WEEKLY MEDIA REVIEW: 10 JULY TO 17 JULY 2015

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President Nyusi on working visit to Portugal (see page 38 for more).

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OBJECTIVE KEY PERSONS Offering seamless solutions for asset protection Dr. Leonardo Simão - Executive Chairman in SADC political and security environment. Executive director of the Joaquim Chissano Foundation, Chairman of United Bank of Africa VISION and Member of the SADC Mediation Team for Providing a network of political and security risk Madagascar, Leonardo Simão served as Minister advisers with first-hand knowledge of of Health from 1988 to 1994 and Minister of Mozambique and each country in the SADC. Foreign Cooperation from 1994 to 2005. Graduated in Medicine, Specialist in Public SCOPE OF SERVICES Health, he is a founding member of the Medical Country Risk Management Association of Mozambique and member of the  Country Risk Assessment Mozambique Medical Council.

 Market Entry Nuno Tomas - Director  Due Diligence A career diplomat, Nuno Tomas is Senior  Research & Investigations Adviser to former President of Mozambique,  Cultural Nuances and Understanding Joaquim Chissano since 2005. He has been  Health, Safety & Environmental involved in special political missions across Management Africa focussed on Conflict Resolution,  Physical Site Assessment Sustainable Development, Accountability and Compliance Good Governance.  Sanctions (US, EU, UK, Asia)  Anti-Money Laundering (AML) Nigel Morgan - Director  Anti-Bribery / Corruption (FCPA, BBA, For more than two decades, Nigel Morgan has OECD) advised multinational companies, financial  Litigation Support institutions and private clients on political and  Know your Client / Source of Funds (KyC / security risk related to foreign direct investment SoF) in Africa. He served in the Irish Guards and at Specialised Security Services the Centre for Policy Studies in London during  Corporate Security Planning the premiership of .  Crisis Management  Emergency Evacuation Joe van der Walt - Director  Executive Protection Former South African military officer, who has  Kidnap and Ransom specialised in private-sector security in Africa and the Middle East, with particular expertise in AREAS OF OPERATION the oil, gas and mining sectors and working SADC experience in Angola, DRC, Liberia, Zambia, Somalia, Iraq, to name a few.

TABLE OF CONTENTS

ECONOMY ...... 8 GRAPH 1: MOZAMBIQUE CURRENCY EVALUATION ...... 8 Mozambique central bank leaves key lending rate unchanged at 7.5% ...... 9 Mozambique to have budget deficit of 6.8% of GDP in 2015 – EIU ...... 10 Standard and Poor’s downgrades Mozambique ...... 11 Economists concerned by Mozambique’s debt rating slide ...... 12 Road freight levels are “inconceivable” - Chairman of the Millennium BIM bank ...... 13 CCMI inaugurated in ...... 14 12 Portuguese companies employ 22,000 people in Mozambique ...... 14 Portugal was the third largest investor in Mozambique in Q1 ...... 14 369 SMEs created since the introduction of PPPs in Mozambique ...... 15 Mustang Resources: update on the Save River Diamond Project ...... 16 Triton Minerals moves into high gear at Mozambique graphite projects ...... 17 China buys US$3.5 billion of graphite extracted in Mozambique ...... 20 Nacala-a-Velha: 50 tons of coal ready for shipment ...... 22 Home stretch for auction of 13 blocks ...... 22 Anadarko Petroleum secures 60% of investment for gas project in Mozambique ...... 22 Kappa Oil Services sets up shop in Maputo ...... 23 Natural gas reaches Marracuene ...... 23 Centre/North power line to be rebuilt ...... 24 HCB exceeds goal for Q2 ...... 24 Zimbabwe’s power utility clears Cahora Bassa debt ...... 25 Zambia will be able to export power to Mozambique and Malawi ...... 26 Mozambique and partners spend US$670,000 on seed capital ...... 26 Nampula agricultural co-operatives receive funding ...... 27 Mozambique could increase exports ...... 28 European Investment Bank to open Maputo office in 2016 ...... 28 Diageo Mozambique exporting Smirnoff Spin ...... 28

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Prime Minister visits Mozambique’s largest insurance company ...... 29 Construction of new municipality headquarters underway ...... 30 Industry market briefing on labour relations, local content and workforce planning in Mozambique ...... 30

POLITICS ...... 31 “Police must defend the country, not their own interests” – Nyusi ...... 31 Vice-president of Angola meets with Mozambican ambassador ahead of imminent presidential visit ...... 32 Frelimo announces internal elections across the country ...... 32 Maria Guebuza resigns as president of OMM ...... 32 Renamo’s Peace Commission inaugurated in Beira ...... 33 Government/Renamo dialogue skips over disarmament deadlock and focuses on economic issues ...... 34 Government accuses Renamo of violating ceasefire ...... 35 “State should tighten law on creation of political parties” ...... 36 Prime Minister inaugurates centre for victims of violence ...... 37 President Nyusi departs for working visit to Portugal ...... 38 Ruling party blocks parliamentary inquiry into EdM's businesses with leading Frelimo figures ...... 39 Attorney-General threatens to take action against her own staff ...... 40 Moamba resettlement project ...... 41 Matola municipality warns of possible DUAT cancellation in Tchumene ...... 42 Study shows fear and youth discontent in Mozambican elections ...... 42

SECURITY ...... 43 Hundreds flee Tete amid renewed fighting in Mozambique ...... 43 Deputies recognise inadequacies in the defence budget ...... 44 Nyusi consolidating power within the military ...... 45 Monteiro calls on the police to redouble efforts in Nampula ...... 45 Mozambique and Zambia to forge security ties ...... 45

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CRIME ...... 46 MAP 1: KIDNAPPING INCIDENTS IN CENTRAL MAPUTO 2014 & 2015 ...... 46 GRAPH 2: REPORTED KIDNAPPINGS PER YEAR ...... 47 GRAPH 3: TIME OF KIDNAPPINGS 2014 & 2015 ...... 47 GRAPH 4: KIDNAPPINGS PER GENDER / AGE-GROUP 2014 & 2015 ...... 48 Seven people arrested for murder ...... 48 Authorities seize 15 tons of semi-precious stones en route to Tanzania ...... 48 Two women raped in Maputo ...... 49 One dead and six injured in clash with police ...... 49 PRM accused of killing 17-year-old in Malhangalene ...... 50 14 foreigners arrested in Báruè for illegal mining ...... 50 Customs staff accused of falsifying tax receipts ...... 50 Elderly woman killed for practising witchcraft in Chibabava ...... 51 Criminal network in Nampula targeting albinos ...... 51 Taxi drivers targeted by violent gangs ...... 52 Maputo sex workers accuse PRM of sexual assault ...... 52 25 inmates still at large ...... 52 Sneakers worth ZAR12 million seized at Lebombo border ...... 53 Defamation trial over open letter to Guebuza set for 3 August...... 53

WILDLIFE PRESERVATION ...... 54 Gorongosa hosts international symposium ...... 54 Kruger Park poachers: 80% Mozambican - 20 shot dead in 2013/14 ...... 55 How many white rhino are left in the KNP? ...... 56 Lichinga court hands down harsh jail sentences to elephant poachers ...... 56 Elephant poaching: European Union bans import of hunting trophies from Tanzania and Mozambique ...... 57 Can killing more elephants actually help to save them? ...... 58

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OTHER ...... 62 5.6 earthquake causes panic in Ilha de Moçambique ...... 62 Governor claims limestone storage endangers health ...... 62 Drought aids the spread of foot and mouth disease ...... 63 4,000 cases of malaria recorded in Maputo since the beginning of this year ...... 63 Imported tobacco to be sealed as of 2016 ...... 64 Mozambican citizens seek extension of South African visas ...... 64 Five dead as scaffolding collapses at Baixa building site ...... 64 City Council removes informal vendors from Maputo’s ‘protocol routes’ ...... 66 The Mozambican Football Federation ...... 66

BUSINESS INDEX

Anadarko Petroleum ...... 22 Britalar ...... 65 Chicago Bridge & Iron ...... 23 China Aluminium International Engineering Corporation ...... 21 Chiyoda Corporation ...... 23 Cimentos de Mocambique ...... 62 Cimpor ...... 62 Diageo ...... 28 EdM ...... 24, 39, 40 Electricidade de Moçambique ...... 24 Ematum ...... 11, 12, 39, 66 EMOSE ...... 29 Empresa Moçambicana de Atum ...... 11 Empresa Nacional de Hidrocarbonetos (ENH) ...... 23 ENI ...... 22, 23 Eskom ...... 25 ExxonMobil ...... 22 Gazprom ...... 22 JAT group ...... 65

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Kappa Oil Services ...... 23 Kogas ...... 23 L&G Mozambique ...... 23 LL Mining Consultant ...... 23 Mozambique Ports and Railways (CFM)...... 22 Mozvest Mining Limitada ...... 16 Mustang Resources Limited ...... 16 ONGC ...... 22 Saipem ...... 23 Sasol ...... 23 Save River Diamonds Pty Ltd ...... 16 Sese Diamonds Pty Ltd ...... 16 Shell ...... 22 Shenzhen Qianhai Zhongjin ...... 21 Statoil ...... 22 Syrah Resources ...... 21 TBEA Company Limited ...... 26 Total ...... 22 Triton Minerals ...... 17 Vale ...... 22 Yichang Xincheng Graphite Co...... 21 Zambia Electricity Supply Corporation ...... 25 ZESA Holdings...... 25

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ECONOMY

Mozambique Exchange Rate and Fuel Prices: 16 July 2015

Mozambique Metical (MZN) Exchange Rate Mozambique Fuel Prices Currency Buy Sell Fuel Type Price Per Litre Euro (EUR) 41,51 41,73 Petrol 47,52MT U.S. Dollar (USD) 37,86 38,06 Diesel 36,81MT

S.A. Rand (ZAR) 3,06 3,07 Prices only valid for Maputo, Beira and Nacala

GRAPH 1: MOZAMBIQUE CURRENCY EVALUATION

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Mozambique central bank leaves key (2015). From 1 July 2014 to 30 June lending rate unchanged at 7.5% 2015, the metical depreciated by 27.03% against the dollar. Mozambique’s central bank left its Standing Lending Facility (the interest rate In the commercial banks, the average paid by the commercial banks to the exchange rate on the last day of June was central bank for money borrowed on the MT39.96 to the dollar. Interbank Money Market) steady at 7.5%. The Bank of Mozambique maintained its There was a slight recovery in the first rates this year after dropping by 75 basis fortnight of July. On Tuesday (14 July), points in November 2014, from the the Interbank Exchange selling rate, previous rate of 8.25%, which had been in published by the bank of Mozambique, force for the preceding year. was MT38.12 to the dollar. The selling rate of the largest commercial bank, the The bank, however, made a point of Millennium-BIM, was MT38.56 to the noting that the increased risks in the dollar. international financial markets and economy, along with the persistent Perhaps of more concern is the strengthening of the US dollar and volatile depreciation of the metical against the prices of raw materials, resulted in an South African rand. The rate fell to increase in the country’s current account MT3.21 to the rand at the end of June, a deficit. fall of 12.3% over the month, and an annual depreciation of 11.07%. Again, In a statement from the bank, it was there has been a slight recovery this announced that the Standing Deposit month, and the selling rate quoted by the Facility (the rate paid by the central bank Bank of Mozambique on Tuesday was to the commercial banks on money they MT3.05 to the rand. deposit with it) remains at 1.5%, and the Compulsory Reserves Coefficient (the The Monetary Policy Committee also amount of money that the commercial decided to intervene on the Inter-Bank banks must deposit with the Bank of Markets to ensure that the monetary base Mozambique) is also unchanged at 8%. does not exceed MT60.075 billion (US$1.576 billion). In June the monetary This is despite a continuing fall in the base increased by MT1.601 billion to value of the metical, which the committee MT56.673 billion, which was MT1.556 blames on the strengthening of the US billion below the ceiling for the month. dollar on international currency markets, and the deterioration in Mozambique’s The statement noted that, according to balance of payments due to “an the consumer price index for the three unfavourable international conjuncture in major cities (Maputo, Beira and Nampula), the price of raw materials”. inflation in June was minus 0.46%. This was the third consecutive month of At the end of June, the dollar was quoted deflation. The falling prices between April on the Inter-Bank Exchange Market at and June mean that, as calculated by the MT39.03, representing a depreciation of National Statistics Institute (INE), inflation the metical of 13.03% for the month, and for the first six months of the year is only of 23.55% since the start of the year 0.93%.

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Judging from previous years, negative from US$63.26 to US$58.30 between 30 inflation is likely to continue in the next June and 10 July. Mozambique will also few months, as the harvest comes in, benefit from the fall in the world market before prices resume an upward trend price of rice by 35.5% between July 2014 towards the end of the year. and June 2015.

The Committee added that the country’s But key Mozambican exports also saw Net International Reserves (NIR) their prices fall. Aluminium (still increased by US$146 million in June, to Mozambique’s largest export) fell in price reach US$2.6 billion — US$50 million by 2.8% in June, and thermal coal by above the target for the period, reflecting 2.6%. The price of natural gas rose by purchases by the central bank totalling 6.1%, but over the past year the price was US$147 million and disbursement of down by 36.4%. external funds in favour of state projects worth US$43 million. These reserves are Source: CentralBankNews.info/Agencia de enough for 3.85 months of imports of Informacao de Moçambique goods and non-factor services, when the operations of the foreign investment Mozambique to have budget deficit of mega-projects are excluded. This is an 6.8% of GDP in 2015 – EIU increase compared to May, when the Mozambique is expected to post a budget reserves covered 3.65 months of imports. deficit of 6.8% of GDP in 2015, a scenario Mozambique’s current account deficit favoured by the containment of public widened by US$152 million, or by US$351 expenditure, according to the Economist million excluding major projects, to Intelligence Unit (EIU) in its latest US$959.6 million (or US$621.3 million macroeconomic report on the country. excluding major projects) in the first Setting out a downward trend in the quarter of 2015 compared with the first country’s budget deficit of up to 5.5% of quarter of 2014 GDP in 2018, the EIU expects a gradual In the first quarter of this year, increase in government spending, and Mozambique’s Gross Domestic Product that this will be offset by growth in public (GDP) expanded by an annual rate of revenue at the base of “robust economic 5.9%, down from 7.9% seen in the fourth growth” and increased tax collection from quarter of 2014. the exploration of mineral resources.

The general fall in international In its July macroeconomic review of the commodity prices is a mix of good and country, the EIU stated that Mozambican bad news for Mozambique. The fall in oil public debt would “remain high” in the prices certainly cuts the country’s bill for period between 2015 and 2019, at an fuel imports (although, since these are annual average of 53.2%. denominated in dollars, the depreciation However, despite considering that debt of the metical erodes this gain). The price levels still allow for its management, the of the benchmark Brent crude fell by 3.5% EIU warned of external risks, which pose in June, and by 41.8% over the past year. a threat to debt sustainability, giving the Oil prices continued to fall in early July. example of a hypothetical decline in The price of a barrel of Brent crude fell

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demand for aluminium ingots or coal, Ematum in 2013 on the Eurobond market, which could have impacts on state tax and guaranteed by the Mozambican revenues. government.

From a public spending point of view, the Standard and Poor’s, one of the world’s report signals the “weak financial position” three major ratings agencies, was of some state agencies and possible alarmed by last month’s statement in pressure from civil servants to increase Parliament, by the Minister of Economy their salaries. and Finance, Adriano Maleiane, that the government is seeking to restructure the Alongside this, also beginning in 2015, the Ematum loan. repayments of the Mozambican Tuna Company Empresa Moçambicana de The Ematum accounts for 2013 and 2014, Atum (Ematum) debt, under a state published in May, painted a grim picture guarantee totalling US$850 million, will of the company’s finances. The accounts deteriorate debt sustainability indicators in showed that in 2014 Ematum made a loss a situation further aggravated by the of over MT850.5 million (approximately depreciation of the metical, the EIU review US$24.9 million). The accumulated said. losses, from 2013 up to December 2014, were MT1.17 billion. Ematum’s own funds The EIU noted that the intervention of the were thus deeply in the red, at minus Bank of Mozambique in the foreign MT1.16 billion. exchange market has controlled the “pressure on the metical”, which has Maleiane told Parliament that the loan depreciated nearly 27% against the dollar carries the very high interest rate of in the last year, but hopes that this policy LIBOR (London Inter-Bank Offered Rate) will not continue, as it has had an impact plus 6.5%. It is repayable over seven on the international reserves of the central years, with a two-year grace period - bank, which are now US$2.6 billion. which is about to expire.

