bring down barriers. They is
a plethora of legislation and regulations which hinder the growth of the
Zimbabwean people.

Muronzi: But banks are not offering long-term loans? Deposits are very low.
By December banks had only US$1,3 billion. How are empowerment deals going
to be funded?

Kasukuwere: Banks in this country had US$1,3 billion in terms of deposits.
If you look at the statistics, 52% of those deposits have been collected by
certain banks. If you look at this 52% which they collected, how much was
lent to our people?

Muronzi: Banks argue that these deposits are short-term and transitory
funds?

Kasukuwere: There is a misconception. Banks continue to charge punitive
rates to businesses in this country on the pretext that deposits are
short-term.
You don’t tell us overnight that US$1,3 billion will disappear. About US$500
million has been made available by the IMF which is coming into the economy.
If banks received these deposits, what are their lending ratios? We have to
use deposits to encourage economic growth.
There is need for a paradigm shift in the mentality of our bankers. Their
thinking must be one that fits into the aspirations of our people. The
financial services sector should accept its responsibilities.
You cannot say to me that US$1,5 billion is nothing, a small amount and that
the banks must keep it. They (banks) don’t want to lend. Look at the
loan-deposit ratios!

Muronzi: Your comments last week on banks that they should lend or “ship
 out”. Is this the new view in government? And isn’t this being militant?

Kasukuwere: I didn’t say they should “ship out”. I said we want our banks to
realise that they have a responsibility. If they are licensed to operate in
this country, they cannot come here and be a stranger to the people of this
country.

Muronzi: Are banks sabotaging your plans?

Kasukuwere: Yes, it’s sabotage. There is a particular group that has gone
out of its way to support black enterprises. Others are not interested in
serving this country. Secondly, they have a view that is opposed to whatever
we are trying to achieve. We are saying if you are in this country and you
want to serve this country do so. If you don’t want to serve this country
then the best thing for you to do is to go.

Muronzi:  How different is this wealth re-distribution exercise from the
land reform?

Kasukuwere: The need to empower our people has always been the reason why
blood was shed…

Muronzi: But agricultural output fell because of land reform and the manner
in which it was implemented. Zimbabwe still relies on food imports. Isn’t
this what we are going to see with the new exercise? Companies don’t have
capital. Listed companies are floating rights issues and struggling to get
underwriters.

Kasukuwere: So you are saying that we do nothing about empowerment?

Muronzi: I am asking whether this policy will be a success story against
such a background.  Banks can’t finance long-term debt and long-term debt is
what you need.

Kasukuwere: We are not going to wait because of this or that. There might
not be sufficient funding per se but whatever is available must be utilised.
We are against lack of funding blocking the process. The whole essence of
empowerment is to get the majority to participate.
We realise there is need to have a funding mechanism as government. We
understand the problem this economy has but the little resources that we
have should be made available.

Muronzi: This comes back to the allegations that the chefs got a lion’s
share of farms. President (Robert) Mugabe admits owning two farms but said
one was a family business. How are you going to ensure that the same people
do not use indigenisation for personal enrichment?

Kasukuwere: It’s sad that we are a country that is consumed by things we can’t
prove. We have a problem if it’s Kasukuwere. Why is Kasukuwere buying this
or owning that? But if it’s Mr Smith, you will actually throw a party and
celebrate because it’s a white man. Because we are saying Zimbabweans must
benefit, it is now a problem.

Muronzi: The Chamber of Mines presented a paper to government where they
said government should pursue empowerment in mining differently. Mines
proposed releasing mineral rights to government in exchange for empowerment
credits. Your comment.

Kasukuwere: These were submissions. We are making progress with key industry
players and they are co-operating with us.

Muronzi: What happens to Zimplats who released mineral rights worth US$150
million?

Kasukuwere: That is not my area. That is for the Mines ministry.

Muronzi: Last week Industry minister Welshman Ncube said you prematurely
published empowerment regulations without the input of the legislative
committee in cabinet. Why did you not bring the regulations before the
cabinet committee?

Kasukuwere: But I don’t really need to consult with the committee. I am
empowered to publish. When I became a Minister of Indigenisation, the Act
was already there. What was I supposed to do, sit around and not gazette the
regulations? I only consult when there is need.

 

Parties’ constitution proposals superficial

http://www.theindependent.co.zw/

Thursday, 11 March 2010 18:47

THE Morgan Tsvangirai-led MDC and Zanu PF are advocating adoption of a
powerful executive and superficial reforms in the constitution-making
process that will not broaden democracy, political analysts said this week.
While Zanu PF wants a new constitution to maintain the current status quo
where the president has what many consider excessive powers, the MDC-T is
proposing a system which at first sight may appear to have checks and
balances, but where ultimate authority rests in the president and cabinet.

Analysts said history seemed to be repeating itself, but this time with the
MDC-T being the main player.

Some of the MDC-T positions on the new constitution were adopted “word for
word” from the rejected 2000 draft constitution, which had proposed an
executive with an elected president and a prime minister chosen from a party
with the majority in parliament. The proposal was backed then by Zanu PF.

The analysts said the MDC-T has adopted the 2000 position in the assumption
that it would win a future presidential election and would be the majority
in parliament.

On the executive, constitutional lawyer Lovemore Madhuku likened Zanu PF to
a cruel relative who neither smiles nor pretends to like you and MDC-T to a
relative who smiles and pretends to like you and welcomes you with open arms
into his home.

“The difference in the two after reading their proposals is that Zanu PF
shows its true colours, while MDC-T pretends and smiles but gives you
poisoned food,” Madhuku said. “With MDC-T, you die in a very comfortable
bed. That is the danger of a powerful executive that both parties are trying
to create.”

Madhuku said the MDC-T wants to create two centres of power, but if these
are from the same party, then the appointed prime minister would obviously
serve the interests of the president.

“It is history repeating itself when Zanu PF was the dominating party. MDC-T
is just stepping into Zanu PF’s shoes. They want to cheat the country into
believing that there is power sharing,” he said.

“There are no checks and balances in intra-organs. They are just creating a
squabbling environment. Anyone appointed by the other is loyal to that
person. The president will just be exercising his powers through that
medium.”

The analysts said constitutional reforms depended mostly on the kind of
executive that is created whether a powerful one or a less powerful one with
strong institutions. The latter would provide for the necessary checks and
balances.

They said having many “independent” commissions, which are implementing
bodies, is good in principle but their effectiveness will depend on the type
of executive the country has.

Director of the Zimbabwe chapter of the Media Institute of Southern Africa
(Misa-Zimbabwe) Nhlanhla Ngwenya said while MDC-T is advocating a provision
that explicitly guarantees press and media freedom under its proposed Bill
of Rights, it remains vague on the form of the media regulatory mechanism it
wanted.

But Zanu PF’s position, Ngwenya said, was worse because its responses to the
talking points on the media portray the party’s desires to either maintain
the discredited status quo or superficially reform the media.

“The political parties’ responses to the talking points crafted by Copac
(Constitution Select Committee) on constitutional reform further affirm
fears that the whole process will just be an extension of the political
power struggles for supremacy that has plagued the inclusive government
since its inception and not a genuine attempt to harness Zimbabweans’
democratic aspirations,” he said.

National Constitutional Assembly director Ernest Mudzengi said Zanu PF’s
responses show that it is not concerned about bringing genuine reforms,
adding that all it wanted was to maintain the status quo.

“You must read this knowing what Zanu PF is talking about when they say
executive president. We know what it means, they are talking of an
all-powerful president. If they were reform-minded they would have been
talking about creating strong institutions,” he said.

He gave an example of the way Zanu PF responded to a question on whether
parliament or a standing order committee of parliament should approve
cabinet appointments.

Zanu PF said in its response: “There is no need for parliamentary approval
of the president’s appointment of Cabinet ministers since the president is
popularly elected directly by the people.”

Mudzengi said in other democracies, ministers are selected by the president
but approval is done by a Senate.

On electoral reforms, the analysts said Zanu PF has only included small
concessions agreed on in the Kariba draft, for example the setting up of an
independent electoral commission.

They, however, said the proposals by President Robert Mugabe’s party do not
create a playing field that allows for free and fair elections.

The analysts said Zanu PF could not respond to a question on the period
within which election results should be announced.

Mudzengi said: “Zanu PF wants to make sure that the process remains under
the executive president and that the electoral process does not shift. They
want to keep hold on power by hook or crook.”

