Zambia seeks bigger copper profits - 12 December 07

[tech4156]

zambia's copper production= over 20 billion a year, also more reserves have been found since, approx $400billion worth

[Wakimika]

Would be great to see a follow-up report on the situation now that copper prices have fallen dramatically.

[keithmwana]

There has truley been some prosperity in Zambia over the lat few years its a shame the international media NEVER show this side of the story.Africa needs to focus its future with the growing econmies in Asia, trade with China, India etc will be more beneficial to all. Europe will continue to talk sweet words and ripe you dry in the end. Hats off to the AU for not renuing EU contracts simply because they are not fair. iam not anti-europe iam just anti-bullying!

[mandzipoo]

I live in Zambia and in the past 8 years the country has began to bloom,roads are better,there are more cars,more school graduates.. media twists this to make it appear like no-one is getting benefits and the "terrible" westerners are doing the country a disservice. When the mines were under government control the country sank into a spiraling decline and the economy was severely damaged! I wish we could rely on journalists to report the entire truth and not dramatize things so much .

[sightsr]

The problem with Africa is mismanagement,the entire continent is awash with immense wealth,the west is trying to bring it's evil ways,we need strong leaders to stand up against economic aggresion Mwanawasa is corrupt and has sold his people out what a shame to us Africans copper is building China and india the price of copper is good but there are no results on the ground.

[Karonl6]

the imf black mailed them into siging those agrements

they needed a loan and they force them to privitize the reosuces so white could get richer

the un

the img

the wto

all white power curruption

[drewdoug]

Wonderful things...Zambia needs to get the largest share in all this.Have the investors put up some infra-structure and thats real commitment.Peace

[iqubal2000]

every supper power out there is pile stocking nukes and copper demand is really high so zambia chile canada etc should hike up prices and limit production

[ismadam1]

Some of the Asains are bringing Africa newer ideas, such as education, business and investments in other sectors. If you think other wise look at Sudan. China has done some pretty good deals with the Sudan government. Fuck the waste/west and get better deals from Asia who won't interfer in your politics as well.

[NCAgentX]

Ya China has done some good deals with Sudan because Sudan has oil. In exchange china prevents any UN resolutions from being passed to deal with the genocide going on Sudan. Nothing is for free in this world. thats why china doesnt interfere in Sudan's political and humanitarian issues.

[ismadam1]

Times are changing ruther quickly. The African Union refused to give the European Union new contracts in some countries because Europeans are greedy. And also because there are new players on the stage from Asia. Things look great for Africa if they refuse to give Europeans new contracts. Europeans just offer aid and a few dollars to the rulers and ignore the poor.

[Qeeyroo]

nationalize it, no delay

[NCAgentX]

I agree 100 percent.

[Ayeere]

What happens is that the Gov of Zambia makes a contract with outside investors. The outside investors develope the mines, they give the machinery to do the job, and are the ones who created the modern technolgy. So without the foreign investors the mine would not have been opened.

Then the government sees it can take the mines for more then agreed on. The mines will eventually be nationalized, breaching the contract. Though there is not much the corporations can do.

[Ayeere]

Nationalization happened to the oil industries in Saudi Arabia and Venezualia. Though the Gov did not invest in the billions of dollars of infrastructure, or help develop any of the technology to do the job, they take it at huge cost to the corporations who created it.

The compensation given is usually less then 3% of what was invested. But it helps the countries. AkA VEnezualia.

[apc3161]

So on one hand, you have the government taxing so much, that you get no international investment and output goes down. On the other hand, taxes could be too low such that the country isn't being paid enough for its resources.

Somehow the government has to decide what tax rate on the resources will maximize revenue, while trying to not stifle investment. Tough situation.

[apc3161]

And from what I've read, the biggest problem isn't the lack of taxes, but the government corruption. The government just used the money for extravagant luxuries for the ruling class.

[NCAgentX]

LOL. How correct you are. At least some people make sense.

[sgelles]

zambia also has exceptionally even distribution of wealth relative to other countries in its gnp bracket

[sgelles]

that's why zambia has one of the most stable governments in africa -- because it looks out for the interests of its people and not the interests of global capital

[eyeofhebeholder1]

This is what the terrorism called "colonizing" has done - allowed Europeans and Americans to own natural resources. These countries should nationalize their businesses the way Castro did in Cuba.. and boot out Western leeches.

[darkwraith07]

most interesting! Thank you