In terms of inflation, the EIU analysts Maleiane is seeking to re-negotiate the indicate that it is expected to increase terms of the loan. The debt has already from 2.3% in 2014 to 2.9% in 2015, with been split in two - the fishing assets, the low prices of fuel and food products valued at US$350 million, which are now on international markets offsetting the the responsibility of Ematum itself, while depreciation of the metical and possible the state is obliged to repay the other increases in electricity tariffs. US$500 million.

Source: Macauhub “Seven years is a short period to repay US$500 million, even with a two-year Standard and Poor’s downgrades grace period”, said Maleiane, “particularly Mozambique at a high interest rate. We are trying to negotiate a longer repayment period and The Standard and Poor’s credit ratings a lower interest rate, and our partners, agency has downgraded Mozambique’s including the International Monetary Fund long term rating from B to B-, largely due (IMF), agree with us”. to the US$850 million loan taken by

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Standard and Poor’s, however, regarded soon as more information is available on Maleiane’s statement as heresy. “We the government’s capacity and willingness understand that the government of to ensure full and timely debt service on Mozambique is considering restructuring the Ematum debt. We expect such a US$850 million government guaranteed information to be available within the next loan issued by a government-owned 90 days”. company, Ematum. While details are pending, we view the guarantee as the This is the second time this year that the government’s financial obligation under agency has downgraded Mozambique’s our criteria, and we expect to classify the credit rating. In February, Standard and restructuring as a distressed debt Poor’s downgraded the country from B+ exchange”, said a release from the to B. agency. Source: Agencia de Informacao de A “distressed debt” is defined as the debt Moçambique of companies that have filed for bankruptcy, or have a significant chance Economists concerned by of filing for bankruptcy in the near future. Mozambique’s debt rating slide

Standard and Poor’s added that: “the Economist Ragendra de Sousa says that financial difficulties of Ematum, the country’s economic standing is not yet established in 2013, raise broader altogether disgraceful, and Standard and questions about Mozambique’s Poor’s B- rating means that the country governance and public sector debt can still attract investors. However, its risk management, in our view”, and, as a has increased significantly. result, the agency has radically revised its “It is true that B- is not good, because previously optimistic assumptions about Mozambique is seen as a country of Mozambique’s growth prospects. potential. We are in a new overall cycle “We no longer project that Mozambique and this lowering of the rating is a legacy will exhibit high per capita growth for a of the previous government”, said Sousa. country at its stage of development”, says According to Sousa, the Ematum scandal the release. “In addition, current account (and the issues relating thereto) are the deficits remain very high and fiscal deficits biggest contributor to the increased risk sizable. We are therefore lowering our rating. “The first problem is the payment long-term sovereign rating on deadline. The second is that this is Mozambique to ‘B-’ and placing the ‘B-/B-’ commercial debt with very short maturity long- and short-term ratings on and a high interest rate, meaning that CreditWatch with negative implications”. Ematum has to produce large tonnages to A CreditWatch is an announcement by a be able to pay off the debt”, he said. ratings agency, that indicates that a credit However, Sousa stressed that, despite rating is under review. It is usually this situation, economic indicators remain followed by a credit downgrade. positive overall, the proof of which can be Standard and Poor’s added that: “We seen in the fact that “some donors have expect to resolve the CreditWatch as

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pledged to maintain or even increase their Economic and Social Forum of the contribution levels”. ‘Infrastructure and Logistics Challenges’ conference, which recently took place in In turn, economist Antonio Francisco said Maputo. that the B- level was of concern and warned that: “if the country falls any The data presented by Fonseca, who further, we may be in default, like previously acted as vice-president of the Greece”. Board of Directors of the African Union of Railways, indicates that 90% of heavy Francisco believes that President Filipe freight in Mozambique is carried via road, Nyusi’s government began its term in which is contributing to the rapid office in a most regrettable fashion destruction of roads, as well as “because it has to suffer this blow at the constituting a great weakness in logistical very start of its mandate. The government flexibility. will have to react in an intelligent and positive way to reverse the scenario”, he “It is inconceivable that ferrochrome, coal said. and iron ore are transported by road”, said Fonseca, arguing that Mozambique Franscico warns that, in recent years, should take advantage of its maritime Mozambique’s credit rating had been on potential, with some 2,800 kilometres of the decline and that the country’s current coastline and strong international situation is contributing to speculation on maritime links. its future. “From the point of view of attracting good, productive investment this It is estimated that the port of Maputo, the is very bad, and from the point of view of country’s largest, receives over 1,000 attracting toxic, speculative investment, it cargo trucks-worth of goods per day, is unfortunate. Those who want to mainly from neighbouring countries, with speculate (negatively), have here a concomitant advantages vis-à-vis moment of opportunity”, he said. congestion levels.

Source: O País “The sea is the cheapest route in the world, and we unfortunately make little Road freight levels are “inconceivable” use of it”, added Fonseca, highlighting the - Chairman of the Millennium BIM bank need for the country to adopt transport integration policies. He cautions that this On Thursday (9 July) the chairman of the is only possible after a “strict planning of Millennium BIM bank, Rui Fonseca, said the territory”. that it is “inconceivable” that 90% of the large loads in Mozambique are being “30% of all international trade generated transported via road, warning of the by international shipping goes straight consequences of poor road maintenance. past our eyes, every year”, said Fonseca, referring to the Mozambique Channel, “It is inconceivable that most of the heavy currently regarded as a high-intensity freight in the country is transported by international maritime traffic zone. road. You cannot do that. There is no road system in the world that can During the conference, the Minister of withstand it”, warned Fonseca, during the Transport and Communications, Carlos

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Mesquita, said that the government aims for the exchange of knowledge with to adopt an integrated and sustainable respect to establishing business transport policy in order to attract foreign partnerships. investment and to increase the competitiveness of the Mozambican Source: Jornal Notícias market at regional level. 12 Portuguese companies employ “Given Mozambique’s geo-strategic 22,000 people in Mozambique position, it is critical that we step-up and facilitate sea-access for our landlocked The 12 largest Portuguese companies neighbours. We must carry forward present in Mozambique have invested economic development plans efficiently over US$1 billion, said the ambassador of both at home and in tandem with Portugal in Maputo, José Augusto Duarte. neighbouring countries”, said Mesquita. During a dinner last Thursday (9 July), at Source: Lusa which President Filipe Nyusi was the chief guest, Duarte stated that the group CCMI inaugurated in Maputo consisting of the biggest Portuguese investors in Mozambique currently On Friday (10 July) a new Mozambique- account for 22,000 jobs in various areas Italian Chamber of Commerce (CCMI) of activity. was inaugurated in Maputo, as part of an effort to consolidate the ties of friendship The meeting served as a first point of between the two countries with the aim of contact between the new president of extending business relations. Mozambique and the Portuguese business community. Bilateral chambers of commerce have proven successful in leveraging, and Overall, the ambassador said that the developing, business relations between investment of Portuguese companies in entrepreneurs through the strengthening Mozambique amounted to US$1.7 billion, of dialogue and facilitation of business which created 44,000 jobs. opportunities in both countries. In 2014 Portugal was the fourth largest The CCMI is chaired by Simone Santi, foreign investor in Mozambique, on a list while Maria de Assunção Abula and led by the United Arab Emirate, Mauritius Niamoto Chipande both occupy the joint- and South Africa. position of vice-president. Source: Macauhub During the inauguration ceremony, Santi stated that he was honoured by the Portugal was the third largest investor confidence placed in him to lead the in Mozambique in Q1 chamber. In addition, he highlighted the Portugal was the third largest foreign fact that business ties between investor in Mozambique in the first quarter Mozambique and Italy are predominantly (Q1) of 2015, holding on to its position as comprised of small and medium one of the largest investors in the enterprises. As a result thereof, the Mozambican economy, according to chamber will primarily serve as a platform

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figures from Mozambique’s Investment With respect to turnover, the minister said Promotion Centre. that the SMEs had accumulated a total of The data showed that, in the first three MT4.4 billion, while the state had months of the year, Portugal approved 22 collected MT3.7 billion - consisting of: projects worth US$55.9 million, after ending 2014 in fourth place with US$336  MT220 million in concession million, almost double the US$171 million payments; recorded in 2013.  MT1 billion in Taxing of Collective Despite the number of approved projects Entities payments; and falling from 168 to 98, in 2014 Portugal had its biggest year since 2009, according  MT2.3 billion in Taxing of Individual to figures from the Agency for Investment Entities payments. and Foreign Trade of Portugal (AICEP) and the Embassy of Portugal in According to Maleiane: “this performance Mozambique. is below our targets. We recognise that, with regard to public-private partnerships, According to the latest figures from the much remains to be done to increase CPI, in Q1 of this year, the majority of these returns”. Portuguese investment (45.5%) was The Confederation of Economic channelled into the industrial sector, Associations of Mozambique (CTA) followed by services (30%) and insurance suggests that the participation of the (14.5%), and concentrated in the South, in private sector in PPPs could be one way . to address the energy crisis that the

country is currently facing. The list for Q1, totalling US$500 million is led by Spain and China, although together However, for this to be possible, “there they account for only eight projects, needs to be a greater co-ordination compared to 22 for Portugal, which between the public and private sectors”, remains the main foreign job creator, with argued Rogério Manuel, president of the 28 jobs per US$1 million invested versus CTA, who was speaking on Friday (10 an average of 13 for all other countries. July) at the opening of the first annual meeting of the National Business Council. Source: Macauhub In this context, “access to information is 369 SMEs created since the crucial and we therefore look upon events introduction of PPPs in Mozambique like this as an essential way of providing The Minister of Economy and Finance, economic actors with information to base Adriano Maleiane, recently revealed that their business decisions on”, said Manuel. since the introduction of Public-Private “Many countries at a similar stage of Partnerships (PPP) 15 years ago, 369 development to Mozambique face, on the small and medium enterprises (SME) and one hand, a problem producing energy in 3,534 jobs have been created throughout sufficient quantity and quality to meet the the country. needs of the economy and on the other,

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the high cost of access to electricity”, he for the company as it was recovered from said. the shallow deflation surface gravels.

The National Business Council’s first To date, some 12.5ct have been meeting of the year, titled: “Public-Private recovered from deflation surface Partnerships, Large Scale Projects and sampling. The company has acquired all Business Concessions in the Energy required equipment needed to begin with sector in the present five-year period”, higher volume bulk sampling (1,000 tons was intended to review the per day), including the procurement of a implementation stage of the Public-Private FlowSort X-Ray final recovery plant. Partnerships Bill and discuss the private sector’s priority areas of concern. Project Background:

Source: Domingo The Save River Diamond Project is the collective name for the two concessions Mustang Resources: update on the located in alongside the Save River Diamond Project Save River in southern Mozambique bordering Zimbabwe, namely 4525L Highlights: (±2,384.23 ha) and 4969L (±21,700 ha).

 A 2.6 carat gem quality diamond Mustang currently holds 78% of Save was recovered from ongoing near- River Diamonds Pty Ltd, which in turn surface (<3.5 meter) bulk-sampling holds the rights to acquire a 65% interest activities; in Licence 4969L. Furthermore, Mustang holds 74% of the issued capital of Sese  Surface bulk sampling continuing Diamonds Pty Ltd with Sese holding 70% with preparations being made for of Mozvest Mining Limitada, the holder of larger volume bulk sampling Licence 4525L. targeting deeper gravels; Further Equipment Acquired:  All required equipment acquired for 1,000 ton per day bulk sampling The following list of additional equipment operation; and has been successfully acquired by the Company and is currently en route to the  Major items already being Save River Diamond Project: mobilised to the site.  Dualstage FlowSort X-Ray Mustang Resources Limited is pleased to recovery machine; provide an update on exploration activities on its Save River Diamond Project,  Komatsu front-end-loader 470; located in southern Mozambique.  Hitachi 870 excavator; A gem quality 2.6 carat white diamond, the largest diamond recovered at the site  16ft rotary pan plant; thus far, was recovered on 9 July, 2015. This is a very exciting and significant find  Two separate conveyor feed bins;

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 SAMil-mounted water truck; RC drilling rigs, while key environmental studies are on schedule.  RC drill rig mounted on SAMil truck; At Ancuabe, the company is poised to start an initial drill programme to test 10  165 Massey Ferguson tractor; VTEM-based targets, confirming that graphite, and no other conductive  140 kVA Generator; and material, is responsible for generating the larger VTEM responses.  65,000 litre water reservoir. Triton has also completed a small The procurement of this equipment is reconnaissance geological mapping and significant, as it will allow the company to sampling programme, while a process a larger volume of diamond metallurgical and mineralogical test work bearing gravel sand. In addition, via the programme is underway. introduction of the FlowSort final recovery plant the accuracy and volume of On the matter, Managing Director Brad diamond recoveries should increase. Boyle stated that: “It has been an extremely busy period for Triton, with solid Furthermore, the larger 80-ton excavator progress with the Nicanda Hill DFS which will have the ability to break through the is on track for completion, together with hard calcrete layer that has been the ESIA, by the end of 2015. encountered. This calcrete layer has, to date, limited the company in respect of “Meanwhile, the company has also testing only the shallower, deflation initiated the preliminary exploration surface gravels (<3.5m). programme and full ESIA at the Ancuabe graphite project together with an initial The Directors are encouraged by the reconnaissance mapping and sampling significant progress being made by the programme at the Balama South graphite company in the exploration and project. development of its Save River Diamond Project in Mozambique. “Triton is pleased with concurrent advancement of all the projects and we Source: Finance News Network look forward to updating the market as the results from the various programmes Triton Minerals moves into high gear at become available in the coming weeks Mozambique graphite projects and months ahead”.

Triton Minerals is progressing with the Nicanda Hill: development of its Mozambique graphite projects with the Nicanda Hill Definitive The environmental, social impact Feasibility Study (DFS); on track for assessment is on schedule with Coastal completion by the end of 2015. and Environmental Services (CES), completing both the wet season and dry The DFS drilling programme is well season baseline studies which are key underway with the use of diamond and components of the process.

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The Ministry of Coordination of Drilling will also provide sufficient Environmental Affairs (MICOA) has information to underpin an upgrade in the completed its site visit at the Balama resource classification of material North project and the Environmental Pre- significance, and thus form the basis of viability Report and Scope Definition developing a substantial quantity of (EPDA), and terms of reference proven graphite reserves to both underpin disclosure documents will be submitted to the project economics and reduce the risk the Mozambican government shortly. profile.

Public consultations have been completed A number of other assessments have in the five surrounding villages in the been completed at the site including presence of government authorities and packer testing, pump testing, representatives from Triton and CES. magnetometer testing, down-hole orientation and geophysics; which are CES is aiming to complete and submit essential in the development of the their final ESIA report to the government resource, pit design and tailings storage by early December, 2015. facility design.

Once submitted, the report will be Work is also well underway with regard to reviewed accordingly and is expected to the design for the graphite processing be finalised and approved by early 2016. plant and site layout.

DUAT applications for the right to use and Metallurgical test work is well advanced exploit land are progressing well as the with a bulk sample being processed, public consultations with the surrounding assessed and refined at the SGS villages have now been completed. laboratories in Perth.

Triton expects the DUAT to be approved The programme is intended to refine and by the end of 2015. enhance the flow sheet design to optimise the established high recovery rates and The DFS programme is currently on time high graphite concentrate grades of the and within budget with Triton targeting flotation process - which are to be completion by the end of 2015. adopted at the Nicanda Hill processing plant. DFS drilling is well underway with the use of diamond and reverse circulation drilling This will ensure that the most cost rigs. This includes resource infill effective and efficient graphite recovery programme within limits of the Year 10 pit process is used during the large scale perimeter, drilling of Piezometers, test commercial production of the high quality pitting, pit geotechnical, pit hydrology, graphite concentrate. sterilisation and water supply. Triton continues to look to expand the Results will be used to confirm the current TMG product range, and as such work is resource interpretation and to establish currently being undertaken by the optimum grade control pattern within Independent Metallurgical Operations the limits of the Years one to 10 design (IMO) to understand the full range of the pit. graphite concentrate physical

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characterisation properties, including conductive material, is responsible for electrical, thermal, density and laser generating the larger VTEM responses. sizing. A diamond rig has been mobilised to the Moreover, the company is reviewing site for the initial drill programme. Subject options to determine whether the Nicanda to results, a second diamond and reverse Hill graphite is suitable for the creation of circulation drill rig will also be mobilised to spherical graphite. Ancuabe.