Faith Zaba

NamPower, Zesa to meet over Hwange Station

http://www.theindependent.co.zw/

Thursday, 11 March 2010 18:20

NAMIBIA'S power utility company, NamPower, will next week send a delegation
to Zimbabwe for discussions with the Energy ministry and Zesa officials,
amid a proposal that Hwange Thermal Power Station should be decommissioned.
The decommissioning of the troubled power station could affect the supply of
power to Namibia.
NamPower pumped US$40 million three years ago into the refurbishment of the
plant but frequent breakdowns are threatening its continued use.
Last week, Industry and Commerce minister Welshman Ncube said cabinet
ministers would compile a report on the state of equipment at Hwange and
make recommendations on whether to decommission or not.
"Officials at NamPower have requested meetings with their counterparts --
Zesa and the Energy ministry to get first hand update. The meetings have
been tentatively set for Tuesday and Wednesday next week," a senior Zesa
official told businessdigest this week.
The scheduled meetings, according to sources, arose after NamPower learnt
through media reports of plans to decommission the power plant.
According to the agreement entered into by the two power utilities, it was
agreed that in return of the US$40 million, Zesa would deliver 150 megawatts
of power to NamPower for five years. This is part of the power purchase
agreement (PPA).
In January, Energy and Power Development minister Elias Mudzuri caused an
uproar saying that Zesa would in future only be allowed to export power to
NamPower if it was generated at Hwange.
He later backtracked saying that Zesa would honour its deal with NamPower
despite the power utility struggling to meet domestic demand.
In response, Nampower said it was "satisfied" with the terms and conditions
covering events of default.
Ncube said last week Zesa was misrepresenting the 750-megawatt plant's
problems to government.
He said that at one time they blamed coal shortages but now said the
equipment at the power plant was too old to operate at full capacity.
"Regrettably, over the last 12 months, the problems have always been
communicated to us differently," he said.
All the six units at Hwange can only operate at 40% of their designed
capacity, Ncube said, giving a maximum output of 300 megawatt.
Government needs close to US$1 billion to rectify problems affecting the
power station, while a further US$3 billion would be required to construct
new power stations.
Zimbabwe is currently facing a power deficit of 1 500 MW daily due to the
faults at Hwange while the country's three other thermal power stations at
Bulawayo, Munyati and Harare are not producing any electricity at all. The
country needs 2 200 MW daily.
The country is relying on 750 MW produced at the Kariba Hydro Plant, which
is producing at full capacity.
The other sources of electricity are imports from Mozambique, the Democratic
Republic of Congo and South Africa.

Nqobile Bhebhe

Imports killing food sector –– Natfoods

http://www.theindependent.co.zw/

Thursday, 11 March 2010 18:19

NATIONAL Foods Holdings (Natfoods) has partly blamed government’s waiver
allowing duty free imports of basic commodities for its US$1,4 million loss
before tax. Natfoods chairman Todd Moyo said the influx of imported food
commodities following the acute shortages that hit the country after the
2007 arbitrary price controls is curtailing growth for the local industry.
He said government should protect local industry from competition.
Following the June 2007 price blitz at the height of runaway inflation,
local manufacturers scaled down operations and government introduced the
waiver which expires in June.
“In the interim, cheap imports have proliferated in the domestic market and
this is having a negative impact on the economic viability of local
manufacturers,” Moyo said in a statement attached to the results.
“Unless the local manufacturers have the benefit of some form of price
protection from cheap imports, the appetite for investment to resuscitate
their facilities will remain limited and this is likely to have further
impact on the possible revival of the domestic primary agricultural
capacity.”
The oils and meals division, the company’s flagship, recorded poor
performance owing to frequent power outages, plant breakdowns and a regional
stock-out of inputs.
Stock feeds sales, according to Moyo, recorded a “pleasing 142%” rise buoyed
by a “strategy of low margin and high quality”.
Local self raising flower which generally costs $1 more than imported brands
recorded a 13% rise on the second half of the previous financial year.
Zimbabwe’s supermarkets are well stocked with basic commodities from South
Africa, Pakistan and Zambia.
The National Foods chairman attributed the relatively costly local brands to
unviable interest rates being charged by local banks notwithstanding an
increase on bank deposits. Local banks are charging an average of 7%
interest rate.
Credit to the private sector by banks according to Reserve Bank statistics
was US$546,7 million in October 2009 representing a loan to deposits ratio
of 55,1% up from 35% in January 2009.
Broad money supply, according to the central bank Monetary Policy Statement
presented in January, grew from USD 297.6 million in January 2009 to
US$991,7 million.
“Despite the bank market deposits increasing, liquidity remained tight and
short term lending rates remained excessively priced. Long term loans or
lease hire facilities were not available to finance plant rehabilitation,”
Moyo said.

Bernard Mpofu

Cotton farmers breach contracts

http://www.theindependent.co.zw/

Thursday, 11 March 2010 18:08

BUSI Matutu is fed up with cotton farming. The past year has not been as
rewarding as she expected.

With no adequate funding to grow the cash crop in Gokwe, she has now
switched to maize production.
Thanks to the assistance from humanitarian aid agencies that provided
inputs, she will be able to harvest enough to at least meet her subsistence
needs and earn income in the midst of a looming food shortage due to
drought.
"This year, I'm not growing cotton," she declares. "I did not get enough
money to meet my daily needs after I grew 230kgs of cotton last year. Buyers
who supplied us with inputs offered us US$0,20 a kg. But we were expecting
US$0,50."
The cotton crop, now budding in most parts of Gokwe, is a drought-resistant
crop that requires costly inputs beyond the reach of many communal farmers.
Matutu says unlike maize that is tradable with other commodities, cotton has
few takers on the market. This she added has made her grow maize and other
small grains when the country is expecting food shortages in most provinces.
The Food and Agriculture Organisation has already advised government to
"promptly" set up 500 000 metric tonnes strategic grain reserves to mitigate
the staple food shortages.
Matutu is one of the thousands of beneficiaries who have benefited from
non-governmental organisations' farming projects that promote
self-sustenance.
Her decision to quit cotton farming comes at a time when hectarage for
cotton has declined and farmers have opted to grow maize for which they
anticipate better prices due to the food shortage.
An official crop and livestock assessment report released last month shows
that hectarage for the maize crop increased to 1 723 990 ha making it 14%
higher than the previous year, while that for cotton dropped to 261 191 ha
from 316 656 ha recorded last year.
The decline in the cotton area planted, according to the report, resulted
from lack of comprehensive input support following the scaling down of
input-support programmes by cotton companies.
Poor producer prices paid last season, the report further stated, resulted
in farmers failing to realise significant benefits from cotton production.
"I have benefited from the conservation farming project being carried out by
German Agro Action and my income will double this year through conservation
agriculture," said Matutu, a Nemangwe (Gokwe) communal farmer.
Conservation agriculture is an agricultural practice being sponsored by the
European Union and is run by several aid agencies. German Agro Action and
Concern Zimbabwe are assisting several poor families in Gokwe that have no
draught power to till the land. Some farmers visited by the Zimbabwe
Independent this week are practising conservation agriculture to also grow
cotton.
The "main focus" of the practice according to the Zimbabwe Conservation
Agriculture Task Force is to improve yields and income, food security and
livelihoods through optimising land use based on timely land preparations
and improved crop management.
Renson Gasela, a prominent commercial farmer in Midlands, says most Gokwe
farmers could be leaving cotton farming after breaching contracts with
cotton companies.
"Some of the farmers could have been side marketing," Gasela said. "They may
not have been honouring contracts or rather avoiding companies that provide
inputs for them. A large number of farmers that are leaving cotton farming
for other crops might have side marketed and can no longer get inputs."
Gasela said the perennial disagreements between farmers and merchants over
prices would continue to be there. "We have always preferred it had been
more," he said.
He observed that while cotton production in Gokwe could slightly drop this
season, the lowveld, Chisumbanje, Chiredzi are expected to increase
production.
Zimbabwe grows cotton for local and international markets.
More than half of Midlands, according to Gasela  who is a former Grain
Marketing Board general manager, will not yield much. But he said
Mashonaland East, West and parts of Central were likely to produce a
relatively better harvest.

 Bernard Mpofu

 

AAG: All about unbridled ambition and money

http://www.theindependent.co.zw/

Thursday, 11 March 2010 18:04

ALMOST two decades ago a handful of ambitious young men met and talked
business. They decided to have an organisation representing them.

