Africa-Press – Zimbabwe. MINES and Mining Development minister Winston Chitando says illicit activities and gold smuggling remain major concerns for Zimbabwe’s gold sector, amid the criminal trade potentially eroding 40% gains in gold revenues.
According to the United Kingdom-based gold market tracker BullionVault Ltd, year to date, gold prices have surged by 40% to US$3 338,19 per ounce for the mineral.
A 2020 investigation by International Crisis Group reported that Zimbabwe is estimated to be losing US$1,5 billion annually to gold smuggling, translating to 22,4 tonnes a year and 1,87 tonnes monthly.
Consequently, if the monthly smuggled gold tonnage is valued, Zimbabwe could have lost at least US$660 million from the first quarter.
According to the Zimbabwe National Statistics Agency, gold exports generated revenue of US$755,24 million in the first quarter, from a 2024 comparative of US$385,13 million.
The Home Affairs ministry has previously reported that Zimbabwe is losing at least US$100 million monthly to gold smuggling.
“It is important to acknowledge, however, the significant challenges that continue to face our gold mining sector. Foremost among these are illicit activities and the ongoing issue of gold smuggling,” Chitando said during the 2025 First Quarter of Gold Mobilisation workshop in Harare on Wednesday.
“Due to its inherent nature as a high value and low volume commodity, gold is particularly susceptible to leakages to various international markets.
“To effectively curb these detrimental activities, strong collaboration and shared responsibility amongst all stakeholders is paramount.”
The top two destinations for Zimbabwe’s smuggled gold are the United Arab Emirates and South Africa.
“Aggregating this performance for the first quarter of 2025, we see a total gold delivery of 8,5 tonnes which is well above the target of seven tonnes set for the first quarter of 2025.
“This demonstrates a solid start to the year and provides a strong foundation upon which to build,” Chitando said.
“For the first four months of 2025, the statistics for our monthly gold deliveries demonstrate the significant contribution of our mining stakeholders. In January, we recorded a total purchase of 3,13 tonnes of gold.
“This momentum continued into February and March with 2,56 tonnes and 2,79 tonnes, respectively.
“These figures underscore the inherent potential within our gold sector and the dedication of our miners in particular.”
He reaffirmed being committed to supporting small-scale producers through formalisation, training and access to fair markets.
Small-scale gold miners contribute at least 60% to gold exports.
“A closer examination of the production analysis reveals a familiar pattern that highlights the critical role played by our small-scale producers,” Chitando said.
“In January, February and March 2025 their contributions were a substantial 2,27 tonnes, 1,64 tonnes and 1,86 tonnes, respectively, showing an average monthly contribution of 68% of the total production.”
He said this consistent performance underscored the effectiveness of the ministry’s ongoing efforts to formalise and empower this pivotal industry.
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