ZIMBABWE’S gold deliveries for the first three months of the year rose by an average 6 percent to reach 3 126 kilogrammes.
The African Development Bank in its Monthly Economic Review for April noted that the country’s primary producers were the
largest contributors to this growth.
“Gold deliveries grew at an average rate of 5,77 percent for the first three months in 2012 to register a cumulative total of 3 126,6kg, while the average growth rate for small-scale and primary producers stood at -3,2 percent and 8,3 percent, respectively during the same period,” said the AfDB.
The regional financier attributed the positive performance of the gold local sector in the period under review to conducive internal and external macro-economic conditions.
For instance, in early March, gold prices reached a high of US$1 710 an ounce.
The international prices of metals such as gold and platinum appear to be largely benefiting from a weakening United States dollar and the eurozone financial crisis as investors are favouring investing in commodities.
“These positive growth rates can be attributed to the firming gold prices on the international commodity markets with the spot price averaging more than US$1 600 an ounce and the positive macroeconomic outlook in the country that have allowed an increase in production capacity as compared to developments in 2011,” said the bank.
It was, however, noted that, month-on-month gold deliveries in March registered positive growth for both small-scale producers and primary producers with 13,59 percent and 26,01 percent, respectively.
There was also a significant rise in overall gold deliveries between February and March, which grew by 23,4 percent.
On a year-to-year basis, cumulative gold deliveries for the first three months in 2012 grew by 21,64 percent against to the comparable prior period.
At the same time, small-scale producers and primary producers grew by 19,2 percent and 22,3 percent, respectively in the first quarter of 2012.
from the figures attained in the first quarter of 2011.
The local gold sector is this year expected to grow by 12 percent. Positive international commodity prices (especially for gold) are anticipated to drive the local mining sector’s growth this year.
Zimbabwe’s mining sector is expected to grow by 15,8 percent this year, which is a decline from last year’s growth rate for the sector at 25,8 percent.