The Affirmative Action Group (AAG) was a result of such meetings. AAG made a
lot of noise and did not seem to care if it was the right kind. Before they
knew it they had become rich almost overnight in the guise of affirmative
action and empowerment.
Saviour Kasukuwere, currently Empowerment minister, Phillip Chiyangwa, the
late Peter Pamire, and the who's who of business were members at inception
or belonged to like-minded organisations.
Some opted for a relatively mature outfit such as the Indigenous Business
Development Centre (IBDC) led by John Mapondera. Some of IBDC alumnis are
Econet founder Strive Masiyiwa and Chemist Siziba, a technology expert
currently attempting to launch a voice over IP service he claims will put
mobile phone operators out of business.
Many other organisations with similar objectives -- black economic
empowerment -- emerged on the business scene. The Indigenous Business Women's
Organisation (IBWO) and Zimbabwe Indigenous Economic Empowerment (ZIEE)
organisation also came into play.
And before IBDC knew it, younger and more ambitious business people were
making the most noise and making deals. To the young, IBDC represented an
old guard sauntering slowly towards black economic empowerment. The AAG
viewed the older guard as too slow, less ambitious and prone to manipulation
by whites.
This was evidenced by AAG's swiftness in deal-snapping while the IBDC
thought big and focussed on venture capital projects.
Chiyangwa, Kasukuwere and Pamire bought anything that could spur them on or
give them value while its peers at IBDC thought bigger. For instance, when
Masiyiwa was mulling a mobile phone business, Chiyangwa was picking up the
late billionaire Lonrho Corporation chairman Tiny Rowland's troubled
engineering company and any other assets he could find on the market.
But as the years passed Chiyangwa and Pamire made more money and became the
most publicly visible figures of the AAG crowd. They had exquisite fashion
style and top-of-the-range cars.  The success of Pamire, Chiyangwa and
Kasukuwere marked the arrival of new money.
Under his holding company -- Native Investments Africa Group -- Chiyangwa
owns G&D shoes, Belmont Leather, Crittal Hope, and ZECO Holdings (now on the
Zimbabwe Stock Exchange). Of late he has moved into properties and is said
to be holding a significant chunk of residential and commercial stands in
the capital through Pinnacle Properties.
IBWO founder Jane Mutasa bought some shares in mobile phone operator
Telecel. She has continued investing in other businesses. Pamire died in a
car crash in the late 1990s but his business buddy -- Chiyangwa - rose in
wealth, fame and power. He became an MP for Zanu-PF and provincial chairman
but was later fired from the party on allegations of espionage.
Masiyiwa is possibly the richest of the empowerment bandwagon.  Unlike his
peers, who targeted existing businesses, Masiyiwa opted to go venture
capital, and it paid off. After making his start up -- blue-chip Econet --
he has bought into hotels, insurance and bottling businesses among his most
notable business ventures.
Kasukuwere joined politics and now sits in Zanu-PF's powerful body, the
politburo. Not everyone was happy in the outfit. Some felt they had been
hard done.  Accusations of personal enrichment surfaced. The winners took
all and the losers got little to nothing.
Paddington Japajapa of ZIEE might have come too late on the empowerment
scene. He pales in comparison to Chiyangwa or Kasukuwere. He is now a
football administrator.
Others either died or have disappeared from the corporate map. But Chiyangwa
and Kasukuwere are possibly the most notable characters of the AAG.
At the peak of empowerment activism, volunteers to the cause such as the
late Lawrence "Warlord" Fambainesu Chakaredza would also emerge and ride the
gravy train.
Chakaredza would be seen around town in the company of an energetic young
white man laden with heavy sophisticated briefcases and the AAG alumni's
numerous files.
Chakaredza, known as "Warlord" in his formative student activism days at
University of Zimbabwe and later as Munhumutapa III, had a point to make for
the admiring Zimbabwean public. "I make this white man carry heavy baggage
for me." For him, it was definitely a reversal of roles that pleased him.
Judging by his age group, Warlord had seen aspects of the repressive regime
of Rhodesia. The same mentality that drove the self-appointed Munhumutapa to
hire a white servant it seems is back again and now running policy.
Instead of pursuing broader economic policies that benefit the majority of
the people and its citizens, government officials seem bent on ensuring that
the policy goes ahead to feed narrow esteem and race issue 30 years after
Independence.
And then the affirmative action days seem to have ended in the late 1990s.
Now a new breed has taken over the AAG. Like their predecessors --
Kasukuwere, Pamire and Chiyangwa -- they are very ambitious and want one
thing -- money. A sequel came with the enactment of the wealth
redistribution law in 2008. Another group of young men, possibly more
ambitious than the original AAG, met again and decided to resurrect the
Affirmative Action Group. The plot is still the same. The characters have
changed a bit but with some of the old actors occupying positions of power.
The game is certainly in their favour. They have a compassionate ear in
government from a former AAG official.
The new AAG is led by journalist Supa Mandiwanzira, an articulate and
ambitious businessman. He has set up a thriving advertising, production and
public relations firm. He is said to have interests in construction and
trucking industries.
Above all Mandiwanzira's years rubbing shoulders with Zimbabwe's politicians
and very rich could come in handy. But like his predecessors in the
organisation, he needs money or economic empowerment. In the next five
years, according to indigenisation regulations, the exercise should be
completed. By the end of that exercise, old money will be pushed aside by
new money. Little is known about Tafadzwa Musarara, the current secretary-
general. But he also has his eye on the ball.
Temba Mliswa, a fitness trainer cum businessman, is also a key figure in the
new AAG. Last year Mliswa was part of a consortium that bought a 10% stake
in Meikles Africa Ltd after a shareholder dispute between Nigel Chanakira
and KMAL chairman John Moxon. He also owns a farm and is a major tobacco
player.
Last year he claimed he had acquired a stake in Premier Banking Corporation.
Mliswa is said to be politically connected and wants things done as soon as
yesterday, a go getter quality that will see the group being the first on
the line at the empowerment feeding trough.
The stage has been set and AAG will once again be in the limelight for
buying this, selling that.

Chris Muronzi

Muckraker: Is the Herald turning over a new leaf?

http://www.theindependent.co.zw/

Thursday, 11 March 2010 18:56

AT long last! We are glad the Herald now knows the media have a duty to
promote unity among Zimbabweans and not foster hatred by carrying falsehoods
and propaganda that poisons the mind. "We agree with the president that the
media can play a key role in promoting national unity, reconciliation and
healing and ought to respond positively to that call," the Herald said in an
editorial on Monday.
President Mugabe had last Thursday invited editors from news organisations
in the country to Zimbabwe House to reply to questions on current
developments. He told them the media had a role to play in promoting
national unity.
It appears for the moment the Herald has responded positively to the
president's call to embrace good journalism. Prime Minister Morgan
Tsvangirai, previously a target of the paper's vitriolic attacks, was
accorded front-page coverage on Monday.
The paper carried a picture of the PM planting a tree at his Strathaven home
with his son in honour of his late wife, Susan. He was also shown in the
Sunday Mail attending a memorial service with Mugabe in Mabelreign.
But did it have to take the president's intervention for these papers to
suddenly realise they have a responsibility to behave professionally and
report in a balanced way?
Let's hope this will be sustained and we will no longer read articles about
"terrorists", "enemies of the people", and "tools of the imperialists".  We
also hope we will not be reading any more "letters to the editor"
manufactured at Munhumutapa Building.

President Mugabe's "meet the press" gathering seems to have gone down well
with those attending who reported that the president was frank and affable
throughout the lengthy proceedings last Thursday.
But it was unfortunate that it ended on a note of dishonesty.
Mugabe asked where all the white journalists were - "the familiar faces".
His spokesman George Charamba replied that they had all been invited.
"We invited everyone," he said. He mentioned Angus Shaw (AP)  by name.
But both Shaw and Jan Raath of the Times deny being asked."It's not true, we
were not invited," Shaw said. "My phones were working.  I have three office
numbers."
Raath said he was certainly not contacted.
"My cellphone was on all day," he said. In which case the president was
misled.
We wonder how often this goes on? In what other matters regarding the press
has Mugabe been told something that simply isn't true?
Responding to Charamba's claim, Mugabe said the white journalists had
"chickened out".
So there you have a conclusion based upon a falsehood! Fortunately this time
it was overheard by a large number of people and therefore can't be denied.

The same goes for Charamba's remarks on the Zimbabwe Media Commission. He
suggested that the ZMC members needed to be sworn in. "That was our
understanding." Fortunately Deputy Media minister Jameson Timba was sitting
next to the president.
"What is the correct position, Timba?" Mugabe asked.
Timba said only the Human Rights Commission and Electoral Commission members
needed to be sworn in. The ZMC should already be doing its job.
"I concur with you," Mugabe said. "The ZMC should be getting on with their
work."
This was a significant rebuke to Charamba who we suspect has been holding
things  up for several months, at enormous cost to media investors.
And it is also a rebuke to ZMC chair Godfrey Majonga who has been stalling
progress, no doubt on Charamba's behalf, claiming an administrative
infrastructure needed to be in place before they could entertain licence
applications.
Applicants had been turned away several times as Majonga and his colleagues
waited for a green light from Munhumutapa Building.
Let's see whether they will now heed the president's remarks and get on with
their job. Majonga says applications will be attended to "next week". Let's
see!
The ZMC's lack of initiative so far has been nothing short of disgraceful.

What these episodes demonstrate is how poorly the public media serves the
public interest. Only about 10% of Mugabe's comments were reported in the
Herald the next day. Nothing about the number of farms he owned. Nothing
about the arrest of journalists. And nothing about reconstituting BAZ.
Some of his remarks began to filter through on Saturday and Sunday. It would
be interesting to know who was holding up the flow in order to spin things
in a way that was palatable to power.
A question from Chengetai Zvauya led to Mugabe's welcome remarks on the
arrest of journalists. It should not happen, he told the meeting. A pity
there wasn't time for Zvauya to recount his own experience.
A story he wrote in the Standard in 1999 regarding the work of the
constitutional commission landed him with a criminal defamation charge. That
included acting editor Andy Moyse and publisher Clive Wilson. We recall
Patrick Chinamasa inviting members of the commission to "come and feed" at
this trough.
The three were convicted by a magistrate. But their conviction was
overturned on appeal to the High Court.
Media and Information Commission chair Tafataona Mahoso however continued to
regard Zvauya as guilty and withheld his accreditation as a journalist. As a
result Zvauya was prevented from practising his profession for several
years. Only recently was he finally given his press card.
Mugabe didn't appear to be familiar with  any of this. But he welcomed
self-regulation as a means of dealing with complaints against the press.
At which point Charamba intervened to point out that there was still a need
to maintain criminal defamation  on the statute book to deal with criminal
charges against journalists.
In response to a question from Pikirayi Deketeke on the GNU, Mugabe took a
swipe at the Standard which had suggested cracks in the GNU were widening.
Mugabe objected to "cracks" saying all was going swimmingly well between the
principals including tea on Monday afternoons.
But his remarks generally on the need for the press to support the GNU were
ignored in the Sunday Mail which published one of Mahoso's hate-mongering
diatribes against the MDC and the West. Mugabe's view evidently has yet to
penetrate the cobwebbed corridors of power at the Sunday Mail where they
think a front page picture will pay sufficient lipservice to the GNU while
Mahoso rails against it inside.