Should these advanced tests produce Balama South: positive outcomes, this will provide Triton with additional market avenues and create Triton has completed a small an opportunity for the company to become reconnaissance geological mapping and a leading supplier of high quality graphite sampling programme on the Balama products, to be used in the ever growing South project. energy storage and electric vehicle markets. The programme was designed to confirm the presence of graphitic mineralisation as Triton is also reviewing other metallurgical identified by the VTEM survey completed tests including whether TMG products will last year (2014). A number of rock chip be suitable for creation of low cost samples were obtained from graphitic graphene oxide and ultimately graphene outcrops and have been sent to the products, which would create additional Mintek laboratories in South Africa for applications and diversification of the analysis. TMG concentrate, helping to expand Triton’s market presence as a vertically Metallurgical and mineralogical test work integrated graphite company. is being conducted to define the flow sheet for the graphite flotation and Ancuabe: recovery process.

CES has completed the dry season The tests are focused on the effect of review which is the first key component of milling times in the circuits and the the study at the Ancuabe project. graphite flake preservation in the early stages of the flotation process. CES specialists are now completing further assessments of flora, fauna, Triton expects to receive preliminary natural resources and agriculture, water assay results and the subsequent flotation quality, fish, geohydrology, noise results from Mintek in the coming weeks. assessment and traffic and air quality. Mining Law and Fiscal Regime: Triton is now preparing to test 10 VTEM- based targets in the first pass “proof of Over the past few months, Triton has concept” drilling programme. monitored the flow-on effects from recent changes in Mozambique’s mining The key objective of the programme is to legislation and the associated fiscal confirm that graphite, and no other regime, and ultimately the potential

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implications for mining companies According to the new Mining Law, operating in Mozambique. companies should give preference to goods and services either purchased or Triton is of the opinion that recent obtained from Mozambican individuals or changes to the legislation will provide the entities. It also provides that mining company with a greater degree of companies must be listed on the certainty moving forward. Mozambican Stock Exchange within five years of commencing production. There are a number of sections within the new legislation that will need some An additional benefit, not previously additional clarity regarding how to apply available to companies, is the protection some of the new provisions, which is quite of property rights and activities granted normal when implementing these types of under any mining permits for mining changes. companies from undue and unfair expropriation without fair compensation In addition, the company confirmed that and the protection of the transfer of funds the new fiscal regime, introduced under outside of Mozambique. the new Mining Tax Law, provides for mining companies to benefit from a In summary the benefits for Triton with the number of tax incentives to encourage new mining and fiscal regimes include: companies to develop industry in-country, rather than sending the raw minerals and  Fiscal regime to apply to all mining products overseas for further processing. companies in Mozambique;

Mozambique has confirmed that these  Tax incentives to encourage development incentives include companies to develop industry in- substantial discounts on import and export country; taxes, including exemptions from custom duties for a period of five years,  Mozambique engagement and particularly in relation to the importation of support; capital and goods.  Access to additional local funding; Furthermore, the regime allows for a 50% reduction of the Mining Production Tax  Property rights protection; and and provides tax stability for a period of up to 10 years of operation.  Development incentives for value added to minerals. Triton believes that the changes in the fiscal regime are particularly relevant and Source: Proactive Investors places the company in a unique position to take advantage of these and other China buys US$3.5 billion of graphite incentives, which will help Triton with the extracted in Mozambique rapid development of mining operations of the world’s largest graphite deposit at Graphite mining operations in Nicanda Hill, and the creation of a whole Mozambique can now move ahead after new industry concerning graphite Chinese companies signed long-term enhanced products.

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purchase contracts worth US$3.5 billion, Headquartered in the region of Yichang according to the EIU. (Hubei Province), YXGC develops products for various industries such as oil, The most advanced of these projects is chemical, metallurgy, machinery, run by Australia’s Triton Minerals in automotive and aerospace, among others, Nicanda (), present in the Chinese market, as well as considered to be the world’s largest in more than 20 countries. graphite reserve, which recently signed a contract with Chinese raw materials Australia’s Syrah Resources is another trading company Shenzhen Qianhai company developing graphite extraction Zhongjin, securing financing of US$200 projects and has also established sales million. agreements with a Chinese company, China Aluminium International In addition to the financing, split into Engineering Corporation (Chalieco). equity in the project and credit, the Chinese partner has committed to buying The global demand for graphite has been 200,000 tons of graphite in the long term. growing and Mozambique has abundant reserves and low mining costs. Triton had already signed a similar agreement with Yichang Xincheng “If successful, these projects will establish Graphite Co. (YXGC), valued at US$2 Mozambique as a graphite producer with billion, and thus far has signed sales global expression and, although graphite agreements totalling US$3.5 billion for the mining continues to be much more limited next 30 years, along with US$232 million in scale than other resources, it will in Chinese funding, said the EIU. contribute to the diversification of the country’s export base and limit According to the EIU: “In addition to vulnerability to price shocks in the coal increasing export earnings and industry”, the EIU said. government tax revenues, the project could bring wider economic benefits”, Given the considerable weight of the such as job creation. Chinese market in these projects, the EIU also warned of the risk that a slowdown in YXGC and Triton Minerals also extended the Chinese economy is likely to have on the partnership to invest in two graphite their development. processing lines, with annual production of 10,000 tons of derivative products, with The developments in mining and, in an estimated annual turnover of US$30 particular, investment in the mining sector, million. support projections of “robust economic growth” between 2015 and 2019, at an According to EIU, this project “will signal annual average of 7.4%. that Mozambique has the potential to develop a value-added production chain Source: Macauhub alongside the extraction of raw materials, which will be vital in ensuring that the country’s mineral wealth supports broad development”.

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Nacala-a-Velha: 50 tons of coal ready It is expected that the new port will dock for shipment 12 ships per day, or between 100 and 150 vessels per year. According to reports, approximately 50 tons of coal is ready and awaiting Source: Jornal Notícias shipment at the terminal of the new port of Nacala-a-Velha (), in Home stretch for auction of 13 blocks what is to be the first coal export from the port. With their consultants looking over their shoulder, majors and state-owned groups The coal belongs to the consortium led by are putting the final touches to their bids Vale, in association with the Mozambique for one of 13 exploration blocks put up for Ports and Railways (CFM). The project is sale by the Instituto Nacional de Petroleo estimated at US$4.4 billion, for the export (NP) in Mozambique. of coal extracted in Moatize (). According to reports, Shell, ENI, ExxonMobil, Total, Statoil and Gazprom The Integrated Logistics Corridor all purchased data for the blocks, as did comprises of a 900 kilometre railway line, certain Indian firms such as ONGCError! stretching between Moatize and Nacala-a- Bookmark not defined.. Velha, crossing over part of the Malawian border. The deadline for bids is 30 July.

According to the director of the Nacala Source: Africa Intelligence Logistics Corridor (CLN), José Ottoni, Anadarko Petroleum secures 60% of legal procedures are currently underway investment for gas project in to ensure the handling of the first Mozambique shipment to Nacala, owing to the fact that the vessel is licenced to load and dock at US group Anadarko Petroleum has the Port of Beira. secured 60% of the investment required for a liquefied natural gas (LNG) project in Ottoni stated that normal coal shipments Cabo Delgado Province, the group said in will be effective as of next month a statement issued on Tuesday (14 July) (August), at which time all the necessary in Maputo. conditions will be met for the distribution of ore. In the statement, the group also reported that Chairman Al Walker was received by According to Ottoni: “In 2017, when we President Filipe Nyusi in a meeting held reach the installed capacity of the port, we on Monday in Maputo. will export 22 million tons of coal per year. Until then, we will export 18 million tons of The Anadarko Petroleum group also coal per year. At that time, we hope to be revealed that it would sign contracts for operating with 89 locomotives and 1,862 the purchase and long-term sale of eight wagons. Each train operates, on average, million tons of gas per year, following the for 103 hours, each carrying 63 tons of signing of non-binding agreements. cargo”.

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In May, Anadarko revealed that it had Saraiva knows a lot about the country’s oil selected the CCS joint venture (JV) and gas scene as he has held a stake in consortium, established by US L&G Mozambique alongside businessman corporation Chicago Bridge & Iron, Gabriel Fossati-Bellani, who set up the Japan’s Chiyoda Corporation and Saipem logistics terminal at Pemba intended for (a subsidiary of Italy’s ENI), for the gas projects in the Rovuma basin. Saraiva construction of a LNG terminal in is also a shareholder in the mining Mozambique. consulting company, LL Mining Consultant. The Mozambican government expects that the liquefaction project concerning Source: Africa Intelligence gas extracted in the Rovuma basin will require investments of over US$22 billion Natural gas reaches Marracuene and should begin in 2019, but the consortium involved in the project expects On Wednesday (15 July) Empresa operations to begin after 2020. Nacional de Hidrocarbonetos (ENH) connected its natural gas pipeline to its In the meantime, reports suggest that ENI first client in , north of and Anadarko have yet to submit a final Maputo. unitisation agreement to the government. However, Anadarko’s 12 mtpa LNG The client in question is the factory Favos project could still make a final investment de Mocambique, which makes egg decision (FID) by late Q3 or early Q4 cartons. From this factory, the distribution of gas will be extended to shops, Source: Macauhub/Interfax Energy hospitals, hotels and restaurants in Marracuene. Kappa Oil Services sets up shop in Maputo Wednesday’s ceremony marked the conclusion of the Maputo and Marracuene A French service firm that caters to the oil Gas Distribution Project, which began in and gas industries, Kappa Oil Services November 2009, and has benefitted from (KOS), has set up an affiliate in funding of US$38.2 million from the South Mozambique’s capital under the name Korean company, Kogas. Kos Moz. The gas comes from the natural gas fields Already operational in Angola, the firm is at Pande and Temane (Inhambane opening its second outpost on the Province). The South African petro- continent. Its operations in Mozambique chemical company Sasol treats the gas at will be supervised by its chief in Luanda, Temane, and then sends it via pipeline to Radule Erakovic, who owns 10% of the its chemical factories at Secunda in South new company. Africa. At Ressano Garcia, on the border, a second pipeline branches off, carrying KOS has also found a high-profile gas for use in Maputo, Matola and representative in Mozambique, lawyer Marracuene. Laurindo Francisco Saraiva from the LFS Advogados law firm. “We have managed to establish a gas distribution network in Maputo and

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Marracuene”, declared ENH Chairperson The reconstruction process, which will Nelson Ocuane. “”Last year we concluded involve laying or repairing 10 towers the network of 60 kilometres within (damaged by floods) and the placement of Maputo, and this year, we have built the new guide tubes, is expected to be extension of about 14 kilometres into completed by December, before the peak Marracuene district”. of the rainy season.

“From this factory, we will be able to Of the 10 steel towers along the line that extend the network throughout begins in Songo (Tete Province) and Marracuene”, continued Ocuane. “We supplies the provinces of Zambézia, want to reach the largest possible number Nampula, Cabo Delgado and Niassa, one of clients in this district”. was completely destroyed, eight buckled to the ground and the tenth (located on The Marracuene district administrator, the opposite bank) suffered damage only Maria Vicente, said that the arrival of the at the top. gas pipeline marked a new stage in the history of the district. “Multi-sector An alternative line based on wooden partnerships” would now be needed to porticos was built in the area to ensure channel the gas to homes and to the flow of electricity, whilst definitive companies. reconstruction is being planned.

ENH wants to hire a private company to The spokesman for power company take charge of the domestic gas Electricidade de Moçambique (EdM), Luís connection. The main issue remains the Amado, said that preparation for the work initial cost. Connecting the gas to a to rebuild the power line, over an consumer costs between MT30,000 and estimated distance of five kilometres, was MT90,000 (between US$790 and well underway, and the contractor is US$2,370), depending on distance. The already surveying the area and a new cost is high because the valves and all the route has been chosen. equipment used must be imported. The line was destroyed on the night of 12 The advantages of using Mozambique’s January, and as a result, power cuts were own gas lies in the fact that it is cheaper experienced in the provinces of than imported liquid fuels, and much Zambézia, Nampula, Cabo Delgado and cleaner than firewood or charcoal. Niassa. The electricity supply was subsequently restored 27 days later, on 9 Source: Jornal Notícias/Agencia de February. Informacao de Moçambique Source: Macauhub Centre/North power line to be rebuilt HCB exceeds goal for Q2 Reconstruction work on the Centre/North power transmission line, along the section Mozambique’s Hydro Cahora Bassa in Zambézia Province destroyed by floods (HCB) exceeded their energy production earlier this year, is due to begin in target for the second quarter by 6%, September (2015). producing 4,245.56 gigawatt-hours (GWh) of electricity.

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According to a company statement, the Now that the local power utility has paid increased production was the result of the off its debt, it means that the country is implementation of the annual guaranteed continued imports so that it maintenance plans and the positive can achieve security in terms of electricity performance of their generating supply, which is in line with the existing equipment. arrangements under a power purchase agreement with HCB. During the period under review, the company also recorded significant The power utility, which has been progress in the implementation of the struggling to generate adequate electricity modernisation projects concerning the for the country due to poor domestic company’s infrastructure (specifically the power generation, risked losing electricity pre-rehabilitation of the substations and imports from its major electricity supplier. restoration of the unloaders and main transformers). However, last year ZESA inked a firm agreement with the Mozambican power Source: Jornal Notícias utility to supply 100 megawatts (MW) of electricity into the country on a firm Zimbabwe’s power utility clears contract basis to augment low local Cahora Bassa debt generation capacity, which underlined the country’s vulnerability. Zimbabwe’s integrated power generation and distribution company, ZESA Holdings, A firm contract refers to guaranteed has paid off its overdue debt to HCB. electricity supplies at a given time which must be generated to meet contractual The debt stood at nearly US$30 million obligations. ZESA has also taken steps to late last year, although it had initially been get other regional power utilities to supply set at approximately US$100 million. the country with electricity on non-firm agreements. Julian Chinembiri, the managing director of the Zimbabwe Electricity Transmission These include: Zambia Electricity Supply and Distribution Company, a unit of ZESA Corporation and Eskom of South Africa. Holdings, told the Financial Gazette last week that the debt had been cleared. Zimbabwe has been experiencing massive load-shedding across the country “We have a firm agreement with HCB and owing to low power generation from the actually, we are up-to-date, we don’t owe country’s five power stations. them anything now”, said Chinembiri. The Zimbabwe Power Company (ZPC), It is understood that ZESA was forced to another subsidiary of ZESA Holdings in pay off the debt after it realised that HCB charge of power generation, operates five could cut supplies at any time, a move power stations, namely: Hwange, Kariba, which would have significantly disrupted Munyati, and Bulawayo. Zimbabwe’s economic activities and possibly worsened a dire economic crisis. More than a decade of economic collapse left the power stations in disrepair, with

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generators operating well below their Shih said that approximately 85% of the capacity. total construction work on the power line had already been completed by TBEA at The country is currently generating the substation. roughly 1,400 MW of power against a national demand of about 2,200 MW at Source: Lusaka Times peak periods. Mozambique and partners spend In order to mitigate this deficit, ZESA has US$670,000 on seed capital relied on electricity imports from regional utilities to supplement local supplies that The government and its development are failing to meet demand. partners have set out a budget of US$670,000 for research currently being Source: Agencia de Informacao de conducted by the Agricultural Research Moçambique Institute of Mozambique (IIAM) in the () Zambia will be able to export power to concerning new and improved varieties of Mozambique and Malawi legume seeds.

