Mineral exporters urged to monitor global prices

Some of the metals that were negatively affected by the global financial crisis include Tin (Sn) which dropped from $16,000 in January this year to $11,500 per tonne as of last month. Local mineral exporters have warned and urged to put to hold the export of their minerals as the country monitors global prices. “Rwandan exporters need not to overlook the ongoing global financial crisis because some of the metals were negatively affected,” said the Chairman of Mining Task Force Michael Byabarema. In an exclusive interview on Monday Byabarema said exporters especially small producers should monitor the changes of prices on international market and where need arises they should hold the exportation until the markets stablise. “The good metal prices are likely to recover after the current currency shock,” he said. Byabarema warned that large exporters are likely to take advantage of the financial crisis to cheat small miniral explorers. Some of the metals that were negatively affected by the global financial crisis include Tin (Sn) which dropped from $16,000 in January this year to $11,500 per tonne as of last month. Last year Tin controlled a high price on the international markets, registering an increase from $7,000 in 2006 to $15,000 per tonne in 2007 because its was recognized as a green metal and could be used to replace other metals like lead in industrial processes. Information from the mining taskforce, in the last two years indicates that all metal prices shown significant increase and in some cases prices doubled. According to Byabarema, the increase was driven by industrialization in some countries like China, Brazil and India. The government eyes the mining sector and this has triggered evaluating with much emphasis on value addition in a move to fully exploit the sector. According to the chairman of the taskforce, sector is still challenged by the lack of professionals. Currently the mining sector has about 170 associations of which six are largely foreign and others are joint business where Rwandans are majority share holders. Early this year it was envisaged that mining could fetch Rwanda $108 by 2011, statistics also revealed that the industry attracted $60m in 2007. Ends

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Mineral exporters urged to monitor global prices