Saviour Kasukuwere has urged local journalists to "protect the nation from
negative publicity from Western countries that seek to undermine Zimbabwe's
sovereignty".
Does he mean we must devise ways to counter the negative publicity generated
by the arrest of the Mexican journalist who, although carrying a letter of
introduction from Water minister Walter Mzembi and travelling in the
minister's car with his driver, was nevertheless held by police for several
hours and only released after the minister's intervention.
How will Mexicans receive that news?
Then there is the local journalist arrested and fined for filming outside
the Magistrates' Court? How should we convey that news to the world? This by
the way was his umpteenth arrest for just doing his job.
And what about the case of Kasukuwere himself imposing draconian regulations
upon the business sector that are self-serving, damaging and racist?
How do we explain to the world that our recovery has been jeopardised by one
of Mugabe's ministers claiming he is advancing black economic empowerment
when everybody knows where this is going?
And then there are the land seizures just in case foreigners didn't get the
message that a delinquent gang exercises power in Harare.

Needless to say, Gordon Brown was able to use much of this as evidence in
responding to President Jacob Zuma's plea to lift sanctions. It came as the
General Agricultural and Plantation Workers Union secretary-general fled to
South Africa after saying she had been receiving threats for revelations she
made on the plight of farm workers.
Local journalists, who see much that foreigners don't, have a duty to expose
the greed and hypocrisy of powerful politicians. That begins with those who
are undermining the best chance we have had in years to secure recovery. It
is a crying shame but that's the way things go in this tragically misruled
state.
Beware whenever you hear "no going back". That invariably means they haven't
finished pillaging the country even when there's little left to take.

President Zuma got a rather hostile media reception in the UK. And he has
come under fire in the South African press for not handling it in a more
statesmanlike way.
On the 20th anniversary of Nelson Mandela's release from prison last month,
the Observer published an account by John Carlin of how things had turned
out so well in South Africa given the underlying tensions in 1990.
"If one makes a fair assessment of where the country stood when Mandela was
released, right now there is rather more to admire than to despise," he
wrote.
He is right. Things have turned out reasonably well: a "sound and stable
democracy". No hint of the Yugoslavia FW de Klerk feared. Or "Zimbabwe-style
basket-casery".
But how Carlin could write a lengthy op/ed piece on the Mandela miracle
without once mentioning crime or corruption in the current era is an
impressive exercise in mind over matter. Yes, there is rule of law. But
there is also extensive interference in the rule of law. Witness Zuma's own
Houdini-like escape from prosecution and the recent appointment of Menzi
Simelani as National Director of Public Prosecutions.
The opposition DA has drawn attention to at least 13 errors in his CV
including the spelling of curriculum! He is not a "fit and proper" person to
lead the National Prosecutions Authority, as required by law, the DA said in
a high court challenge to his appointment.

A question for Muckraker's old adversary Alexander Kanengoni. How many foxes
do you think there are in the Scottish Highlands? Have you seen any? And if
you want to tell somebody to "go to hell" why can't you say so yourself?
Surely something so facile doesn't require attribution?

The Manica Post caught our attention when it reported John Nkomo's tour of
DTZ -OZGEO gold mine in Penhalonga last week.
The gold mining project is a joint venture between the Development Trust of
Zimbabwe and a consortium of Russian investors. The paper told us
Vice-President Nkomo commended the Russian investors for choosing Zimbabwe
as a preferred investment destination saying they should also venture into
more lucrative ventures such as diamond mining.
"We expect you to be our ambassador so that more investors from Russia and
elsewhere come into Zimbabwe," the VP said. "Our indigenisation laws and
regulations must not be viewed as a ban on foreign investment, but as a tool
of promoting foreign investment while empowering our own people."
We know the VP is not being sincere because we saw that only supporters of
Zanu PF and those connected to chefs benefited from the "land reform"
process.
We would have wanted  Nkomo to also encourage the Russian investors to
improve the conditions of service of workers at the gold mine.  Workers at
the mine say conditions are akin to those of a Siberian salt mine.
The same Russians have also turned some parts of the eastern border city
into red-light districts. They are nothing if not enterprising these
Russkies!

Finally, we were interested to see the president's remarks on the civil war
taking place between the war veterans' outfits. He said when he was
approached by one of the factions he impressed upon them the need to uphold
the importance of the ballot.
Now don't we recall him saying during the 2008 election campaign: "We fought
for this country and a lot of blood was shed. We are not going to give up
our country because of a mere X. How can a ballpoint fight with a gun?"
And weren't the generals saying much the same thing?
Perhaps we misheard!
 

Eric Bloch: Constructive economic empowerment possible

http://www.theindependent.co.zw/

Thursday, 11 March 2010 18:51

NOT only with justification, because of its unjust, inhuman, foolhardy, and
economically destructive consequences, but also because it is so deviously
and racialistically discriminatorily conceptualised, and because its
economic impacts can only intensify the suffering and distress of millions
of Zimbabweans, this column has scathingly criticised the Indigenisation and
Economic Empowerment Act, and its   underlying, recently promulgated
regulations. However, as intimated in last week's column, none of that
criticism was motivated by opposition to the principle of  economic
empowerment of  the Zimbabwean populace (or, at the least, a great majority
of that populace). A positive future for Zimbabwe, and the wellbeing of its
people, is contingent upon effective and substantive economic empowerment.
And such empowerment is readily possible and achievable, if pursued
realistically, dynamically and innovatively, non-confrontationally, devoid
of political objectives and of self-enrichment strategies for a favoured
few, and without alienation of those currently economically-empowered, of
those who would invest in Zimbabwe, and of the international community at
large.
However, not only does the prevailing legislation have none of the necessary
characteristics for successful economic empowerment, but it does have all
the characteristics which can only assure its failure and the greater
impoverishment of almost all Zimbabweans.
To achieve, successfully, indigenisation and economic empowerment, Zimbabwe
must abandon the concept of forced divestment by so-called non-indigenous
Zimbabweans from existing enterprises in favour of indigenous Zimbabweans,
and of mandatory subordination and domination of current owners of
businesses, and of potential future non-indigenous investors, by indigenous
Zimbabweans. It must vigorously discard the tactic of disguised
expropriation from the perceived to be business rich, in favour of a
minority of already excessively well-endowed Zimbabweans (being the few with
sufficiently substantial resources to acquire ownership of enterprises,
albeit undoubtedly at below fair value).
Doing so impoverishes some, in order to make a few even richer, but does not
benefit any significant portion of the population. It is a gross distortion
of the Robin Hood act to take from the rich to give to the poor!
In reality, it is transferal from the few rich, and from many who are
neither rich nor poor, in order temporarily to enrich a few others, who in
the main are qualified thereto only by race, some also having the
investment-acquisition enhancement of appropriate political linkages.
These policies only decimate the relatively minimal economic infrastructure
existent, whilst assiduously discouraging greatly needed foreign and
domestic investment, for few (if any) investors are willing to enter into
so-called partnerships where no partnership exists, for the 51% controlling
interests can totally rule over the enterprise operations, in callous
disregard for the interests of the 49% minorities.
Already, in less than four weeks, several billion dollars of intended
foreign investment into mining, manufacturing, tourism and other economic
sectors, has been forfeit.
The intending investors have been wholly deterred from their intended
investments, and are now focusing their interest upon Angola, Namibia,
Botswana, Zambia, Mozambique, and elsewhere. Zimbabwe's self-generated loss
is the region's gain (for which the region should be truly grateful!).
But great opportunity exists for Zimbabwe to develop its economy
dramatically, with concurrent economic empowerment for very great numbers of
its indigenous people. This can be achieved in innumerable ways, including:
l Facilitation and enablement of extensive, progressive establishment of
Small and Micro-scale Enterprises (SMEs), and their enhancement and growth
to Medium-scale Enterprises(MSEs). Doing so has been the foundation of many
of the world's larger economies including, amongst others, India, which is
now the world's third largest economy, and Malaysia. Only three decades ago,
the vast majority of Indians were as impoverished as are most Zimbabweans
today, but that has spectacularly transformed. India vigorously deregulated
its economy, not only thereby motivating development of entrepreneurism, but
in particular evolution from informal to formal sector economic activity.
Zimbabwe should do likewise, concurrently with very extensive facilitation
by developing ready access to start-up capital, to acquisition of business
skills and support services, acquisition of requisite technological and
other expertise, and of reciprocally-beneficial interaction between
established and new enterprises.
l Inducement of partial equity disinvestment, in favour of indigenous
Zimbabweans, by meaningful incentivisation. Such incentives could include
the waiver of capital gains tax on any disposal by non-indigenous
Zimbabweans to indigenous Zimbabweans, and waiver of withholding tax on any
dividends accruing to indigenous Zimbabweans where such dividends are
applied by the recipients to payment for acquisitions of equity.
l Establishment of industrial and trading parks with requisite operational
facilities, with transitional nominal rentals, for newly-established,
indigenous Zimbabwean enterprises, the costs thereof being funded by the
state with international assistance (which would be readily available if a
conducive, internationally-acceptable, political environment, is brought
into being and maintained).
l Adaptation of Zimbabwean secondary education to incorporate more extensive
than heretofore training in the precepts of commerce and industry, and in
business techniques and skills (without in any way minimising the focus of
currently prevailing educational systems and syllabi).
l Creation of an investment-conducive and welcoming environment to induce
substantial foreign direct investment and domestic investment, incorporating
assured, on-going investment security, regional and international
market-competitiveness, equitable taxation, assured access to investment
returns, and reinforced by constructive general investment incentives, with
maximum benefits in instances of collaborative, self-negotiated, investment
by non-indigenous and indigenous Zimbabwean investors.
Government needs to learn, with long-overdue and great rapidity, that
motivation and    facilitation is far more effective than legislative
diktat. The latter has, in already the    last four weeks, cost Zimbabwe
several billion dollars of critically-needed investment. That investment
would have yielded employment for thousands, considerable direct economic
growth as well as downstream economic beneficiation, substantial fiscal
inflows, and significant foreign exchange generation.
With the foolhardy, heavy-handed, draconian Regulations of February 12,
government has undermined the economic recovery initiated last year and,
instead of aiding the Zimbabwean people to move from horrendous plight, has
intensified that plight. But, albeit very belatedly, it could still make
good, by rescinding its disastrous enactment and, instead, embarking upon
effective economic development for Zimbabweans as a whole, hand-in-hand with
foreign investors and with existing business.