Zambia will be able to export power to The centre hosts a testing area of Mozambique and Malawi once the approximately four hectares, where 33 construction of the 330kV Zesco promising varieties of common beans, transmission line from Pensulo (Central three of boer beans, five of nhemba Province) to Chipata’s Msekera substation beans and seven of soybeans are being (in Eastern Province) is completed and tested. commissioned by September this year, TBEA Company Limited Site Manager, The results of this research will be Shih Shaokuang, said. available to producers in 2017, and will (theoretically) contribute towards the On Monday (13 July), during a visit from increased production of vegetables - an the Permanent Secretary and the deputy essential component of one’s diet, permanent secretary of the Eastern especially in the countryside. Province, Shih stated that the province would have enough power, adding that Miguel Magalhães, head of training and the country would be able to export the information at IIAM’s facility, said that the power to Mozambique and Malawi once project would last for a period of five the project was completed and years. commissioned. “The studies currently being conducted “Eastern Province is going to have so are aimed at identifying the seed varieties much power, which means that Zambia that are tolerant to drought and low soil will be able to export power to Malawi and fertility, as well as identifying factors that Mozambique. We are projecting that limit agricultural productivity in almost all come September 2015, the project will be regions of the country”, he explained. completed and commissioned”, he said. Magalhães added that the seeds identified by the programme as having

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good potential will need to demonstrate The loans, for a total of MT1.5 million good productivity and be able to withstand (approximately US$39,500), are being varying climatic factors. In fact, he issued by the Mozambican Association for revealed that preliminary results already the Promotion of Modern Cooperatives indicated 10 varieties of seeds that are (AMPCM), in partnership with a able to adapt to drought and poor soil Norwegian development agency, Norges fertility. Vel (Royal Norwegian Society for Development). Estimated production will be around two to three tons per hectare, however, this is According to the AMPCM co-ordinator for dependent upon irrigation and fertilisation northern Mozambique, Natalino Barnete, conditions. the funds were distributed on the basis of the needs presented in the business plan The deputy minister of agriculture and of each of the co-operatives. The food security, Luisa Meque, who was on a beneficiaries must repay the money within three-day working visit to Manica seven months, at an interest rate of (specifically focusing on the districts of 12.5%. Sussendenga, Vanduzi and Báruè), said that it was possible to see a direct link Barnete said that he hoped that, if the six between scientific research and rural co-operatives repay the loans on time, it production. will create “a favourable environment for other organisations that require financing “Some provinces are experiencing serious to benefit in the near future”. drought-related problems, compromising agricultural production goals. It is Barnete was speaking at a handover important to increase agricultural ceremony, during which the six co- production, and the government wants operatives received the cheques for the every farmer to produce as much as loans. He said that the project seeks to possible. help increase household income through promoting viable and sustainable co- “This research not only helps us achieve operative enterprises in order to our goals in the production of vegetables, strengthen business initiatives and create but also in other crops, assuring the food wealth. and nutritional security of the entire population”, she said. AMPCM has provided the co-operatives with advice and trained them in planning Source: Domingo their business activities. This approach, said Barnete, culminated in the drawing- Nampula agricultural co-operatives up of business plans and locating sources receive funding for funding. He claimed that micro-finance institutions are now beginning to take Six agricultural co-operatives in the seriously the work of agricultural northern province of Nampula are producers organised in co-operatives. currently acquiring loans from a non- government organisation (NGO) for Source: Agencia de Informacao de production and marketing; however, the Moçambique loans come with a very high interest rate.

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Mozambique could increase exports when foreign direct investment will rise to US$73.5 billion, according to the African According to Ernst & Young, Mozambique Development Bank. The inflows may help could potentially export more products, narrow a funding gap for infrastructure specifically fertilizers, within the next three development on the continent that the years following the Southern African World Bank estimates at US$93 billion a Development Community’s (SADC) year. implementation strategy for industrialisation. The EIB has little exposure in Africa, directing just €2.5 billion to the continent The strategy was approved in April by the out of €80 billion in annual investment State and MPs with the aim of initiating pledges, Van Ballekom said. the economic and technological development of the region. “We could do €10 billion a year, but we are dependent on the will of the For the National Director of Industry, shareholders”, he said. “The investment Matthew Matusse, the benefits of this opportunities in Africa are huge”. initiative (which commences in September), lies in job creation, the The lender already has offices in South potential added-value in respect of the Africa, Egypt, Kenya, Morocco, Tunisia resource sector and the reduction of and Senegal, according to its website. imports into the country. Source: Bloomberg Source: Folha de Maputo Diageo Mozambique exporting European Investment Bank to open Smirnoff Spin Maputo office in 2016 The Mozambican subsidiary of the British The European Investment Bank (EIB) beverage company, Diageo, plans to plans to open offices in four more African dramatically increase its production of the cities, as it strengthens its foothold on a alcopop, Smirnoff Spin, and export it to continent looking for financing to build the rest of the SADC region. infrastructure, said a senior official with the lender. According to a recent report, the Diageo factory in Marracuene, roughly 30 The EIB will open an office in Cameroon’s kilometres north of Maputo, began capital, Yaounde, later this year, followed producing Smirnoff Spin in November by Abidjan in Ivory Coast, Zambia’s 2014. Lusaka, and Maputo in 2016, EIB vice- president, Pim van Ballekom, said in an Previously the Smirnoff Spin consumed in interview. Mozambique was imported from South Africa. “Africa is growing fast”, Ballekom said on Wednesday (15 July) in Addis Ababa, the Diageo announced that, with an capital of Ethiopia. Economic growth investment of over US$20 million, it has across Africa is set to accelerate to 5% in increased the capacity of the Marracuene 2016 from an estimated 4.5% this year, factory to 9,000 bottles of Spin per hour. It

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initiated its first exports to other SADC the opportunity to call for better working markets in May. conditions.

“The challenge facing Diageo- A representative of the EMOSE trade Mozambique now”, said a company press union committee, Jacinto Timoteo, release, “is to position itself in markets speaking on behalf of the staff, claimed beyond the SADC area, so as to compete that the company’s managers isolate with other countries”. themselves from the rest of the employees. He said that there was a “lack In addition to Spin, Diageo is currently of communication” and no space for producing two other drinks in Marracuene: dialogue in which the institution’s Gilbey’s gin and Master’s Choice blended problems might be discussed. whisky. He accused the management of “constant Source: Agencia de Informacao de violations” of the workers’ rights, including Moçambique failure to grant progression up the career ladder. He also called for a wage Prime Minister visits Mozambique’s increase. largest insurance company Chairperson, Antonio Carrasco, replied Mozambique’s largest insurance that since last November the company company, EMOSE, recorded a growth of has been working to ensure career 18% in 2014. progression for the staff. He promised that forums for discussion in the company will On Wednesday (15 July), during a visit by be reinstated, to ensure dialogue between Prime Minister Carlos Agostinho do workers and management. Rosario, EMOSE officials stated that the increased demand for insurance services “I have been working with the executive led to profits of MT221 million commission to prioritise dialogue with the (approximately US$5.8 million) in 2014. staff”, he said, “because we always want to be up-to-date with the daily situations EMOSE emerged from the merger of the three insurance companies which facing our workers”. operated in Mozambique during the Rosario advised Carrasco to keep in colonial era, and was initially 100% state- closer contact with his staff. He promised owned. Currently the State holds 39% of that he would delegate to the Labour the shares, the government’s Institute for Ministry, in co-ordination with the Finance the Management of State holdings owns Ministry, the task of assessing whether 31%, and GETCOOP (the co-operative the workers’ complaints are being taken formed by EMOSE workers and into account by the management. managers) holds 20%. The remaining 10% was sold by the government on the Source: Agencia de Informacao de Mozambican Stock Exchange in 2013. Moçambique

During his visit, Rosario wanted to hear from the EMOSE workers. At their meeting with the Prime Minister, they took

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Construction of new Matola Industry market briefing on labour municipality headquarters underway relations, local content and workforce planning in Mozambique The construction of the new Matola municipality headquarters recently On 25 and 26 August, the “Mozambique commenced in an area of 1.4 hectares. Labour Relations, Local Content and The construction site is located near the Workforce Planning Market Briefing” will Matola citadel. Currently the foundations take place in Maputo. are being laid for the eight storey building, due to be completed in 2016, according to Members of government and their the Minister of State Administration and representatives, unions, HR directors, Civil Service, Carmelita Namashulua. employee relations specialists, line managers and training and tertiary The plan for the new building was institutions from Mozambique will meet to presented and adopted at a recent discuss critical pieces of legislation and session of the Municipal Assembly, strategies related to labour relations, local following the realisation that it is content and workforce planning. imperative for all local authority services to conduct their activities from within the It is essential that investors and same building, in order to enable better entrepreneurs understand the frameworks institutional co-ordination, as well as to which their companies need to comply reduce the costs incurred through rent. with and influence, whether through direct or indirect employment within the The authorities claim that the current extractive sector, or in the supply-side building is already showing signs of sector. dilapidation and that it does not have the capacity to accommodate all municipal The discussion forms part of a broader services. effort to understand the changing labour market in Mozambique, including the “To address this situation, we decided that changing policy and legal environment. it would be best to construct a new building from scratch, which will Key presentations will include: accommodate all services. This will facilitate better institutional co-ordination”,  The Ministry of Labour, said Bernardo Dramus. Employment and Social Security;

In a discussion with the contractor,  The Ministry of Economy and Namashulua demanded compliance with Finance; the deadlines agreed upon between the two parties, namely the developer and the  CPI; contractor. Meanwhile, the current headquarters will become a museum  SINTICIM; and containing documents that record the vital components of the history of Matola.  SINTIQUIAF.

Source: Domingo You are invited to register your attendance by visiting

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http://africaninfex.co.za/all- ([email protected]) or call events/mozambique-labour +27(0)81 777 0028.

For more information contact Christina Source: African Influence Exchange Lopez, AIE representative

POLITICS

“Police must defend the country, not force and of the State, must be severely their own interests” – Nyusi punished”.

On Thursday (9 July) President Filipe “We want citizens to find in a member of Nyusi warned newly trained members of the police someone who, above all, the police force that their job is to respects the law”, declared the protect the country and the State, not President. “We want a policeman to be their own personal interests. a friend and protector and not someone from whom citizens hide”. Speaking at the closing ceremony of a basic police training course at Matalane, By completing the course successfully, just outside Maputo, from which 2,000 the graduates had won a battle, Nyusi policemen and women graduated, Nyusi continued, but a far greater battle was challenged them to dedicate their best awaiting them - that of serving the efforts to strengthening public order and Mozambican people with zeal and peace, in order to safeguard the responsibility. interests of the State. “Henceforth, total commitment and “Your oath is a solemn undertaking to professionalism will be demanded from defend the highest national interests you”, he warned, “for the oath that you and values”, he said. “Your own took before our flag is not a mere interests must not rank higher than the formality”. interests of our country at any time”. “Given the challenges facing the police He warned that any member of the force, strengthening its capacity is an police force who violates police ethics, urgent matter, specifically provision to and stains the reputation of the force, the police of more modern resources to should be punished “in an exemplary fight crime”, added Nyusi. “Police manner”. training institutions must be organised in such a way as to train cadres who can “We discourage all those who behave in deal with new types of crime”. an unethical fashion, and use the power the State has granted them to attain Source: Agencia de Informacao de purposes for which it was not intended”, Moçambique said Nyusi. “Such deviant behaviour, which calls into question the good name, prestige and dignity of the police

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Vice-president of Angola meets with “This is a decision by the Political Mozambican ambassador ahead of Committee and, in accordance with the imminent presidential visit statutes of Frelimo, from 11 June until 29 October nation-wide internal On Thursday (9 July) the vice-president elections will take place”, the of Angola met with the Mozambican spokesman of Frelimo, Damiao José, Ambassador to the country, Domingos said at a press conference in Maputo on Estevão Fernandes, in Luanda. The Friday. meeting primarily focused on reinforcing co-operation between Angola and The internal elections follow the Mozambique. accession of Filipe Nyusi, current head of state, to the presidency of the ruling Speaking to the press at the end of the party, succeeding the controversial exit meeting, the Mozambican Ambassador of Armando Guebuza, who held the post announced that President Filipe Nyusi for 10 years. will be undertaking a working-visit to Angola in early November (timed to According to José, the elections will take coincide with the celebration of the 40th place in three phases, starting with the anniversary of Angolan independence). election of party officials at cell level, to During his visit, President Nyusi will be held between 11 July and 30 August; focus on strengthening relations and followed by the elections of the circle bilateral co-operation between the two committees, to be held between 5 countries, specifically focusing on September and 4 October; and, lastly economic activities. the election of zone committees, to be held between 10 and 29 October. President Nyusi is also scheduled to attend a number of Business Forums, “In Frelimo, internal elections are a time which will be attended by business of celebration”, said the spokesperson, people from the two countries. adding that, in his party, the internal electoral process is not “a mirage or a Ambassador Fernandes stressed the theatrical performance such as the one need to strengthen economic co- Mozambicans had the opportunity to operation between the two countries, witness some days ago”, he said, with the aim of facilitating better alluding to the recent celebrations of the business relations between investors 35th anniversary of Renamo Women’s and entrepreneurs from both countries. Detachment.

Source: Angola Press Source: Lusa

Frelimo announces internal elections Maria Guebuza resigns as president across the country of OMM

On Friday (10 July) Frelimo announced Maria da Luz Guebuza, the wife of that a round of internal elections for former president Armando Guebuza, party representatives, at the level of has resigned as president of the cells, circle and zone committees, will Mozambican Women’s Organisation take place later this year.

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(OMM), which is affiliated to the ruling The Council expressed their gratitude Frelimo Party. for Guebuza’s work, and declared that: “we would always like to count on your The resignation, announced late on support and experience”. Friday (10 July) at a meeting of the OMM National Council in the southern OMM General Secretary, Maria de city of Xai-Xai, was unexpected. The Fatima Pelembe, ended the meeting day before the announcement, the with a call for unity amongst all women. Council’s spokesperson, Maria Machule, “We need unity, placing the interests of told reporters that Maria Guebuza the nation above our own differences”, remained the president of the she stressed. organisation. United efforts, she declared, are However, she was not present at the necessary in the fight against child Council meeting because, like the rest marriages, pointing out that such of the Guebuza family, she was in premature marriages are one of the mourning for the death of the former main obstacles to the empowerment of president’s mother, Marta Andre Bocota, women, as they remove young girls who passed away on 3 July at the age from school. of 103. Source: Agencia de Informacao de Guebuza’s resignation precipitated a Moçambique decision to advance the next OMM Congress to December, a few months Renamo’s Peace Commission before it is due (under its statutes, the inaugurated in Beira OMM holds congresses every five years, and the last one was in April On Sunday (12 July) Renamo leader, 2011). Only the Congress can elect the Afonso Dhlakama, inaugurated the OMM President. “National Commission for Peace and Economic Development” in Beira It is, however, widely expected that one (). First Lady will give way to another, as the Congress proclaims Isaura Nyusi, The commission was established in June during Renamo’s National Council wife of President Filipe Nyusi, as the OMM’s new President. meeting.

The National Council, accepting The purpose of the commission is to Guebuza’s resignation, passed a motion contribute towards the consolidation of peace in the country and to develop praising her work over the years at the head of the organisation, particularly her actions aimed at maintaining the peace defence of the rights of women and and welfare of all Mozambicans. children. The motion noted her “We intend the commission to address, campaign work against the HIV/AIDS in a comprehensive and integrated epidemic, and more recently on manner, the chief concerns of persuading women to be screened for Mozambicans, because the goal of cervical and breast cancer. peace cannot be achieved without

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democracy, and democracy cannot Government/Renamo dialogue skips flourish without economic and social over disarmament deadlock and development. These three dimensions focuses on economic issues are interdependent”, said Renamo spokesperson, António Muchanga, at On Monday (13 July) the government the opening session of the commission. and Renamo delegations in the ongoing dialogue entered into the fourth and final According to Muchanga, the point on the agenda, focussing on commission reaffirms Renamo’s economic issues, despite a deadlock on commitment to peace. the key issue of disarming and disbanding the Renamo militia. “Renamo has always been committed to peace as well as acting in its own self- Following the 111th round of dialogue, defence, and the establishment of the the head of the government delegation, commission may be seen as another Agriculture Minister José Pacheco, said indication of the party’s commitment to that Renamo “wants to share its ideas such a precious thing such as peace”, on the distribution of resources in our said Muchanga. country”.

