Mining industry jobs to grow by 3pc in 2025

Nelson Gahadza

Zimbabwe’s mining sector employment is projected to grow in 2025, largely driven by ongoing and new mining expansion projects, which will bolster the sector’s capacity utilisation.

The Government has been encouraging value addition and enhanced investment in the sector to increase productivity, employment creation, increase in exports and foreign currency generation.

According to the Chamber of Mines of Zimbabwe’s Mining Prospects for 2025 Report, the measured index for employment prospects for 2025 is +5,1, meaning mining executives are positive about increasing employment numbers in 2025.

The report says the mining industry’s formal employment is expected to increase by around 3 percent in 2025 to 58 700 from 57 000 in 2024.

“Approximately 50 percent of mining executives indicated that they plan to increase the number of employees in 2025, citing ongoing expansion projects to drive increased hirings,” said the Chamber of Mines.

“About 38 percent are expecting to maintain the same level of employment in 2025.”

According to the Government, the private sector is expected to play a big role in the attainment of the envisaged employment and growth, while the Government will facilitate the ease of doing business to encourage investments in the sector.

For instance, Zimplats, the country’s largest platinum producer, plans to spend US$1,8 billion on capital expansion projects that are at different stages of implementation until 2028. Karo Mining Holdings is also going ahead with the development of its multimillion platinum project, while Bravura Consortium is progressing on its platinum and lithium projects.

The Chamber of Mines noted that capacity utilisation was set to reach 90 percent in 2025, up from 84 percent in 2024.

It said key sectors anticipated to drive the improvement in capacity utilisation include gold, ferrochrome and platinum group metals (PGMs), off capital expenditure of about US$600 million.

According to the Chamber of Mines, mining executives are generally confident about their businesses’ prospects in 2025, driven by variables such as commodity market outlook and mining industry growth. Payments to the Government are projected to reach US$1 billion in 2025 compared to US$960 million for 2024.

“The measured index for commodity market outlook for 2025 is +13,1 and this means that mining executives are generally optimistic about the prospects of improved commodity market conditions in 2025 and are anticipating commodity prices of key minerals to gradually pick up in 2025,” it said.

On beneficiation and value addition in the lithium sector, the Chamber of Mines noted that all lithium producers indicated they were exporting lithium concentrates in line with the Government policy.

Respondents in the lithium sector indicated they agreed with the Government for the establishment of beneficiation facilities that result in the production of lithium sulphate.

The lithium producers further highlighted they were working with the Ministry of Mines and Mining Development in developing a lithium beneficiation roadmap that will see the construction of the beneficiation facilities within reasonable timelines in line with
the best practice beneficiation project life cycle.

Young Miners Foundation (YMF) chief executive officer Mr Payne Farai Kupfuwa said mining sector employment was expected to grow in 2025 due to several positive developments in the sector.

He said an increase and stability in gold prices would boost the gold mining business. This, he noted, would create more employment at already functioning gold mines, as well as new gold mines that are being established and some that are being resuscitated.

“There is an increase in foreign investment in gold, platinum, lithium, chrome, gemstones and diamond mines due to the Zimbabwe Is Open for Business approach.

“We are seeing a sharp increase in investment and expansion at small, medium and large-scale mines, which will create more employment.

“Upgrades to road networks and construction of new mining-related infrastructure are being witnessed in the country, and this will bolster efficiency gains in the mining business, which attracts more employment,” he
said.

Mr Kupfuwa noted that of late, there had been improved business confidence in the country, witnessing more foreign investors coming to mine chrome and gold, even at small to medium-scale mining level, and this will create more jobs in 2025 and beyond.

“There is also an increase in players getting into small-scale mining due to the entrepreneurship drive in the country, which will also create more employment opportunities in the mining value chain,” he said.