 

Empowerment our divine right

http://www.theindependent.co.zw/

Thursday, 11 March 2010 18:42

THE Affirmative Action Group (AAG) has never, is not and will not
contemplate seizing foreign owned companies outside the premises of the law.
The Zimbabwe indigenisation agenda in this country has been hijacked by
alarmists who seek to nicodemously get international sympathy without
adjudicating the facts.

During the last successfully held KFM CEO roundtable, businessman David
Govere asked delegates whether they had seen Statutory Instrument 21 of 2010
(the indigenisation regulations).

The result shocked the panel as less than 5% of the participants had read
the new law.

For goodness sake, this was a congregation of the country's top business
executives. Regrettably, these executives rely heavily on press reports -
which mostly carry the opinion of the journalist - to make critical
decisions. Such levels of apathy within high echelons of conglomerates are
very unfortunate.

The genesis of the empowerment crusade was the formation of the Indigenous
Business Development Centre (IBDC) led by John Mapondera, Strive Masiyiwa
and other native business icons.

Later on IBWO, AAG and ZIEEO were established. Most of the founding figures
of these agents of the empowerment crusade went ahead and negotiated their
own empowerment deals on an individual basis. By the turn of the century,
there was a  nationwide outcry that there was now an elitist black class
that sought to own all the wealth at the exclusion of the black majority.

The drafting of the Indigenisation Bill, which sought to forge and create a
broad-based black economic empowerment programme for indigenous Zimbabweans,
commenced soon after.

The Bill became law in 2008 and was well publicised. Prominent in the law
was the provision that a statutory instrument was going to be gazetted to
trigger the operationalisation of this Act. In January 2010 the Minister of
Indigenisation, Saviour Kasukuwere, duly gazetted the statutory instrument.

The Zimbabwe National Chamber of Commerce (ZNCC), the Confederation of
Zimbabwe Industries (CZI), the Chamber of Mines, the Gays and Lesbians of
Zimbabwe and others embarked on a ferocious attack against the Act demanding
its repeal.

It's apparent that they were and are still serving dominantly the interest
of multinational conglomerates. In a constitutional democracy like Zimbabwe,
laws are subjected to criticism. Since 2008 to date, no business
organisation had ever approached government with a better indigenisation
template than the one contained in the Act.

The AAG has been thoroughly studying all opinion pieces penned by some of
our leading economists including Eric Bloch, John Robertson, Tony Hawkins
and many others.

We recognise their constitutional right to freely express themselves and
provide their guidance on matters of national importance. Discounting the
vitriol in these articles, they are four major issues cited by these
economists. These are investor flight, liquidity challenges, skills scarcity
and cronyism.

These concerns are also shared by the CZI, Chamber of Mines and ZNCC. We
will now attempt to respond to these pertinent matters.

It should be noted that the law is directing that only non-indigenous owned
companies that have a net value of US$500 000 or more must comply.

Given the events of the last 10 years where little if any retooling
occurred, aggravated by the continued depreciation of antiquated plant and
machinery, many non-indigenous businesses are excluded. For instance, this
will exclude the white lady who owns a boutique, the Indian family which
owns a clothing company, and the Italian man who owns a coffee shop.

Firstly, there is the mischief that the law seeks to arrest those who refuse
to let go their shareholding. International law provides that each country
has the right to control and manage its own resources. No country in the
civilised world would allow foreign companies to dominate key and strategic
industries like petroleum, energy, food processing, pharmaceuticals etc
because it is feared that they can manipulate and interfere with the
sovereignty of the host country. In Zimbabwe, in the last 10 years, we saw
Mobil, Johnson & Johnson, Coca Cola and many others pulling out
unceremoniously.

Most of these foreign companies, some members of the CZI and ZNCC, had never
planned any deliberate schemes to empower their own employees through equity
participation and profit sharing.

The mandate of CZI and ZNCC is to represent the interests of the
shareholders of  larger companies and not of the generality of the
downtrodden. There have been disturbing press reports of racism at some
companies led by some CZI black leaders and they remain silent. Why?

Our brethren, after working for more than 25 years, were given wheelbarrows,
scotch carts and bicycles as tokens of appreciation for their long and loyal
service to the company. Cases of racial segregation and unfair treatment
severely affected indigenous employees.

All these ills can be treated by allowing employees to acquire equity using
sweat capital. Section 3 (a) of the Act provides that non-indigenous
companies shall sell, not surrender, 51% of their equity to indigenous
people and retain at most 49%.

Let's put this into perspective: a businessperson who is non-indigenous can
dispose, for example, 20% to his shop floor staff and another 15% to his
management team.

Effectively he and his other friendly partner control 65% of the company.

Employees may use their equity as security to access funding for housing
construction, school fees, etc which will be paid back by dividends.

However, the statutory instrument provides for the minister to vary this
provision should an investor request so citing reasonable and acceptable
grounds. If this law is scrapped today, the need to empower our people will
not die.

The investor flight argument is over-dramatised. Compulsory equity
participation of local people in foreign owned companies is common
worldwide. The practice is found in Malaysia (Bumiputra), South Africa
(BEE), Zambia and the Far East.

The 51-49 rule just needs good packaging and to be saved from demonisation.
We propose that all future mining rights must be exclusively granted to
indigenous people who then partner with foreign-owned entities who will
provide additional funding, skills and equipment.

India and China's economies grew tremendously by looking inside rather than
outside. Yes, foreign investment is good, but local investors must be given
a launch pad because they will be there forever.

It is true that the country is facing  liquidity challenges and so is the
entire globe.

There is need to have unity of purpose as a country to mobilise funding
within and outside our borders. If you may recall, most foreign companies
were funded by foreign banks to establish operations in this country. We can
as a country pursue the same route to obtain foreign funding to pay for the
equity acquired and use those companies as security.

There is also the need to effectively leverage our natural resources, eg
gold, platinum and diamonds to obtain funding for this exercise. Robertson
argues that if some of these companies are acquired, there are no available
skills to run them.

That is contemptuous! By implication he is suggesting black Zimbabweans
cannot own and manage business. On the contrary, we have scored success in
this regard in the areas of tourism, banking, telecommunications and
commerce.

The essence of coming up with an act is to openly announce the rules of
engagement. The act is providing for the empowerment of employees,
management, youths and women groups. These groups have been at the periphery
of empowerment for a long time.

The statutory instrument provides for many areas where the minister may be
allowed to grant waivers. Those who feel affected should approach the
minister  rather than host seminars that seek to ridicule the minister and
other organs of the state.

If you ask a former white farmer today what he would have done differently,
he will tell you that with hindsight, he would have cooperated in sharing
the land. Megaphone criticism without proposing better empowerment
programmes is self-defeating.

In his book Why we can't wait, Martin Luther King wrote: "The struggle for
rights is, at bottom, a struggle for opportunities. In asking for something
special, the Negro is not seeking charity. He does not want to be given a
job he cannot handle. So, with equal opportunity must come the practical,
realistic aid which will equip him to seize it."

Musarara is the secretary-general of the Affirmative Action Group,
sg@aag.co.zw This e-mail address is being protected from spambots. You need
JavaScript enabled to view it
 

The Mugabe factor in next presidential election

http://www.theindependent.co.zw/

Thursday, 11 March 2010 18:38

LAST week's proclamation by President Robert Mugabe of his intention to
stand for another term should his party confirm him stands out as one very
pivotal political  pronouncement that has pungent effects for Zanu PF and
the MDC-T. In typical political genteel posturing, Mugabe seemingly put his
political fate into the hands of the decision-making framework of his party,
yet we all know that when he makes such statements the party will have no
choice other than to affirm.

It is therefore clear and final that he will indeed be Zanu PF's
presidential candidate in the seventh presidential election in Zimbabwe
since Independence.