On Tuesday (14 July) Dhlakama He believes that the government “will publically stated that he hopes that both certainly have a different approach, but Frelimo and the MDM would integrate it’s a good step and we are on the final themselves into the Renamo peace stretch in terms of our agenda”. commission. In response to Dhlakama’s statement, on Thursday (16 July), The head of the Renamo delegation, President Filipe Nyusi stated that he will Saimone Macuiana, said that the refer the matter to Parliament. Renamo proposal focused on “creating conditions so that the country’s existing “I reserve my decision so that the matter resources can benefit the majority of can be taken up by Parliament”, said Mozambicans”. Nyusi during a press conference in Lisbon. Speaking on behalf of the mediators, retired Anglican bishop Dinis “When I took office I swore respect for Sengulane, said that the mediating team the Constitution and in Mozambique was encouraged by the deliberations on Parliament has the mandate to decide”, the final point of the agenda, and he said the President. appealed to the two sides to speed up their discussions. “What we’ll do is create conditions for keeping discussions flowing, so that all With regard to the dialogue sessions, Mozambicans can respect each other”, Sengulane suggested that there should added the President, who reiterated: be a countdown, so that in the near “No violence!” when asked about the future the two delegations could focus continuing instability in the country and on the “penultimate” and “final” rounds. Renamo’s peace commission proposal. Sengulane claimed that: “the fact that Source: Radio France International/Lusa we are entering on the fourth point

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means that the dialogue is producing at least two provinces in early July, results”. without causing any fatalities.

This optimism ignores the awkward “On 3 July, in , in Tete reality that there is no consensus on Province, Renamo attacked a police point two - concerning defence and unit”, he said, “and the following day it security matters - with Renamo still launched a second attack, causing insisting on a share-out of senior military damage to a vehicle that was positions between itself and the transporting police officers. These are government. clear indicators that Renamo is not prepared to demilitarise”. Furthermore, point three, on the separation of political parties and the In the central province of Sofala, State, is not entirely resolved, as Pacheco added, a Renamo group Renamo continues to insist that the kidnapped and assaulted a traditional agreements reached should be rubber- chief, identified as José Paulo, stamped into law by Parliament. supposedly because he was mobilising the locals to undertake productive The National Assembly is unlikely to activities in the context of publicising the accept this diktat, especially since the government’s Five-Year Programme for second opposition party, the 2015 to 2019. Mozambican Democratic Movement (MDM), has already submitted a bill on In Pacheco’s view, these attacks give the same subject, which is due to be the impression that the government is debated in the current parliamentary faced with “a violent Renamo that is not sitting. interested in disarming”.

Source: Agencia de Informacao de When journalists asked him about these Moçambique attacks, the head of the Renamo delegation, Saimone Macuiana, said Government accuses Renamo of that he did not have enough information violating ceasefire to comment on the matter.

On Monday (13 July) the government “It is true that the government may have accused Renamo of systematically brought this matter forward verbally, but violating the agreement on a cessation the Renamo delegation has demanded of hostilities which former president, that it bring it in writing to the next Armando Guebuza, and Renamo dialogue session, so that we can leader, Afonso Dhlakama, signed on 5 understand what is happening”, said September, 2014. Macuiana.

th Following the 111 round of the on- Like all the preceding rounds that dealt going dialogue between the government with the matter, there was no progress and Renamo, the head of the on disarming and dismantling the government delegation, Agriculture Renamo militia. The government is still Minister José Pacheco, accused waiting for Renamo to submit a list of Renamo of launching armed attacks in names of the people it wishes to see

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recruited into the armed forces and the routine activities in the area, and not police. Without this list it is impossible to actively targeting Renamo bases. integrate the Renamo militia personnel into the defence and security forces or, Source: Agencia de Informacao de in the cases of those who are too old or Moçambique/O País/Canal de Moçambique otherwise unsuitable, back into civilian life. “State should tighten law on creation of political parties” Renamo will not hand over the list unless the government appoints Mozambican lawyer Abdul Carimo has Renamo figures to senior positions in argued that the State should tighten up the military and the police. The laws on the formation, registration and government has rejected such a share- activities of political parties in the out of top positions, pointing out that country. According to Carimo, this dividing military positions on party initiative would be in line with the political lines is in flagrant contradiction provisions of the 2005 Constitution of to Renamo’s demand that the State and the Republic, particularly with regards to political parties should be separated. discouraging the proliferation of political parties that are only politically active In the meantime, on Wednesday (15 during election periods. July), Dhlakama admitted to personally ordering the attacks in Tete. According There are currently 60 political parties, to Dhlakama, the attacks were carried and 14 political party coalitions out in response to what he called registered in Mozambique. However “persecution” undertaken by the less than 10 of these engage in any Defence Force (FADM). regular activity. The remainder tend to reappear only at election time, primarily “The reasoning is simple. We tried to with the intention of collecting state avoid confrontation. However, since the funding, made available to meet the cost signing of the agreement on the of electoral campaigning. The lack of cessation of hostilities in September consistency in monitoring these public (2014), government forces have funds, and how they are utilised, means constantly confronted our guerrillas. We that leaders of phantom political parties are tired of running away and we see them simply as an opportunity to therefore decided to attack those who make money during elections. are inciting us”, explained Dhlakama. Carimo also suggested that the In response to the allegations, earlier monitoring of these activities, and the this week Frelimo denied the supposed funding of political parties, should be botched ambush on a local Renamo transferred from the Ministry of Justice base in Tete (see Rhula Media review: 3 to the Constitutional Council. July to 10 July). The lawyer, who was also deputy According to Frelimo, the FADM and parliamentary speaker from 1994 to battalions of the Rapid Intervention Unit 1999, was addressing a meeting for the (FIR) and SISE were merely conducting analysis of the Law on Political Parties adopted in 1992. The meeting brought

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together representatives of political increasing support to the victims of parties, the Mozambican Bar violence. Association, the Electoral Observatory and the Institute for Multi-party “It’s very important for us to have an Democracy. integrated centre which helps people not only in terms of health care, but also Source: O País with the police and prosecutors who can respond to needs”, he added. Prime Minister inaugurates centre for victims of violence Cassayre said that US support for the fight against gender-based violence in On Wednesday (15 July) Prime Minister Mozambique now amounted to roughly Carlos Agostinho do Rosario US$9 million. inaugurated a centre for the integrated care of victims of violence in Mavalane While at the Mavalane Hospital, Rosario General Hospital (Maputo Province). met with hospital workers and expressed his concern at the poor The building from which the centre standards of patient care. operates has been restored with the financial support of the United States With the necessary equipment now in President's Emergency Plan for AIDS the hospital’s possession, there is no Relief (PEPFAR). The rehabilitation took excuse for the failure to improve patient four months to complete and cost services. approximately US$50,000. “The condition and quality of material The centre is intended to expand the co- and equipment in this hospital are ordination and efficiency of HIV/AIDS substantial”, the Prime Minister said. prevention efforts and to improve the “We are opening an epoch in which availability and quality of services for the there will be ever better conditions for victims of gender-based violence. work and for providing services to the public”. Police and prosecution services are also available at the centre, as well as During the meeting, workers complained medical care. about their low wages, a lack of progression amongst the professional Rosario stressed the need to step up careers, a lack of communication efforts in combating violence in its allowances, and the lack of transport. various forms, and urged Mozambicans to take part in initiatives that seek to Rui Machava, who has worked at the reduce violence. hospital for 16 years, accused the management of ignoring the workers’ The chargé d'affaire at the US Embassy complaints, and he demanded the in Maputo, Mark Cassayre, said that the immediate dismissal of the Mavalane centre would be an important tool, general director. because it forms part of the government’s efforts to provide Rosario urged all workers who felt that they had suffered injustices, to contact

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the relevant authorities - including the According to the Prime Minister of Minister of Health, and the Maputo City Mozambique, Carlos Agostinho do Health Directorate. But he warned them Rosario, the working visit is also not to take their frustrations out on the intended to focus on economic patients. diplomacy with the aim of attracting more investment. The main aspect of caring for patients lies in a kind and caring approach. “Our country has Portuguese “When a patient arrives, and he is investments in various sectors, and this greeted with a smile, and is well cared visit aims to strengthen these relations”, for, that’s half the cure”, said Rosario. added Rosario, highlighting the long “The medicines do the rest”. historical links between the two countries. Source: Agencia de Informacao de Moçambique During his brief stay, President Nyusi will be accompanied by his wife, Isaura President Nyusi departs for working Nyusi; the Minister of Foreign Affairs visit to Portugal and Cooperation, Oldemiro Baloi; the Minister of Education and Human On Wednesday (15 July) President Development, Luís Jorge Ferrão; the Filipe Nyusi departed for Portugal, Minister of Industry and Trade, Ernesto where he will engage in a working visit, Tonela; the Ambassador of at the invitation of his counterpart Aníbal Mozambique to Portugal, Fernanda Cavaco Silva, until 19 July. Lichale; the Assembly of Deputies and cadres of the Presidency and other state The visit is aimed at strengthening the institutions. existing ties of friendship and co- operation between the two countries. In addition, approximately 150 Mozambican entrepreneurs, led by the During his visit, Nyusi will meet with President of the CTA Rogério Manuel, President Silva and the Portuguese Prime Minister, Pedro Passos Coelho, left for Portugal on Wednesday (15 July) to discuss the current state of bilateral in search of new business opportunities. co-operation between the two countries. The main focus of the business In addition, new opportunities for delegation, which is accompanying strengthening relations between President Nyusi on his first official visit Mozambique and Portugal will be to a European country, is the series of identified and discussed. bilateral meetings with Portuguese Nyusi is also scheduled to address a companies that are due to take place business seminar focussed on during the week. Portuguese investment in Mozambique. The CTA hopes that the visit will provide In addition, President Nyusi will visit an important opportunity for various sites of social and economic Mozambican businessmen to form interest, and meet with the Mozambican partnerships that will result in more community residing in Portugal. business for the country and stimulate job creation.

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On Thursday (16 July) it was revealed shareholder. He alleged that the that President Nyusi and Prime Minister contracts were obtained without going Coelho discussed ways to facilitate the through a proper tendering procedure. movement of citizens between the two countries for the benefit of their The relations between EdM and service- economies, cultural institutions and supply companies, in which Guebuza educational systems. and other leading figures in the ruling Frelimo Party have interests, are The idea is to facilitate the movement of “promiscuous”, according to Mondlane. students and entrepreneurs, thus increasing trade and encouraging He was speaking in a debate on an educational exchange. However, the MDM proposal to set up a parliamentary model is not yet defined, as Portugal is commission of inquiry into the affairs of party to the Schengen Agreement, and EdM. The MDM queried the legality of therefore bound by rules that cannot be the contracts that EdM had signed with overcome by bilateral agreements. other companies, and claimed that EdM was currently running at a huge loss, In addition, President Nyusi admitted to owing roughly US$50 million to its main Portuguese reporters that Mozambique supplier of power (HCB), which operates is in need of new legislation to promote the Cahora Bassa dam on the Zambezi private investment. River.

Source: Folha de Maputo/APA/Lusa/Rádio The MDM also attacked the EdM rural e Televisão de Portugal/Xinhua electrification programme, claiming that almost none of the power generated Ruling party blocks parliamentary was used to benefit the agricultural inquiry into EdM's businesses with sector. leading Frelimo figures But the MDM proposal, backed by On Thursday (16 July) the parliamentary Renamo, ran-up against clauses in the group of the MDM once again called for Assembly’s standing orders, which state the arrest of former president Armando that the Assembly may not set up Guebuza. commissions of inquiry on any matter that is before the courts – and the The spokesperson for the MDM finances of EdM are currently before the parliamentary group, Venancio Administrative Tribunal, the body that Mondlane, first made this demand on inspects the legality of public the floor of the Assembly on 17 June, in expenditure. connection with the US$850 million loan to Ematum, guaranteed by the Last year, the Finance Ministry sent the government in 2013. auditors into EdM. The General Inspectorate of Finance (IGF) undertook This time Mondlane demanded that an audit and submitted the audit report Guebuza be detained in connection with to the Administrative Tribunal. The contracts between the publicly owned Tribunal informed the Assembly that it is electricity company EdM, and other currently working with the Attorney companies in which Guebuza is a General’s Office to ascertain the truth of

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the findings in that report. If there is At times the debate was embittered. Not evidence of financial wrongdoing, they only did Mondlane call for Guebuza’s will be added to the EdM’s accounts for arrest; he also suggested that the possible proceedings against those government was “a criminal responsible. association”, while António Muchanga of Renamo claimed that those who For the Frelimo parliamentary group, opposed a commission of inquiry “are this meant that the affairs of EdM were allies of organised crime”. indeed before the courts, and so it would be against the Assembly’s own The Frelimo overall majority ensured statutes to set up the commission of that the MDM proposal was inquiry demanded by the MDM. defeated.133 Frelimo deputies in the chamber voted against it, while the 87 The opposition, however, argued that an opposition MP’s present voted in favour. audit report before the Administrative Tribunal does not count as a judicial Source: Agencia de Informacao de case. It is just “a normal procedure”, Moçambique said MDM deputy José Manuel de Sousa. Meanwhile, Eduardo Namburete Attorney-General threatens to take of Renamo insisted that the IGF audit action against her own staff “does not prevent the Assembly from holding its own inquiry”. Attorney-General, Beatriz Buchili, recently announced that she is not The opposition drew a distinction pleased with the failure to comply with between an “administrative matter” and probation periods and preparatory a “judicial case”; but Frelimo insisted instruction, as well as the lack of that the very fact that the EdM finances diligence on the part of judges and the were in the hands of the Administrative Criminal Investigation Police (PIC) in Tribunal meant that the MDM’s demand Maputo Province. She has therefore was illegitimate, and would violate the threatened to initiate criminal separation of powers. proceedings against any staff within the country’s legal system who deliberately Frelimo deputy, Lucas Chomera, stall cases. praised the government’s decision to call on the IGF, “which shows its Buchili toured Maputo Province last commitment to fighting mismanagement week, and was not pleased with what and corruption”. A parliamentary she found. Speaking to local residents commission, he argued, might interfere she was repeatedly faced with with the work of the Tribunal. complaints of delays with regard to cases coming to trial and of appeals As for EdM’s financial woes, Chomera being heard. said that they predated Guebuza’s presidency by decades; they began in She found that the time limits for the 1980s when, during the civil war, preventive detention were not Renamo repeatedly blew up pylons, respected. Under Mozambican downed power lines and murdered EdM legislation, the police cannot hold workers. suspects for more than 48 hours before

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presenting them before a magistrate to Following her visit, Buchili issued clear validate the detention. instructions that the magistrates and officers of the PIC redouble their efforts The spokesperson for Buchili’s office, on processes currently being applied. In Alberto Paulo, who is one of the addition, Buchili recommended that the assistant Attorney-Generals, told staff improve co-ordination efforts reporters that: “It is unacceptable that between the prosecution, the courts, the today we have members of staff who PIC and community leaders. make no contribution to dynamism in the justice system”; yet that was what Source: Jornal Notícias/Agencia de Buchili had found in the city of Matola, Informacao de Moçambique and in the Moamba, Matutuine and Magude districts. Moamba resettlement project

“The Attorney-General left the message The president of the Parliamentary that these people must be held Commission for Agriculture, Economics responsible”, said Paulo. “What they do and Environment, Francisco Mucanheia, contributes to the slowing down of legal has urged the developers of the procedures”. If Buchili’s orders are not Moamba-Majordam dam construction obeyed, he warned, action will be taken project (in Maputo Province) to be very against these individuals. careful in observing the rights of the resident population in the areas affected Buchili also discovered that goods by the construction. In addition, seized from criminals via court order are Mucanheia has urged the project being stored in a haphazard manner in leaders and developers to create basic police stations, where they are conditions for the population, which deteriorating and are at risk of being contributes towards local cooperation. stolen. She gave all police stations in the province a deadline of 15 days to The appeal was made during a working turnover all the confiscated property to visit to the construction site. The aim of the Directorate of State Assets in the the visit was to allow commission Finance Ministry. members to observe the site first hand as to identify and familiarise themselves Among the frequent complaints Buchili with the impact that the current issue, heard were claims that suspects and possible future problems, could released conditionally while awaiting potentially have on the social, economic trial are continuing to commit crimes, and cultural aspects of the surrounding particularly stock theft. Buchili population. demanded more rigour from the courts in granting conditional freedom or bail. The government has allocated roughly US$48 million for the approximately 600 She also met with livestock farmers and families affected by the project. The with community leaders to discuss funds will be utilised to build basic social measures that could be taken against infrastructure; for example, two health stock theft and against poaching. centres, two primary schools and access roads) for the resettled community.

