The mining sector in Ethiopia earned 293 million US dollars over the last two quarters according to the Ministry of Mines. 218.2 million US dollars of the revenue was earned by Artisan miners.
The mining exports included Gold (5484 kg), Tantalum (145 tons), Jewels and Minerals (7339 kg) Marble (532m3) and Platinum (350g).
Additional income of 600 thousand dollars was earned by geological surveys carried out by the Ministry of Mines according to Bacha Faji, Department Head of Public Relations and Communication with the MoM. The ministry conducted 22,409 mining samples he noted.
The total revenue earned over the last two quarters exceeded that of the same period last year by 1 million US dollars said Bacha.It is to be remembered that Traditional artisan gold miners in Ethiopia failed to meet expectations of output, over the last two quarters. Artisan miners have produced 3809kg of gold in the past two months which is 44% less than the targets set by the Ministry of Mines in Ethiopia.
The persistent decrease in price seen in the international market has discouraged miners according to Tamrat Mojo, Head of the Traditional Mines, Manufacturing, & Transactions Department of the Ministry of Mines.
The National Bank of Ethiopia has offered a 5% margin above the international price to encourage production although this incentive has failed to work as effectively after the decentralization of the market, which delegated the Commercial Bank to facilitate gold purchases through its branches in the gold producing regions.
Some producers expressed dissatisfaction with this arrangement as it entails an additional 2% service charge.
The lowered output can also be a reflection of deteriorating gold reserves in some of the areas mined by traditional artisans noted an expert working with a private mining firm.
Source: Capital