Zanu PF has lately been known to have so many presidential hopefuls -
evidently and assumed.

The political undertones that have been simmering in the party will now be
put to the test by this self-confessed intention by its leader to continue
on the presidential trail.

What this does is really throw some aspirants off course as there maybe
another five or more years' delay to their intentions of breaking the
one-man domination that has been prescribed since Independence. I

feel that the next five years in Zanu PF will actually bring in new
succession dynamics which may involve more contenders than those currently
known.

Five years is long enough a period to create new political scenarios
especially in political parties that are now as impatient about leadership
renewal as Zanu PF.

In my analysis, Zanu PF is a party that has perfected the art of creating a
generic political strand of leaders.

It has created a brand of leaders who would otherwise not survive anywhere
else outside of this party.

The party has a strong compulsion for indoctrination and self-identity which
has made its leaders and members unite even on agendas that would otherwise
defy conventional discharge.

Saliently some party members seemed to have been entertaining the idea of
presidential replacement for some time now. The Tsholotsho debacle of 2004
was one such marked expression of by-standing aspirants in projecting their
impatience.

The continued nuance of internal political reform has bogged the party even
up to its last congress where there were incidents of open defiance to the
continued dominance by the old guard.

The recent appointments to the politburo also failed to quench the thirst
for the leadership renewal quest within the party. There is therefore a
syndrome to stick to the old guard and Mugabe's announcement puts on ice any
hope of new presidential entrants from Zanu PF, at least within the next
five or so years.

The current presidential aspirants will likely face some frustrations at the
thought of holding on for another five or more years. At the same time there
may be new entrants into the race, who will therefore ruffle the current
expected genealogy of succession.

Predominantly there has been mention of two factions that are currently
battling to eventually replace the president.

This order may actually be re-arranged in the next five years as there may
be new players from within or outside of the two factions who will express
the same desire of ascendance into the high office.

As Mugabe holds on to power without any imminence of release, this will
temporarily work in creating some leadership stability in the party.

However, in the medium to long term, his recent announcement and intention
may eventually cause greater instability in the party as there may be more
aspirants piling up in the background waiting to replace him.

This piling will eventually create a pressure plug which may lead to a
bloody succession battle in the party.

Zanu PF has for long conceived a ritualistic approach to presidential
succession, intentionally elevating it to sacredness.

Mugabe has on many occasions avoided the succession equation by publicly
claiming that his successor will come from the people and not from his
imposition.

The party has fallen into the temptation of immediate and desperate power
entrenchment at the expense of sustainability.

Mugabe's announcement also has connotations for the MDC-T, who are best
advised to start strategising for the next elections.

With President Mugabe likely running against Prime Minister Morgan
Tsvangirai, this will be an epic battle. Mugabe may really be ruminating at
a last presidential term should he win.

Tsvangirai may on the other hand be looking at his last opportunity to stand
for the office that has eluded him since 2002, given that his party's
constitution indulges such limitations.

For the MDC-T, they will be facing a man who has been at the helm of the
country for the last 30 years and would therefore be determined not to bow
out with a humiliating electoral defeat.

The issues of legacy-building must be strongly evident in the mind of
Mugabe, who confers himself as the champion of Zimbabwean sovereignty and
self-identity.

In that regard, Zanu PF is likely to put in as much, if not more effort and
intention into winning this next election for the sake of this one-man
driven desire.

The other dimension of this next election is that the two contenders will
not enter the race from a purely bad-fellows platform, but will do so
against a background of having known each other closer from the unity
government matrix.

As Mugabe and Tsvangirai live out their roles in the coalition government,
they will now start to develop notions of gauging each other in terms of how
the next election will pit them.

Their respect for each other, though evidently limited, will continue to
dwindle as they prepare ground to throttle each other for the presidency.

To the MDC-T, the announcement by Mugabe must have come as no surprise.

When the global political agreement was signed, there was assumption that
there would be some form of compliance to its stipulations and guidelines.

However, it is now clear that the agreement has now been relegated to being
a procedural undertaking of power bickering. In that regard, the letter and
spirit of the GPA indicated and assumed that the government would be able to
handle all reform processes leading to a substantive election.

There was therefore no provision by Sadc, the Africa Union or the UN to at
least create interventions in future elections in Zimbabwe.

However, given the background that we now know of the unity government, it
is prudent to go back to Sadc, AU and even the UN to come up with an
international framework that must run this next election on behalf of the
deeply divided government of Zimbabwe.

If we attempt to run our own election in the midst and depth of this
political wrangling, we might as well be subjecting our nation to an
election that will leave us ripped apart, ungovernable and conflict-ridden.

Trevor Maisiri is the executive director of the African Reform Institute - a
political leadership organisation which also functions as a political "think
tank".

 

Candid comment: Zim’s ‘vilest scramble’ for diamonds

http://www.theindependent.co.zw/

Thursday, 11 March 2010 19:47

THERE is something paradoxical about diamonds. Ideally they should be a
source of wealth and prosperity — even a symbol of love (“a girl’s best
friend”, Marilyn Monroe told us) — but sometimes they can be a source of
untold misery. Where they are mined responsibly, as in Botswana, South
Africa or Namibia, diamonds contribute to economic development and
stability.

However, where governments are or were corrupt and vile, as was or perhaps
still is the case in Angola, the DRC, Liberia or Sierra Leone, the
glittering gems became agents of slave labour, mass displacement, murder and
economic ruin.

Angola, DRC, Liberia and Sierra Leone were in recent years shattered by
civil wars — some of them with roots in colonialism — fuelled by blood
diamonds. Instead of being a source of economic development and progress,
diamonds became a cause of death and destruction.

It is true that the miseries of modern Africa are, in many ways, a legacy of
its history and colonialism. The meddling of colonialists, superpowers and
foreign governments caused havoc. Joseph Conrad called the Belgians’
pillaging of the Congo “the vilest scramble for loot that ever disfigured
the history of human conscience”.

However, African leaders and their internal rivals have exploited diamonds,
oil and other natural resources for primitive accumulation of wealth and to
fund their repressive and corrupt rule.

Diamonds need not lead to calamity. Botswana, the world’s largest diamond
producer by value, is one of the most stable and relatively prosperous
countries in Africa. The diamond industry there employs nearly a quarter of
the country’s 1,8 million population and accounts for two-thirds of
government revenue.

De Beers, the South African conglomerate that controls two-thirds of the
world’s rough diamonds, and the Gaborone government control the industry in
Botswana in a 50-50 partnership arrangement.

When De Beers discovered diamonds in Botswana in 1969, the country had been
independent for three years and was run to all intents and purposes by
leaders and traditional chiefs who owned cattle and goats. Britain virtually
abandoned Botswana as its protectorate in 1966. The country had nothing.

It only had 10 km of tarred road. There were no schools, hospitals and
clinics to talk about. And no traffic lights. Botswana did not even have a
currency of its own!

However, during the past four decades Botswana changed into a completely
different country.

Using diamond revenues, the government built roads, schools, hospitals and
clinics. New modern infrastructure lured investors and created employment,
while expanding the economy. The lives of the ordinary people improved
enormously despite continuing social problems.

At the height of the economic crisis in this country, Zimbabweans survived
on food and other imports from Botswana and other neighbouring countries.

Botswana has shown that diamonds, if responsibly mined and sold, can
stimulate economic and social development.

Terry Lynn Karl, professor of political science at Stanford and author of
The Paradox of Plenty, a book about the poisonous mix of natural resources,
big money and thieving elites in developing countries, observed: “Diamonds
are not devils.

“What matters is that there be a tradition of good government and compromise
in place prior to the exploitation of these resources,” he said.

Which brings us to Zimbabwe where a “vile scramble” for diamonds is
underway. One would have thought by now Zimbabwean leaders would have learnt
something from African countries on what to do and what not to do. But alas
it does not appear as if anything has been learnt from elsewhere. That is
why we have conflict at the Marange or Chiadzwa diamonds fields.

Diamonds were discovered in Marange in June 2006. Instead of putting in
place structures and systems for organised mining, government effectively
encouraged a diamond rush by declaring the fields open to anyone to mine.

The diamond fields were swamped by panners, smugglers and crooks. The
eastern hinterland of the country rapidly descended into in a low-intensity
conflict.

Serious human rights abuses were perpetrated by state security forces when
they were deployed in 2007 to fight illegal panners and smugglers before
they joined in the pillaging.

Instead of stepping in to restore order, government joined in the fray. It
ganged up with dubious foreign companies and individuals to plunder the
diamonds.

The parliamentary portfolio committee on Mines and Energy is currently
investigating how South Africa’s New Reclamation Group and Core Mining &
Minerals (Pty) Ltd got their controversial mining licences.

With the situation in Chiadzwa now involving foreign companies, security
forces, shadowy characters some of whom have been diamond smugglers and
mercenaries and greedy politicians and their surrogates, Marange has become
a power keg set-up.

Zimbabwe must learn from its neighbours, Botswana, South Africa and Namibia.
Diamonds need not be a source of conflict, but national wealth and
prosperity.

Dumisani Muleya

Comment: Reassignments betray duplicity

http://www.theindependent.co.zw/

Thursday, 11 March 2010 19:45

PRESIDENT Robert Mugabe last Thursday published 33 statutory instruments in
an extraordinary Government Gazette outlining which minister is in charge of
administering which Acts of parliament.