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The dam construction project will benefit property. In other cases nothing at all the community, as it will see the creation has been done. The owners of some of of a new power generation facility with the plots have applied for extensions, the capacity to produce 50 MW of but done little or nothing all the same. electricity, and a water storage facility. The announcement reads: The project, which will take “Proclamations are running for a period approximately three years to complete, of 30 days, counted from the publication will create thousands of jobs. of the current notice [Tuesday, 14 July] by presumption of abandonment and The dam construction project will cost unjustified non-compliance with the an estimated US$466 million, US$350 usage plan of the plots of portion 3379 million of which has been granted via (Tchumene). If this presumption is not credit arrangements with the National removed by the holders of such land Bank for Economic and Social plots within the deadline mentioned Development of Brazil. The remaining above, their DUATs will be deemed US$116 million will be provided by the expired and reversed in favour of the Mozambican State. Municipal Council of the City of Matola”.

Source: Jornal Notícias This is not the first time the city council’s young leader Calisto Cossa has insisted Matola municipality warns of on compliance with the municipal DUAT possible DUAT cancellation in statutes, despite the controversy it Tchumene occasionally entails. Recently, various municipal districts in Matola have seen A total of 77 plots which have been unregulated construction blocking granted to applicants in the Tchumene rainwater drainage ditches, resulting in neighbourhood, Matola (Maputo flooding. In March, several factory and Province), may revert back to the local residential perimeter walls were authority if their owners do not demolished without compensation in in demonstrate any intention to build bid to clear the channels. homes or other projects within the next 30 days. Tchumene is a new and prestigious residential area. Residential and other According to the municipal regulations, ventures built in the neighbourhood will the Land Use Rights (DUATs) last for be served by the Maputo ring road, two years; however, they may be when completed. extended within reason. The municipality of Matola, however, Source: Folha de Maputo published a notice in several newspapers on Tuesday (14 July) listing Study shows fear and youth DUATs that are over 10 years old, discontent in Mozambican elections where compliance with the land use plans have not been demonstrated. An insightful study of the flawed presidential elections of 15 October In some cases, the DUAT holders have 2014 raises questions regarding merely built perimeter walls around the

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discontented youth and the way in which In Gaza, researchers were shocked by Frelimo maintains power. “the fear expressed by many citizens when asked for their opinions”. The The study was headed by Luis de Brito power of Frelimo was enforced by of the Institute of Social and Economic means of intimidation and violence at Studies (IESE), with teams in the hands of groups of unemployed Manjacaze (Gaza Province) and youth known as “shock groups”, who Murrupula (Nampula Province). even succeeded in intimidating the researchers. Hostility towards Renamo Both teams allegedly witnessed fraud remains very strong because of its and disorganisation. There were extra brutality during the war. But the MDM ballot papers in circulation in Manjacaze appears to have gained more support. and a polling station located within the In both locations there was a strong compound of a Frelimo official. Polling presence of Frelimo-aligned community stations were also relocated in leaders. Murrupula. In both areas, the teams commented on The report also notes that the the discontented youth, with no jobs and Secretariado Tecnico da Administracao increasing hostility towards the Eleitoral (STAE) has been operating government. Some did not bother to without substantial changes since 1994, vote, while others voted for the and thus one would expect each opposition. election to be better run, but “in truth, the 2014 election shows that this is not Source: Joseph Hanlon the case”.

SECURITY

Hundreds flee Tete amid renewed roughly 700 people seeking refuge - most fighting in Mozambique of them children.

Recent reports cited in the Zodiak Malawi The majority of the Mozambicans fleeing indicate that hundreds of Mozambicans into Malawi are using unchartered routes, are fleeing Tete Province into Malawi’s said authorities in an initial report, Mwanza district amid growing hostilities released on Thursday (9 July), by the between the government and opposition district council. party, Renamo. “There are approximately 678 According to the reports, the affected Mozambicans, mostly children (415) that areas include Mkondezi, Monjo and have been recorded as seeking asylum, Angónia. as a result of the civil unrest that broke out on Friday, 3 July”, said the report. The Mwanza District Council has since raised the security alert, after receiving The refugees are predominantly camping out at Kasipe II, in the locality of Senior

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Inkosi Kanduku, and are entering the Speaking to reporters during a visit to the country via Neno and Chikhwawa. ministry, the Commission’s chairperson, Jeronimo Malagueta (who is a member of There are fears of increasing criminal Renamo) said that the budget was not activity as the Mozambican refugees do large enough; however, he recognised not have a source of income, and some that this was in the nature of budgets. are reported to have brought in weapons, said some sources at the council. “The budget is never enough”, he said. “Even in the Assembly, our budget isn’t Speaking to Zodiak in an interview, large enough. So it’s a normal situation”. Mwanza District Council Disaster Risk and Management Officer, Jarvis He described the Commission’s visit to Mwenechanya, said that the major the ministry as “interesting”, and said that challenge facing the refugees is food and in the coming days members would visit shelter. barracks to inspect the conditions in which soldiers live. He said that the poor conditions in which they are living have resulted in fears of a Defence Minister, Atanasio Mtumuke, disease outbreak. Mwenechanya has welcomed the Commission’s visit, and called on volunteers and NGOs to help suggested that in future the parliamentary the 113 displaced families. deputies should make surprise, unannounced visits. “We use the funds A visit by Zodiak reporters to the border the people grant us, and you monitor the villages in Thambani and Mpandasoni has use of funds”, he said. “You want to know confirmed the situation. how we are using the budget, but this is just the first visit”. The district council has advised all chiefs and traditional leaders to register all One member of the Commission, Geraldo displaced individuals for an authentic de Carvalho, of the opposition MDM, scope and scale of the mass entry of the walked out of the briefing, objecting to the Mozambicans into Malawi. seating arrangements. There were not enough places for all the deputies at the Source: Zodiak Malawi online main table.

Deputies recognise inadequacies in When Carvalho expressed his the defence budget annoyance, Mtumuke replied: “these are the conditions we have here. Even our air On Friday (10 July) the Commission on conditioners don’t work properly. We all Defence, Security and Public Order of the know what the situation of our country is”. Assembly recognised that the budget allocated to the Defence Ministry does not Outside the building, Carvalho told meet all of its requirements. reporters that he had felt excluded. Deputies from the ruling Frelimo Party, The current annual budget for the ministry and from Renamo, had been able to sit is MT5.12 billion (approximately US$135 and write at the table, while he had been million). left standing. He thought this was outrageous and that all deputies should

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enjoy the same working conditions. refugees from the refugee centre in “There are no first class or second class Marratane (Nampula Province). deputies”, he exclaimed. According to information passed on to the He protested that something similar had minister, these gangs both assist and happened at the Ministry of the Interior, abduct the refugees accommodated within which the Commission had visited on the centre. The refugees are Monday (6 July). subsequently either trafficked or aided (for a substantial fee) into Maputo and South Source: Agencia de Informacao de Africa. This has resulted in creation of an Moçambique environment of insecurity and instability within the centre. Nyusi consolidating power within the military As of 30 June (2015) approximately 19,816 foreigners of various nationalities On Friday (10 July) six FADM generals were registered as residing in Nampula retired. Province, against 18,200 registered during the same period last year. Two of the retired generals are prominent individuals within the military: major- Upon leaving the province, the minister general Jorge David Gune, head of the asked the local population not to harass presidential guard (Casa Militar) and Rear or abuse the refugees currently living in -Admiral (contra-almirante) Patricio the country. According to Monteiro, many Cancuta Yotamo, former head of the navy of the refugees in Marratane have and inspector of the armed forces since complained of harassment at the hands of 2013. locals.

As a result, two key posts will now be Monteiro argued that Mozambicans filled by President Filipe Nyusi. should not forget their own history, in which many citizens became refugees At a ceremony at the police school in themselves during the 16-year civil war. Matalana (Maputo Province) on Thursday (9 July) Nyusi confirmed that the police Monteiro stated that the refugees did not would be restructured and that older choose this life, and thus Mozambicans police officials would be retired. should learn to treat them with compassion. Source: Joseph Hanlon Source: Jornal Notícias Monteiro calls on the police to Mozambique and Zambia to forge redouble efforts in Nampula security ties On Monday (13 July) Interior Minister, Zambian Home Affairs Minister, Davies Jaime Basilio Monteiro, called on the Mwila, has called on security agencies in Police of the Republic of Mozambique Zambia and Mozambique to find new (PRM) to redouble their efforts with ways of combating the threats posed by respect to identifying and neutralising the terrorism. criminal gangs that facilitate the outflow of

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Mwila says that challenges posed by Earlier, Mozambique’s Minister for terrorist threats are worrying and have the National Security, Anastasio Salvado, potential to negate the economic gains urged security experts attending the attained in the two nations. three-day conference to discuss ways of finding strategic decisions to problems Mwila has further challenged security affecting the two countries. agencies to find new ways and approaches in tackling organised crimes. The three-day Joint Permanent Commission on Defence and Security Mwila was speaking on Wednesday (15 closed on Friday (17 July). July) in Bilene (Mozambique), where he officially opened the 8th session of the Source: Zambia National Broadcasting Ministerial committee of the Mozambique Corporation – Zambia Joint Permanent Commission on Defence and security.

CRIME

MAP 1: KIDNAPPING INCIDENTS IN CENTRAL MAPUTO 2014 & 2015

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GRAPH 2: REPORTED KIDNAPPINGS PER YEAR

35 31 30 30

25

20 16 14 15

10

5

0 2011/2012 2013 2014 2015

GRAPH 3: TIME OF KIDNAPPINGS 2014 & 2015

10 9 8 7 6 5 4 3 2 1 0 00:01 - 04:00 04:01 - 08:00 08:01 - 12:00 12:01 - 16:00 16:01 - 20:00 20:01 - 00:00

Note: This graph excludes kidnappings in which the time of the kidnapping was not reported

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GRAPH 4: KIDNAPPINGS PER GENDER / AGE-GROUP 2014 & 2015

9 8 7 6 5 4 3 2 1 0 <18 19-36 37-54 55-72 >73

Male Female

*Please note: the data present in the graphs and maps is not 100% accurate owing to the high number of unreported cases and irregularities in the documentation of these events. This graph illustrates the successful kidnapping incidents ONLY and not attempted/aborted/intercepted kidnappings.

Seven people arrested for murder During the same period, 1,918 individuals were arrested throughout During the course of last week (3 to 10 Mozambique. Of those detained, 1,821 July) a total of seven individuals (six were for border violations, 92 for the men and one woman) were arrested commission of various crimes and five throughout the country (specifically for illegal immigration. Maputo, Inhambane and Sofala) on charges of murder. In addition, the Republic of South Africa successfully repatriated 270 Of the seven murder cases, three were Mozambicans (241 men and 29 women) related to domestic violence, whilst one for illegally entering and residing in the of the cases involved infanticide. The country. seven detainees are aged between 24 and 60. Source: @Verdade

In the same week, three locals Authorities seize 15 tons of semi- (identified only as Carlitos, Jaime and precious stones en route to Tanzania Jeremias) were arrested in Massingir (Gaza Province) on charges of During the course of last week (3 to 10 conspiracy to poach. During the arrest, July) the PRM in Cabo Delgado the PRM confiscated a Mauser Hunting Province seized a truck transporting 15 Rifle and an unspecified quantity of 375 tons of garnets from Mozambique’s mm ammunition. Ancuabe district to Tanzania.

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The truck was seized at the Silva Macua The two victims were admitted to the control post on the Namoto border. The José Macamo Hospital for treatment. driver of the vehicle, a Tanzanian national, was immediately arrested. No arrests have been made so far:

According to the PRM, the truck had Source: Folha de Maputo been observed leaving the mining region of Ancuabe, which raised One dead and six injured in clash suspicions. On this occasion the truck with police was searched and the 15 tons of semi- On Sunday (12 July) the PRM shot one precious stones were found. person dead and wounded six others in “At this point in time, the driver is being a clash with a lynch mob in the town of held at a local police station. We are Nhamatanda (Sofala Province). looking forward to the results of The crowd attacked the police in an investigations being carried out by a attempt to seize a man which they multi-sectoral team including the police, considered to be a “dangerous bandit” Customs and the Directorate of Mineral who had been “spreading terror” in Resources and Energy”, said police Nhamatanda. spokesperson Mamade Chaguro, adding that this is the first case involving America Alberto, the brother-in-law of such large quantities of semi-precious one of the injured members of the mob, stones. Preliminary investigations told reporters that the crowd had every indicate that the “owner” of the goods is intention of taking the law into their own also a Tanzanian citizen, who is hands and lynching the alleged bandit. currently at large. Alberto said that: “the police “The illegality of this case lies in the accompanied a dangerous bandit whom manner in which the goods were being the people have been seeking for a long transported. Two days after the seizure, time in order to lynch him. As an a document conferring the right to carry authority, the police tried to protect the such goods was presented, but it is bandit, subsequently the people began merely for transport via sea. This type of to throw stones to distract the police”. license is non-transferable, so its holder may run the risk of being banned from The police responded to the stone conducting business in the future due to throwing by shooting live ammunition at the fact that he illegally transferred his the crowd. One person was killed and licence”, the spokesman pointed out. six others were injured. Five were treated in the Nhamatanda rural Source: O País hospital, while the condition of one of Two women raped in Maputo the injured was serious enough to warrant her transfer to the Beira central On Sunday (12 July) two women (a 28- hospital. year-old and a 14-year-old) were raped by unknown perpetrators in the cities of Alberto said that, after the shooting, he Maputo and Matola. had sought explanations from the

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Nhamatanda police commander, but to Zimbabweans and Malawians) at an no avail. illegal mine in Báruè (Manica Province).

So far there has been no official During the arrests, four kilograms of comment from the police regarding the tourmaline and MT60,000 was seized. clash. The spokesperson of the Manica PRM, Source: Agencia de Informacao de Belmiro Mutadiua, stated that: “We are Moçambique not against the presence of foreigners in our province; however, we are against PRM accused of killing 17-year-old in the depletion of minerals and wildlife Malhangalene resources”.

On Monday night (13 July) a 17-year-old The number of foreign and illegal miners boy was allegedly shot dead by the has doubled in the area since a new, PRM in the Malhangalene unbridled tourmaline deposit was neighbourhood of Maputo Province. The discovered in a mining concession family of the deceased have accused belonging to Renamo leader, Afonso the police of intentionally killing the Dhlakama, approximately a month ago. youth. Source: Folha de Maputo The teenager’s body was found riddled with bullets on the roof of a house near Customs staff accused of falsifying the bull ring in Malhangalene. tax receipts

According to the family, moments before Seven staff members of the the shooting the child had allegedly Mozambican customs service, in the engaged in theft. central province of Sofala, have been charged with the theft of MT5 million According to the sister of the deceased, (approximately US$131,000), through he left the house at 21:00hrs on Monday the falsification of tax receipts, night. Soon thereafter, four PRM officers according to Bernardo Duce, the arrived at their home with their nephew spokesperson for the Central Office for in handcuffs. The PRM explained that the Fight against Corruption (GCCC). the two boys were caught stealing car parts; however, the deceased managed Speaking on Wednesday (15 July) at his to flee the scene. Soon after, the young monthly press briefing in Maputo, Duce boy was shot and killed. said that: “what they did was, when they received certain amounts from Source: O País taxpayers, they falsified the documents proving a receipt of those sums, writing 14 foreigners arrested in Báruè for down smaller values and pocketing the illegal mining rest”. The case has now been sent to court for trial. On Tuesday (14 July) the PRM, working in collaboration with the environmental In addition, Duce said that the GCCC is protection unit, arrested 14 foreigners of investigating the case of the head of the various nationalities (predominantly

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social welfare department, in the airtime vouchers to other public Maputo Provincial Directorate of functionaries, under the communications Veterans Affairs, who is accused of allowance envisaged in the law”, said setting up a bank account in 2010 where Duce. “But instead they gave the she deposited large sums of money, phones and vouchers to other people derived from the falsification of who are not public employees and this documents for the payment of veterans’ cost the state MT742,000”. pensions. Source: Agencia de Informacao de “During the investigations her house Moçambique was searched, in order to find documents linking her with the account”, Elderly woman killed for practising said Duce. “Deposit slips, ATM receipts witchcraft in Chibabava and other documents were found which proved that she was linked to the During the course of this week (10 to 17 account”. July) an elderly woman was beaten to death in her home, located in the He added that documents were also administrative post of Goonda, found belonging to other people (Sofala Province), suspected of operating accounts after she was accused of practising through which public funds have been witchcraft. drained. Two locals (identified as 55-year-old J. “We don’t yet have an overall figure, John and 41-year-old F. Albert) were since this case is still at the stage of arrested in connection to the murder. preliminary investigation”, he said. “But I Source: Notícias can say that this account was recorded in the system in 2010. Up to January of Criminal network in Nampula this year, the monthly allowance in the targeting albinos account was MT21,000”. The increasing cases concerning the Investigations are still under way to disappearance of albinos in Nampula establish exactly when the official Province has led the local PRM to started using this account to steal public believe that there is a criminal network funds. Over a one year period, at active in the area, specifically targeting MT21,000 per month, the account would individuals with albinism. have accumulated approximately MT252,000 (US$6,615). According to the provincial commander of the Nampula PRM, Abel Nuro, of the In addition, in the central city of three most recent cases, two of the Chimoio, six officials of a public victims have been rescued, whilst the institution, which Duce declined to third is believed to have already been name, were charged with defrauding the sold to unknown buyers for the state of roughly MT742,000. extraction and sale of organs for witchcraft. “These officials had the power to attribute mobile phones and phone