Though his move was in line with the constitution which states that it is
the president who assigns functions to ministers, including the
administration of Acts of parliament, it came as a shock to his partners in
the inclusive government - Prime Minister Morgan Tsvangirai and his deputy
Arthur Mutambara - and has further strained relations in the marriage of
convenience.

Mugabe's move also flies in the face of claims he made during a meeting with
editors at Zimbabwe House, the very same day the gazette was published.

While the president was speaking to the editors like a statesman and
assuring them that the coalition government was functioning well, the
government press was working overtime printing statutory instruments meant
to consolidate his power in government.

"There are no more doubts about each other's honesty (between Mugabe and
Tsvangirai). The inclusive government has built in us, within us, as we
operate, that element of virtue, of trust," Mugabe opined.

"There are no cracks at all. There might be voices of discontent, some
criticism, but that happens. It is expected."

But there can be little trust when he goes behind the back of his partners
to rearrange ministerial functions in a way that subverts the GNU.

Mugabe exhibited complete disregard and disrespect for the new
administration by unilaterally overturning the principle of consultation
with his partners as outlined in the global political agreement signed in
September 2008.

The president's move also mirrored the power relations in government where
Mugabe and Zanu PF still call the shots, make important decisions and are
firmly in charge of key organs of the state despite losing elections.

In the reassignment, Mugabe relocated vital roles from ministries under the
MDC formations to ministries controlled by his party in his unbridled quest
to consolidate power and determine the direction of government.

Mugabe in one fell swoop unilaterally trimmed the functions of MDC-T
ministries of Information Communication Technology; Constitution and
Parliamentary Affairs; Science and Technology; Parastatals and State
Enterprise; and the MDC-M's Regional Integration and International
Co-operation ministry.

This was not only a gross violation of the GPA, it was clearly designed to
water down the spirit of power-sharing by Mugabe and Zanu PF who have taken
a lackadaisical approach in fully consummating the unity government pact.

Nelson Chamisa, the MDC-T spokesperson, was this week quoted aptly saying:
"This is all trying to have the MDC as an accessory. a mere decorative
element without necessarily being part of this government.
Failure to solve this would mean a disaster for the inclusive government."

Mugabe's intransigence confirms fears by the United States, Britain and its
European Union allies that a lot is yet to be done in fully implementing the
GPA to warrant the international community lifting sanctions and loosening
their purse strings to bankroll the revival of the vegetative economy.

The reassignment came barely a month after another statutory instrument
outlining indigenisation regulations was published by a Zanu PF minister
without the consultation of the two MDC formations in cabinet. The statutory
instrument discourages investment and encourages capital flight.

Besides the statutory instruments, Mugabe and Zanu PF have since the
formation of the inclusive government declined to cooperate in the
resolution of the outstanding issues of the GPA which include the rehiring
of Reserve Bank governor Gideon Gono, the appointment of Attorney-General
Johannes Tomana and the refusal to swear in Roy Bennett as deputy
Agriculture minister.

Fears abound that serious repression will continue, since Mugabe has
reassigned  implementation of the Interception of Communications Act, which
was under Chamisa's ministry, to the President's Office. The President's
Office houses the Central Intelligence Organisation which will now be
empowered to intercept communications between individuals and organisations.

The President's Office will also administer the Emergency Powers Act
(previously with the Home Affairs ministry); Zimbabwe National Security
Council Act, Procurement Act and the Commissions of Inquiry Act.

Adding salt to the wound, Tsvangirai and Mutambara's efforts to resolve the
issue were resisted by Mugabe on Monday when they met. What a slap in the
face for their sanctions-lifting endeavours!

Is this not the right time to call in South African President Jacob Zuma to
play his mediation role and end Mugabe and Zanu PF's intransigence?

Editor's Memo: Media freedom: time to walk the talk

http://www.theindependent.co.zw/

Thursday, 11 March 2010 19:03

MEDIA freedom is not only a fundamental right but also a basic necessity for
a multi-party democracy to thrive and blossom. President Robert Mugabe was
dead right last Thursday when he told editors from various stables of the
need for an open media if the inalienable right to a free press is to be
upheld.

Mugabe's words on the media should now be put into action as a matter of
urgency to exhibit his government's sincerity on reforms and to build a
nation whose foundation is copper-bottomed in an unfettered press.

The first step is for the newly constituted Zimbabwe Media Commission to
immediately set up shop. It needs to have a secretariat and start issuing
newspaper licences to applicants who have waited patiently to launch new
media houses.

The country's electronic media has been dominated by the publicly-owned, but
state-controlled, ZBC since Independence and it's now time that the monopoly
came to an end.

The Broadcasting Authority of Zimbabwe (BAZ) should issue broadcasting
licences to private players for plurality in the airwaves. The country
desperately needs more radio and television stations to educate, inform and
entertain the public for the betterment of the nation.

Issuing of electronic media licences should only be done after the BAZ board
has been reconstituted to get rid of media hangmen like Tafataona Mahoso who
currently chairs it. It is common cause what Mahoso did to the print media
over the last decade, and a person of such disposition should not be allowed
near any institution to do with the media. It was refreshing to hear Mugabe
saying his government would reconstitute the BAZ board if it was appointed
un-procedurally.

It is my hope that the MDC formations will soon table this issue before
cabinet for its redress.

Government should also immediately abrogate or amend draconian laws that
unduly restrict media freedom and plurality, among them the Access to
Information and Protection of Privacy Act, Public Order and Security Act,
Broadcasting Services Act, Official Secrets Act, Prisons Act, Censorship and
Control of Entertainments Act, Courts and Adjudicating Authorities (Public
Restrictions) Act, the Privileges, Immunities and Powers of Parliament Act,
and the Criminal Law (Codification and Reform) Act.

The law of criminal defamation with its charge of publishing "falsehoods"
continues to have a chilling effect on media freedom and should be
abrogated. It has been repealed in many Commonwealth jurisdictions where
courts have found it inimical to democratic freedom.

The Media Institute of Southern Africa - Zimbabwe chapter - and many media
organisations and journalists have over the years complained bitterly about
criminal defamation laws which they said were ill defined and because of
their ambiguity discourage "the media from criticising government ministers
and policies, or the expression of political dissent".

Journalists have argued that civil law provides adequate redress in case of
defamation.

While it was welcome that Mugabe said "arresting a journalist just because
(he or) she has written something you dislike is wrong", journalists should
have asked the octogenarian president why he did not cause the release of
scribes arrested on flimsy grounds over the years.

If Mugabe does not subscribe to the apprehending of journalists, who has
been giving orders for their arrest? Why has he been quiet all along about
the issue?

When I was arrested with my then editor Vincent Kahiya last May, we learnt
from co-Home Affairs minister Giles Mutsekwa that the order to apprehend us
did not come from him or the Commissioner-General Augustine Chihuri.

Mutsekwa told parliament that it came from none other than Attorney-General
Johannes Tomana, whom he said has been asked for a report on the matter. Up
to now the report is yet to be tabled in parliament.
As from last Thursday, we are going to hold Mugabe to his word.

It is clear that there are elements in Mugabe's government whose job is to
undermine and stifle the media. They do not want the media to play its
oversight role on the three arms of the state - the executive, legislature
and the judiciary. The guilty are understandably afraid of the prying eyes
of the media.

The constitution-making process should result in a supreme law that
guarantees unfettered media freedom, not the current situation where press
liberty is implicitly guaranteed under Section 20, the general freedom of
expression clause. There can be no democratic progress without
root-and-branch media reform. The president has opened the way.

Constantine Chimakure

Independent Editor

Trail of debt all the way to China

http://www.mg.co.za/

JASON MOYO | HARARE, ZIMBABWE - Mar 12 2010 06:00

As Xin Shunkang, Beijing's man in Harare, loudly sang the last notes of
Zimbabwe's national anthem, Simudzai mureza wedu weZimbabwe, in flawless
Shona, one Zimbabwean official leaned over, grinned and asked a journalist:
"Can your Americans do that?"

Robert Mugabe chose to celebrate his 86th birthday at a foreign embassy and
the glee on his face was telling as Xin led the choir of his embassy staff
in song. This was the first time in his 30-year rule that Mugabe had entered
a foreign mission, said a beaming foreign affairs minister, Simbarashe
Mumbengegwi.

Zimbabweans derisively call cheap-quality Chinese goods "zhing-zhong". But
there is no doubting the quality of China's diplomacy and how it is
protecting its own commercial clout in the resource-rich country while
others are losing theirs.

Over cake, Mugabe gushed: "We treasure this friendship. It's not really the
relations that count, but the love, alliance and understanding."

There is more to confirm China's tightening hold on Zimbabwe, from the large
contracts being awarded to Chinese companies to the packed Chinese-language
classes at the country's largest university.

But the true extent of China's hold on Zimbabwe will be seen in how Mugabe
treats Chinese investors in his campaign to "indigenise" the economy. Large
Chinese corporates control key Zimbabwean industries. China's Sinosteel owns
92% of Zimbabwe's largest ferrochrome producer, Zimasco. Sino-Cement owns
one of the country's largest cement factories, and China Sonangol has been
awarded contracts ranging from housing to mining.

Under Zimbabwe's empowerment laws, they would have to give up 51%. But
history, Zimbabwe's debts and the leverage China has over Mugabe because of
its role as his protector at the United Nations will likely make Chinese
investors more indigenous than their Western rivals.

Chinese money has not relented on Zimbabwe. Government's ­mineral marketer
recently signed a deal to sell undisclosed amounts of the country's nickel,
cobalt and copper to China's Jinchuan Nickel Mining Company. Other Chinese
companies are taking over unused mining claims ceded to government by
established miners, such as Zimplats, the Implats arm.

China is building what it calls "the biggest glass factory" in Zimbabwe. The
military buys Chinese fighter jets and other arms and Chinese traders are
the biggest bidders at Zimbabwe's ivory auctions.

Chinese technology giants ZTE and Huawei have won contracts worth more than
US$200-million from leading private telecoms operators to build mobile phone
and broadband infrastructure. Last month China extended a US$53-million
grant to NetOne, the loss-making state-owned mobile operator, prompting talk
of a takeover despite the empowerment laws.

With the West holding back on credit, ambassador Xin says his country last
year poured US$300-million into Zimbabwe. This is far short of what Zimbabwe
expected from an old friend, but it is much more than what's coming from a
sceptical West.

Last week Mugabe expressed gratitude for China's veto of United States and
British attempts to bring UN sanctions on Zimbabwe. But that veto has left
him at China's bidding. Little is ever disclosed about the terms of the
loans and critics fear Mugabe could be secretly mortgaging family jewels.

But Xin disputes Western images of a greedy China gorging on African
resources, telling a military academy on Monday that his country was all
about "developing Africa's resources".

Yet there are recent suggestions of old friendships unravelling. Following a
recent visit to China, Deputy Prime Minister Arthur Mutambara claimed
Beijing now sees Zimbabwe only as a business partner and not as a friend.
China would not give any more loans until Zimbabwe paid back what it already
owed, he said.

"The Chinese have said: 'We'll not condemn you publicly, but we'll not give
you cash.' Unless we do the right thing, the Chinese will not work with us,"
Mutambara said.

But just as Mutambara suggested a shift, China agreed to reschedule by three
years a US$55-million debt owed by Zimbabwe's largest steel-maker. This has
been China's ­winning approach -- easy loans, far removed from the
conditional aid of the International Monetary Fund and the World Bank.

Miracle op girl to return home

http://www.zimeye.org/?p=14666

Published: March 11, 2010

THE 18-year-old Mutare girl given months to live after growing a cancerous
tumour in her mouth is to return home after undergoing life-saving surgery
in the United Kingdom.

Taremeredzwa Nomatter Mapungwana has been discharged by doctors but will
return to London early next year for reconstructive surgery and jaw
realignment.

On Sunday, well-wishers and campaigners plan a farewell party for her and
mum, Thandiwe, after almost five months in the UK.

Nomatter's tale of suffering touched Zimbabweans around the world who raised
close to £12,000 for the operation within two weeks.

She flew to the UK in October last year after Air Zimbabwe donated two
return tickets.

On Thursday, Nomatter's mother told of her joy at her recovery from the
operation carried out by Professor Iain Hutchison, an expert in facial
reconstruction. Hutchison waived his fee which would have pushed up the cost
of the operation.

"I am very relieved, really happy with the present situation. She can close
her mouth, greet people and eat. Physically, she is fit, a series of tests
were conducted and they found nothing wrong with any part of her body except
the mouth which had been deformed by the tumor," Thandiwe told New
Zimbabwe.com.

She said she was "proud" of national airline Air Zimbabwe for offering to
fly them to London and back at no cost.

"Their gesture was particularly important because people didn't know where
to start with helping us, but once Air Zimbabwe took care of the flight
situation, given Tare's special needs, everything fell into place.

"We will also be forever grateful to all the people around the world who
prayed for us, and those whose donations mate this possible. May they
continue to do good to others, and I pray God will bless everything they
have and their families."

Nomatter was a bright A' Level student at St David's Girls High School in
Mutare until she was struck down by the aggressive tumor, which disfigured
her facial bones.

She was breathing with the aid of a tube connected to her throat, and
described eating as a "nightmare".

Now Nomatter, whose dream is to become a doctor, aims to return to school
and write her A' Level exams in Maths, Biology and Chemistry.

Her mother said: "She's looking forward to it. She wants to use the coming
year to conclude her studies, and we are both keen on writing a book about
this experience." -New zimbabwe

Typhoid cases rise to 45

http://www.herald.co.zw

Friday, March 12, 2010

Herald Reporters

Confirmed typhoid cases in Mabvuku have risen to 45 amid unconfirmed reports
of another death from the disease in the same suburb.

Last week Harare City Council officials said five people died while 35
others had been treated for typhoid.

However, yesterday city health services director Dr Stanley Mungofa
dismissed reports of the deaths.

Regardless, Mabvuku residents said a man from Mhonda Street died after
displaying typhoid symptoms yesterday morning.

Dr Mungofa said they were offering free treatment. "Nobody will be denied
treatment at the council clinics.

"The number of confirmed cases has risen to 45 and we suspect there could be
more as many are still being reported in the community.

"We have started campaigns to raise awareness of the disease among residents
in the suburb," he said.

Dr Mungofa said council, Government, the World Health Organisation and
Unicef were monitoring the situation.

He appealed to the public to exercise strict hygiene practices and avoid
drinking water from unsafe sources.

Nyamaturi Street residents in Mabvuku yesterday said many people had been
treated for the disease while others in the area said the outbreak could be
linked to an unprotected well there.

Mrs Loice Chimbwanda said: "We only got water two weeks ago after the first
cases were reported but we had gone for close to six months without water.

"There was also no refuse collection during that period. We are disheartened
that council acts only when there are disease outbreaks before attending to
service delivery."

Typhoid fever is transmitted by ingestion of food or water contaminated with
an infected person's waste.

Symptoms usually develop one to three weeks after exposure.

It is characterised by slowly progressing fever reaching about 40 degrees
Celsius, profuse sweating and non-bloody diarrhoea.

Untreated typhoid fever manifests itself through headaches, coughing, nose
bleeds and abdominal pains.

US Report Paints Grim Picture of Human Rights in Africa

VOA News 11 March 2010

Photo: AP

Demonstrators protest outside the court in Harare, Zimbabwe on 18 Feb 2009 and call for release of political prisoners held by ruling ZANU-PF party

The new U.S. annual report on human rights says abuses are still widespread across Africa, though it notes improvements in a few areas.

The report, released Thursday, says government security forces commit arbitrary and unlawful killings in some of the continent's most populous countries, including Nigeria,  Kenya, and Ethiopia.

Its authors accuse the party of Zimbabwe's President Robert Mugabe of using arrests, torture, killings, and repressive laws to effectively block the right of citizens to change the government.

The report also criticizes the Democratic Republic of Congo for failing to protect civilians in the country's volatile east, and Uganda for considering a bill that would provide the death penalty for homosexuals.

On a more positive note, the U.S. says Somalia's transitional government is showing an increased respect for human rights.  However, the report said the overall human rights picture in Somalia has deteriorated because of continued conflict, the availability of small arms, and the absence of the rule of law.

The State Department evaluates the human rights record of every country in the world each year, as required by law.

This year's report contains appraisals of 48 African countries.  The full report is available on the State Department's Web site at www.state.gov.

UN aid agencies on alert for potential floods in Southern Africa

Fishing and farming communities all along the banks of the Zambezi river have suffered from flooding

11 March 2010 - The United Nations is gathering supplies for some 130,000 people in southern Africa on alert for potential evacuation from flood-risk zones following weeks of torrential rains in northern Mozambique and neighbouring Angola, Namibia, Zambia and Zimbabwe.

Normal to above normal rains have swollen rivers, forcing authorities to discharge water from the Kariba Dam in Zimbabwe and the Cahora Bassa Dam in Mozambique, the Office for the Coordination of Humanitarian Affairs (OCHA) reported.

The Mozambican Government on Tuesday declared a Red Alert, signifying imminent danger. Over the past week, between 50 and 100 millimetres of rainfall was reported in the Northern and Central regions of Mozambique, particularly in areas located on the Zambezi River such as Tete, Manica, Sofala, Zambezia, Nampula and Inhambane provinces.

The UN Children's Agency (UNICEF) has said the Government and its aid partners have pre-emptively relocated at least 13,000 people displaced people to safe areas.

In Zambia, of the 4,800 estimated people living in the affected area, at least 900 have been have been taken to Independence Stadium in northern Lusaka, where the Government has set up temporary shelter.

The Ministry of Education there has told local UNICEF officials that some 10 schools in the Lusaka areas are under water. The flooding has already caused a spike in water-borne illnesses in Zambia. At least 900 cases of cholera have been reported, of which 19 were fatal.

Governments in Angola, Namibia and Zimbabwe are monitoring the situation closely with UN Country Teams and national hydrological agencies, and coordinating with international partners on a response.

Given that the rainy season is ending in southern Africa and the situation appears to be under control so far, the probability of further flooding causing a significant humanitarian impact appears to be low, OCHA reported.

The rainy season in east Africa is just beginning. Unusually heavy rains in Kenya and Uganda have caused deadly flooding affecting thousands of people in both countries.