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According to the PRM, evidence in their Maputo sex workers accuse PRM of possession suggests that the sexual assault phenomenon involves a cross-border criminal network, stretching into Sex workers operating in the Tanzania and Malawi (in Tanzania, as in neighbourhoods of Maputo have Mozambique, body parts and organs of accused the PRM of rape and assault. albino individuals are believed to According to the sex workers, some possess magical properties). members of the police force have been known to rape and harass prostitutes Nuro argued that Mozambique, and during their late night security patrols. other countries bordering the Great Lakes, must adopt new laws to protect According to the sex workers, these albinos. attacks are frequent and often very violent in nature. Some reports even Another worrying factor, according to suggest that the officers involved in Nuro, is the high rate of grave robbing in such acts physically beat the sex Nampula, where human bones workers before stealing their earnings. (specifically long bones) are stolen and sold for witchcraft. Reporters questioned the spokesperson of the General Command, Pedro Cossa, In Nuro’s opinion, it is highly possible to determine the validity of these claims. that these thefts and However, Cossa refused to address the abductions/murders are being co- matter at his weekly press briefing on ordinated by those residing in the Tuesday (14 July) as the matter was not Marratane refugee centre. Investigations on his list of talking points for this week. are ongoing with regards to this claim. Source: MMO Notícias Source: Jornal Notícias 25 inmates still at large Taxi drivers targeted by violent gangs Following the prison break at Chiúre Penitentiary (Cabo Delgado Province) In the city of Chimoio (Manica Province) on 29 June, where 34 inmates managed taxi drivers are being targeted by violent to escape, only nine escapees have criminal gangs. been successfully recaptured.

The majority of victims are severely According to the district administrator, assaulted, with some having been Carlos Nampava, steps are being taken murdered, before being robbed. by the Defence and Security Forces to recapture the remaining 25 escapees. In the most recent case, on Friday (10 July) three perpetrators, posing as According to Nampava, the situation is passengers, abducted and shot a taxi concerning as the prisoners are driver, before fleeing with his Toyota considered to be dangerous. Corolla. The provincial Deputy Director of the Source: O País Civil Prison, Augustine Kalima, has

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allegedly revealed that three prison Defamation trial over open letter to guards have since been arrested and Guebuza set for 3 August accused of facilitating the escape. The trial of Carlos Nuno Castel-Branco Source: Agencia de Informacao de and Fernando Mbanze has been set for Moçambique Monday (3 August), and it will be a major test of freedom of speech and the Sneakers worth ZAR12 million seized press in Mozambique. at Lebombo border Castel-Branco is the co-founder of the The South African Revenue Service Institute for Social and Economic (SARS) customs officials at the Studies (IESE) and one of Lebombo Border Post in Mozambique’s most important (South Africa) recently confiscated a academics, and Mbanze is editor of large quantity of undeclared sneakers, MediaFax, one of the oldest and most with an estimated value of ZAR12 respected independent newsletters in million. the country.

The alleged counterfeit goods, on-route The charges relate to an open letter that to South Africa from Mozambique, were Castel-Branco published on his discovered by authorities, after they Facebook page in November 2013 and stopped a truck for inspection along the which was widely reprinted. The open cargo bypass zone. letter is a very strong attack on the then president, Armando Guebuza, and Documentation presented by the driver starts: “Mr. President, you are out of indicated that the truck was empty. control”. Castel-Branco’s letter resonated with the educated urban SARS spokesperson, Luther Lebelo, youth, and was widely circulated on stated that officials subsequently social media. discovered more than 14,000 pairs of sneakers hidden within the vehicle. Castel-Branco is accused of defaming “They then discovered that the truck the then president, which is a state was not empty but contained over 2,948 security offense, and he has been pairs of Nike, 920 pairs of Puma, 3,415 charged under Article 22 of the State pairs of Adidas and 6,884 pairs of All Security Law (lei 19/91). Mbanze has Star sneakers”. been charged with abusing the freedom of the press by publishing the letter. The sneakers have been confiscated Fernando Veloso, editor of Canal de pending Intellectual Property Rights Moçambique, was also originally (IPR) verification by the various brand holders. charged for reprinting the letter, but he is ill and out of the country, thus he has Source: Eye Witness News not been called to trial. Lawyers for Castel-Branco have asked for a delay the trial to 31 August, as he will not be in Mozambique on 3 August.

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The Amnesty Law passed by the the two defendants are not raising the Assembly in August 2014, as part of the issue, because they want to use the trial agreement with Renamo, applies to all as a public defence of freedom of the state security offences committed press and of expression. between March 2012 and August 2014, and thus should cover the Castel- Source: Joseph Hanlon Branco letter and its republication. But

WILDLIFE PRESERVATION

Gorongosa hosts international The aim of the symposium is to examine symposium how people and ecosystems can thrive together on Mount Namuli. Burhardt Gorongosa National Park (GNP), in commented that: “at this point in the central Mozambique, recently held an process it is imperative to bring future international symposium on the topic of leaders into the discussion around “disruptive” conservation - which is conservation”. described by the organisers as “a new model for building community-driven Biologists and conservationists have conservation in some of the world’s identified Mount Namuli as a place of most remote and biologically diverse critical biodiversity. According to places”. Burhardt, the area “provides an opportunity to model a new vision for The “2015 Lost Mountain Next Gen wildlife preservation that integrates the Symposium” brought together 40 wishes and needs of local people”. university students, scientists and conservationists. The 12-day event, “By bringing key conventional and which began on Saturday (11 July), unconventional players into the mix, we focused on conservation planning and were able to create nimble, effective, management principles, leadership and innovative solutions for development models and “Leave No conservation and development”, said Trace” techniques, whilst examining the Burhardt. “We are using the symposium challenges facing conservation and to make real time decisions and action development. plans for our next steps with Mount Namuli - that is disruptive conservation”. According to a press release from the symposium, the initiative follows on from The Lost Mountain Consortium receives the work of Majka Burhardt, who in May financial support from the Critical led a team to remote Mount Namuli in Ecosystem Partnership Fund, which is a Zambézia Province, and its previously joint initiative of the French unexplored habitats. During this Development Agency (AFD), expedition, a new snake species was Conservation International, the discovered, along with 40 ant genera European Union (EU), the Global and 27 herpetological specimens, many Environment Facility, the Japanese of which have yet to be identified.

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government, the MacArthur Foundation available in the languages that and the World Bank. Mozambicans speak”.

Source: Agencia de Informacao de This was the consensual position of the Moçambique journalists attending the seminar, who also argued that there should be specific Kruger Park poachers: 80% government funding for this purpose. Mozambican - 20 shot dead in The seminar was organised by Radio 2013/14 Moçambique, as part of the celebrations of its 40th anniversary. Approximately 80% of the poachers arrested by the South African authorities Meanwhile, the fight against poaching in the Kruger National Park (KNP) are took a step forward with the Mozambicans, according to William appointment of one of the country’s Mabassa, of the KNP’s public relations most prominent environmentalists, service. Carlos Serra, as National Director of the Legal Office of the Ministry of Land, Speaking on Tuesday (14 July), at a Environment and Rural Development. seminar in the southern Mozambican city of Inhambane on “The role of the “I accepted this new challenge after media in the promotion of tourism and much thought and consultation”, Serra the fight against poaching”, Mabassa wrote on his Facebook page. “I shall do said that the South African authorities my best in drawing up and revising are seriously concerned at the number legislation, and in training professionals of Mozambicans crossing the border to in the sector”. slaughter wild life. He pledged that he would remain linked Some have paid with their lives. to environmental activism and to Wardens shot dead 13 Mozambican academic work, despite his new poachers in the KNP in 2013, and a government responsibilities. further seven in 2014. Serra was one of those who insisted Mabassa urged the Mozambican that ivory and rhino horns seized from government to invest more in poachers must be destroyed, lest they communication, so as to raise once again fall into the wrong hands. community awareness in respect of the The government eventually agreed, and need to fight against poaching. Mabassa on 6 July the authorities incinerated 2.4 argued that local languages should be tons of illicit wildlife produce seized from utilised to communicate with locals in a poaching gangs. 618 elephant tusks and bid to ensure that communities 82 rhino horns were consigned to the understand that animals, such as flames. elephants and rhinos, are worth more alive than dead. Source: Agencia de Informacao de Moçambique “The media have an important role to play in raising awareness”, he said, “particularly when the content is made

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How many white rhino are left in the “Determining numbers is becoming less KNP? feasible since the department decided earlier this year not to release official The number of white rhino left in the poaching figures on a monthly basis”, KNP is becoming a hotly contested Du Toit added. issue. He is also of the opinion that the Kruger Respected wildlife veterinarian, Dr. should be cleared of poachers by Kobus du Toit, calculates that there are intelligence experts from the outside. He [possibly] between 1,500 and 3,000 also said that:“the rhino horn should be white rhinos left in the KNP. He has removed from the smuggling basket that since challenged ecologists to refute his involves drugs, human trafficking, figures. cigarettes, weapons and alcohol”.

According to Dr. Salomon Joubert, During the official release of the latest former managing executive of the KNP, rhino numbers, KNP managing calculations by Dr. Sam Ferreira, the executive Paul Daphne, said that: large-mammal ecologist in KNP, quoted “SANParks has full confidence in the 10,621 white rhino in 2010, 10,495 for integrity of our rhino-counting 2011 and 9,093 for 2012. The 2013 methodology, and in the experienced survey gave an estimate of 8,400 to team of scientists, counters and pilots 9,600 white rhinos, whilst a survey who implement the rhino count”. concluded in September 2014 suggested that there were between Different modelling techniques and 8,000 and 9,290 white rhinos left within numbers will be part of a civil court the KNP. case, scheduled to be heard in the Pretoria High Court in September. In According to author Chris van der Linde, this case, two private rhino farmers, who wrote Kruger National Park: John Hume and Johan Kruger, with the Questions and Answers, there were assistance of Du Toit, will challenge 10,500 white rhinos in the park. environmental affairs minister, Edna Molewa, to lift the moratorium on trade However, Joubert estimates the number in rhino horns in South Africa. to be around 6,000. Recently the South African National Parks (SANParks) Source: Caxton News Service received the stamp of approval from the scientific community regarding its rhino Lichinga court hands down harsh jail survey for 2013 and the methods used. sentences to elephant poachers Counting exactly how many rhinos are in KNP is difficult. The method of cutting The Niassa provincial court has the entire landscape of the park up into sentenced three poachers (two blocks of three metres by three metres Tanzanian nationals and a and determining an average is being Mozambican) to 10 years imprisonment utilised, rather than counting each and for hunting and killing elephants in the every rhino within the park. Niassa National Reserve, the country’s largest conservation area.

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The three poachers were arrested in authorities to bring about an end to this possession of a firearm and ammunition phenomenon. and 12 elephant tusks, two of which weighed 32 kilograms and the others In May (2015), the Minister of Land, with weights ranging from four to 10 Environment and Rural Development, kilograms. It is believed that the group Celso Correia, and the Tanzanian had been responsible for killing at least Minister of Natural Resources and six elephants. Tourism, Lazaro Nyalandu, signed an agreement in Maputo to protect the vast As part of the court’s sentence, the cross-border conservation area that weapons, the vehicle used by the covers the Niassa Reserve and poachers, and the tusks were all Tanzania’s Selous Reserve, an area of confiscated and reverted to the State. around 15,000 square kilometres.

A curious fact, noted by A Faísca, is that Source: Agencia de Informacao de after the arrest, the defendants Moçambique/A Faísca “mobilised their lawyers who came from Maputo city”, which would, according to Elephant poaching: European Union the same source “indicate a strong bans import of hunting trophies from connection with a large criminal ring of Tanzania and Mozambique poachers operating from Maputo”. The EU has banned the import of There has been a major onslaught by elephant hunting trophies from two poachers against the elephant herds in African nations. the Niassa Reserve in recent years. According to the latest elephant census, The decision is a major victory for the the total number of elephants in campaign to end the vile trade in Mozambique declined by 48% in five poaching, which has driven some years – from just over 20,000 in 2009 to species to the brink of extinction. 10,300 in 2014. EU leaders have ordered the ban on Most of the losses occurred in Niassa elephant hunting trophies from Tanzania and the neighbouring province of Cabo and Mozambique because of the threat posed to the animals by poachers. Delgado, where the elephant population fell from approximately 15,400 to 6,100. There is already a ban on importing The Niassa National Reserve was the such trophies from Zambia. hardest hit. Here the number of The decision was taken by an EU elephants fell from around 12,000 to an scientific committee which rules on estimated 4,440. In the census, 43% of whether hunting trophy imports are all elephants seen in the Niassa sustainable. Reserve were carcasses. Previously, Tanzania and Mozambique Most of the poachers decimating were each permitted to export tusks elephant populations in the north come from 100 elephants every year into the from Tanzania. The government is EU as hunting trophies. However, both therefore working with the Tanzanian countries have seen a significant decline

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in elephant numbers due to soaring “Born Free is lobbying the European levels of poaching. Union to take much needed leadership on this issue and we will now focus on The EU decision is the latest milestone ensuring that the Action Plan effectively in the Sunday Mirror campaign to crack delivers better conservation of the down on the slaughter of thousands of world’s threatened wildlife”. rare beasts every year by poachers who sell ivory and skins for huge profits. Source: Mirror Online

Liberal Democrat Euro MP, Catherine Can killing more elephants actually Bearder, who is supporting the help to save them? campaign, said that: “I’m glad the EU is leading the way in stopping the With nearly half Mozambique’s slaughter of endangered animals for elephants wiped out by poaching since sport. 2009, the World Bank’s decision to fund sport hunting is called into question. “Trophy hunting of elephants is not only senseless and cruel, it is wholly Is killing an endangered animal for sport unsustainable. the best way to save the species from extinction? The World Bank—one of the “African elephants could be extinct in largest sources of financing for the wild within our lifetimes. We must do biodiversity conservation projects in everything we can to prevent this iconic developing countries—thinks it is. species from being wiped out”. Late last year the World Bank approved The European Commission is already a US$46 million grant to Mozambique, meeting one of the campaign’s key one of the world’s poorest countries, to demands by drawing up a Europe-wide encourage tourism and alleviate action plan to step up the fight against poverty. Now, US$700,000 of that has wildlife trafficking. been earmarked to bolster trophy hunting of elephants and lions. The comprehensive plan will bring together environmental experts, police Mozambique’s elephants, poached for and trade officials from across the EU to their ivory for the illegal trade to Asia, crack down on the illegal trade. are in a precipitous decline. Between 2009 and 2014, their numbers fell from It will aim to close loopholes which allow an estimated 20,000 to 10,300, gangs to smuggle ivory and other illegal according to a survey by the Wildlife wildlife products into Europe. Conservation Society (WCS) as part of the Great Elephant Census. The president and co-founder of the Born Free Foundation, Will Travers, In Mozambique—as well as other poor welcomed the initiative. African countries, such as South Africa, Namibia, Angola, Zimbabwe, and He said that: “Poaching and trafficking Tanzania—sport hunting has long been of wildlife threatens the existence of embraced as a way to help finance many wild animal species. wildlife protection. (Hunting hasn’t saved

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Mozambique’s rhinos, however, which but 20% is to be redistributed to were declared locally extinct in 2013.) communities living alongside conservation areas. By contrast, in the face of losses of their elephants and other animals, Botswana The World Bank “is driven by a utilitarian and Kenya have banned big-game sport perspective on the consumptive use of hunting. wild species”, said Phyllis Lee, a zoologist with the Amboseli Trust for Opinions about sport hunting as a Elephants, in Kenya. conservation strategy are sharply divided. The idea of consumptive, or sustainable, use of wildlife, which is written into the “When properly regulated, and when Convention on Biodiversity, a revenues are distributed to communities multilateral treaty with the objective of in and around parks … hunting developing national strategies for the becomes an important tool for the conservation and the sustainable use of sustainable management of parks and biological diversity, is that it makes natural assets”, says Madji Seck, a sense for humans to benefit from spokesperson at the bank’s Washington animals in ways that don’t undermine headquarters. their habitats and populations.

Many opponents say that hunting However, as Lee said: “it now appears revenues are not substantial enough to to some conservation practitioners that give poor communities a meaningful sustainable use has been hijacked to boost, especially if corrupt government represent [sport]hunting”. officials line their own pockets with some of that money. She points to the recent admission of the Dallas Safari Club into the For Jeffrey Flocken, North American International Union for Conservation of Regional Director of the International Nature, the world body that focuses on Fund for Animal Welfare (IFAW), it’s valuing and conserving nature by also a moral issue. According to ensuring effective and equitable Flocken, given the gravity of the governance of its use, and the sport poaching crisis, authorities such as the hunting club’s controversial auction of a World Bank “need to catch on to what permit to kill an endangered black rhino the rest of the world already knows— in Namibia, as “the worst possible way that killing animals to save them is not of allowing a hunting voice to speak for conservation. It’s just wrong”. conservation.

Use It or Lose It: “It’s obviously not speaking for species preservation”, Lee said. “It’s killing for Under the World Bank’s Mozambique revenue”. initiative, 80 hunting permits per year at US$11,000 each will be issued for Ben Carter, executive director with the elephants and 55 to 60 for lions at Dallas Safari Club, said that the US$4,000 each. The bulk of the revenue US$350,000 paid by a Texan hunter, will go to the Mozambican government, who shot the black rhino in March, will

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go directly to a conservation trust fund in In the US, a Synovate eNation poll in Namibia. 2011 found that more than 70% of Americans would pay to view lions on “There’s a biological reason for this an African game-watching safari and hunt”, Carter said. “It’s based on a that not even 6% would pay to hunt fundamental premise of modern wildlife them. management: Populations matter; individuals don’t”. In Mozambique from 2012 to 2013, revenue from wildlife tourism tripled, to Will Travers, President of the Born Free US$3 million. Foundation and Born Free USA, an international wildlife charity working to The World Bank believes that sport stop animal suffering and protect hunting will supplement these earnings. threatened species in the wild, counters But Alejandro Nadal, an economics that “individuals matter”. professor at El Colegio de Mexico who also co-chairs the International Union for “Each one may have survival knowledge the Conservation of Nature’s Theme on to pass on or cultural intelligence, the Environment, Macroeconomics, important for social cohesion”, he said. Trade and Investment, doubts that “But individuals also matter because trophy hunting would bring any they have a right to life. They are not the significant additional benefit to rural pawns of one species—our own—bent communities. on playing God and dressing it up as modern wildlife management”. Nadal says that no thorough, credible studies have been done with regards to In an interview with CNN in May, how much revenue would be generated, Flocken said that: “from a biological let alone the amount that would find its perspective, trophy hunting not only flies way past corrupt officials and end up in in the face of a precautionary approach the hands of local communities. to wildlife management but in some cases has also been found to Poachers and smugglers in undermine it”. Mozambique, meanwhile, have had unimpeded access to weapons, “Hunters are not like natural predators”, protected areas, and passage across Flocken said. “They target the largest borders and out of the country via ports specimens, with the biggest tusks, and airports. manes, antlers, or horns”. On 1 June, police detained five Chinese The Revenue Question: citizens in the southern district of Moamba district (Maputo Province) in A recently published briefing paper by possession of two large calibre firearms the United Nations World Tourism of the type used to kill elephants and Organization (UNWTO) shows that 80% rhinos. Two weeks earlier, on 14 May, of total annual sales in the tourist sector authorities arrested two Chinese in come from “non-consumptive” tourism— Maputo with a cache of 65 rhino horns safaris, bird watching, trekking, marine and 340 elephant tusks—the largest encounters, and adventure travel. seizure in the country’s history.

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Days later, however, it was discovered recently adopted stronger restrictions on that 12 of the horns had vanished from trophy imports for a number of big the strong room in the capital, replaced mammals. by replicas made of cattle horns. 11 people, some believed to be Recently, two airlines, South African government workers, have since been Airways (SAA) and Air Emirates cargo arrested. divisions, announced embargoes on transporting elephant, rhino, and lion Shifting Attitudes: sport-hunting trophies.

In April (2014), the United States Fish They join Air France, KLM, Singapore and Wildlife Service (USFWS) Airways, and Qantas, which also have announced the temporary suspension of bans on tiger trophies. On 31 May, all imports of sport-hunted elephant Lufthansa Cargo declared the trophies from Zimbabwe and Tanzania, immediate suspension of shipments of citing concern that the two countries hunting trophies, and British Airways showed “a significant decline in the and Iberia Airlines cargo have just elephant population”. confirmed that they will not transport animal trophies of any kind. The statement concluded that sport hunting of elephants in Zimbabwe and On the question of sport hunting, Tanzania “is not sustainable and is not IFAW’s Flocken said that: “When a currently supporting conservation efforts species’ greatest value is as a dead that contribute towards the recovery of trophy, its days will inevitably be the species”. numbered, just as they are when the value of their parts—like ivory tusks or In March, USFWS made the ban on rhino horn—makes protection from elephant trophies from Zimbabwe poachers nearly impossible”. permanent. Source: Conservation Action Trust/National Australia has banned the import of Geographic trophy-hunted lions, while the EU has

NOTICE

In order to support the campaign to save the Rhino please support the FOCUS-AFRICA Foundation by liking the FOCUS-AFRICA Foundation Facebook Page at: Focus-Africa Foundation as well the FOCUS-AFRICA Foundation Website at www.focus-africa.org

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OTHER

5.6 earthquake causes panic in Ilha Governor claims limestone storage de Moçambique endangers health

An earthquake measuring 5.6 on the The Governor of Sofala Province, Richter scale rocked Ilha de Helena Taipo, has ordered that the site Moçambique on Wednesday (15 July) where limestone is stored in the town of causing panic among the population of Muanza, prior to its transport to cement Nampula - however, no injuries or factories, must be moved on damage to property was reported. environmental and health grounds.

According to Ismael Amade, co- This comes after Taipo received ordinator of Ilha de Moçambique complaints from the local residents at a Community Radio, the earthquake rally in Muanza regarding the manner in struck at 16:10hrs and “caused some which the limestone is currently being people to panic, who then fled to the stored. mainland side of the island, taking some of their possessions with them”. The residents argued that the health problems allegedly caused by limestone According to the American Geophysical dust are not new, and that locals have Institute, the quake took place in the long complained against the practice of Mozambique Channel at a depth of 15 the company Cimentos de Mocambique kilometres, approximately 76 kilometres (the Mozambican subsidiary of the away from the Island of Mozambique Portuguese cement giant Cimpor) with and 202 kilometres from the provincial respect to concentrating large quantities capital, Nampula. of limestone next to Mwanza station, awaiting transport by train to the cement Although announcements on Rádio factory in the nearby town of Dondo. Comunitária stated that the situation was safe, many residents nevertheless Taipo said that she did not really need delayed their return home for fear of a to hear the complaints, since she could tsunami. see the problem with her own eyes. “I have seen the houses covered with Now a UNESCO World Heritage site, white dust”, she told the rally. “Even Ilha de Moçambique was the capital of here at the rally, I’ve seen the dust, the country during the colonial era, and which shows that the situation is has an estimated population of 52,000 serious. We have to think seriously inhabitants, the majority of whom live on about the preservation of the the mainland side. environment”.

Source: Lusa “They must relocate the limestone storage facility to somewhere else, because currently it is a danger to public health”, she said.

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Participants at the rally also called for 25 cattle were infected, out of a the road from Dondo to Cheringoma susceptible population of 12,560 district, which passes through Muanza, animals in the village. The infection was to be paved. They also wanted the confirmed by various scientific tests electricity grid to be further expanded, from laboratories in the neighbouring and complained of the lack of a market countries of Botswana and South Africa. for the cassava they grow. In response to the outbreak, 6,500 cattle Taipo guaranteed that paving the road is have been vaccinated in Maputo one of the undertakings envisaged in Province and 8,650 cattle have been the government’s Five-Year Programme vaccinated in Gaza Province. for 2015-2019. She was also confident that buyers for the cassava would be Source: The Cattle Site News Desk found, and urged peasant farmers not to stop growing this crop. 4,000 cases of malaria recorded in Maputo since the beginning of this However, one of the more serious year problems concerns a shortage of fertile land. According to a statement made on Tuesday (14 July) by the National Taipo said that much of the fertile land Deputy Director of Public Health, Maria near Muanza lies within GNP, which is a Matsinhe, at the launch of the Alliance fully protected conservation area. Programme to Eliminate Malaria in Mozambique, poor sanitation and the Taipo declared that: “there must be impractical use of mosquito nets are the social justice so that all sides are main causes behind the increase in satisfied”, and promised that a solution malaria cases in many parts of the would be found. But any proposal to country. take land away from the National Park is unlikely to prove acceptable. According to Matsinhe, despite the fact that the health authorities have recently Source: Agencia de Informacao de increased spray campaigns and the Moçambique distribution of mosquito nets, as well as stepped up efforts to treat local ponds, Drought aids the spread of foot and malaria continues to be the leading mouth disease cause of death and hospitalisation in Mozambique. An outbreak of foot and mouth disease has been confirmed in the south of According to the Health Director in Mozambique. Maputo Province, Alcindo Cumba, since the beginning of the year, approximately The village cattle were grazing in an 4,000 cases of malaria have been area affected by drought, and were registered in the province. concentrated in a few water points. The drought is thought to be increasing the In the period of reference, Niassa movement of susceptible animals and Province registered 192,000 cases of interactions with wildlife species. malaria, and 93 deaths. This is down

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from 243,000 cases and 194 deaths drinks sealing”, he concluded. recorded in the province during the first six months of 2014. Mambo did not disclose the annual volume of drinks and tobacco imports. Cumba appealed to the locals to use the “Our plants mostly produce beer. Spirits mosquito nets properly and not for are mostly imported, therefore we have fishing and construction purposes. excluded domestically produced beer. We can estimate that the volume of Source: Jornal Notícias/Folha de Maputo tobacco and beverage imports are high. We will be able to assess the numbers Imported tobacco to be sealed as of better when we implement the sealing 2016 regime”.

Imported tobacco and alcoholic Source: Agencia de Informacao de beverages, with the exception of Moçambique domestic beer production, will be marked with seals from the first quarter Mozambican citizens seek extension of next year (2016), with the intention of of South African visas combating the illicit trade and transport of such items (tobacco and alcoholic Hundreds of Mozambican citizens are beverages are two of the most common petitioning for the extension of South items of smuggling and revenue African entry visas from the current 30 evasion). day period to 90 days, in line with guidelines for citizens of other countries The Director-General of Customs, in the region. The ambassador of Guilherme Mambo, stated on Monday Mozambique in South Africa, Fernando (13 July) that the process could be Fazenda, believes that the extension implemented from the first quarter of request “is legitimate and reasonable”. next year. Mozambique and South Africa signed At a meeting with beverage and tobacco an Abolition Agreement of Visiting Visas producers held on Friday (10 July) in the for normal passport holders in 2005, but Mozambican central city and port of left unchanged the condition stipulating Beira, Mambo said that the law on the that “each visitor can only stay a subject was approved and the maximum of 30 days in the country regulations had been harmonised with visited”. various stakeholders, and now had only to be submitted for approval. According Source: A Bola to Mambo, there was no room for informality in the tobacco and beverage Five dead as scaffolding collapses at sector. “Sealing will improve revenue Baixa building site collection and protect public health”, he said. At least five building workers died, and a further six were injured when a “We have worked out the type and scaffolding collapsed at a building site in quality of the seals to be used. Right downtown Maputo on Tuesday now we are 80% ready for tobacco and

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afternoon (14 July), at approximately slaves. There are even people on the 15:00hrs. site working in flip-flops”. The workers also complain of a lack of basic washing The building where the collapse and sanitation facilities. occurred is owned by the JAT group, and is intended to house the future Immediately after becoming aware of offices of the National Social Security the collapse, the government sent a Institute (INSS). It is 17 storeys high, team headed by Labour Minister Vitória and most of those who fell to the ground Diogo to the site to investigate the during the collapse were working at a cause of the accident. She ordered that height of over 30 metres. all work on the site be suspended until the investigations have concluded. When the spokesperson for the fire brigade, David Cumbane, spoke to “This is a very serious situation involving reporters in the early evening he could the loss of human lives”, said Diogo. “As confirm three deaths - but at the stage the government, we shall do all in our the firemen and other rescue workers power to find out what caused this were still removing the dead and injured accident. Work of this scale demands from the debris. great attention and great responsibility from the contractors”. Before the fire brigade arrived, it was the construction workers themselves According to a release from the Labour who began the rescue operations, trying Ministry, the contractor in question is the to save the lives of their colleagues Portuguese building company Britalar, trapped under the scaffolding. Reporters which became notorious for its shoddy noted that some of the building workers work whilst rehabilitating one of lacked basic protective clothing. They Maputo’s main thoroughfares, Avenida had no helmets, goggles or boots, which Julius Nyerere. Britalar headed the should be routinely supplied by any consortium hired to repair the road. contractor on a building site. The avenue was severely damaged in One worker, speaking to reporters on the floods of 2000 which opened a the condition of anonymity, said that the massive crater at the northern end of scaffolding collapsed because of a the avenue. Rehabilitating the avenue defect in assembling it. He claimed that was budgeted at US$12.5 million, it was not the first time that an accident provided by the World Bank and the of this sort had happened. Maputo Municipal Council.

“The same thing happened last year”, Britalar should have completed the road he said, “but that time we were lucky in February, 2014. However, the work because nobody died”. The worker ran months behind schedule. Worse complained to reporters about the lack still, cracks began to appear in the of safety equipment on the site. newly laid asphalt, and even to untrained eyes it was clear that Britalar’s “There’s no safety gear”, he protested. work had been shoddy. “We’re working under inhuman conditions. They treat us as if we were

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Samples of the materials used by such as the head of state, before the Britalar were collected and sent to three phenomenon reached critical laboratories, two in Mozambique and proportions. one in Portugal. All the laboratories agreed that the road had started to The measure will gradually be extended deteriorate because of the poor quality to other Maputo roads with heavy traffic of the materials used. flow. A source also said that, in the course of enforcing the regulations, The contract was eventually cancelled, goods and carts had been seized in and the Britalar-led consortium was recent days. ordered to repay the Municipal Council US$1 million. Source: Domingo

Source: Lusa/Radio France The Mozambican Football Federation International/Agencia de Informacao de Moçambique The Mozambican Football Federation (FMF) will elect a new chairman on 13 City Council removes informal August in Maputo. The looming vendors from Maputo’s ‘protocol elections are expected to be the most routes’ substantial to date, with four potential candidates competing for the post. The Maputo Municipal Council is currently in the process of removing The first of such candidates is the informal vendors operating along the former finance minister, Manuel Chang, ‘protocol routes’ utilised by official who has expressed his plans to develop motorcades. the entire federation by restoring all the football fields situated throughout the The affected routes include: Eduardo country. Chang’s candidacy could, Mondlane, Julius Nyerere, Kim Il Sung, however, be threatened by the Ematum Kenneth Kaunda, Joaquim Chissano scandal that currently looms over his and Acordos de Lusaka Avenues. head.

The measure, set in motion this week Chang will be competing against former (10 to 17 July), arises from the desire to football player and journalist, Alexandre enforce municipal regulations, which Rosa. In addition, the current president have been disregarded for some time of the Mozambican Football League, now, predominately by fruit, flower and Alberto Simango Junior, recently food vendors trading from ‘txova’ (hand- announced his candidacy. The fourth drawn carts). According to Joshua Lai, candidate is Teodoro Waty, a current spokesman of the Municipal Police, the member of the Frelimo bench in the carts hinder road traffic and a decision National Assembly. had to be taken to contain the problem along routes used by leading figures, Source: A Bo

END

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