Zimpapers Business Hub
THE country’s sole gold buyer, Fidelity Gold Refinery (FGR), has established a Gold Trade Enforcement Unit (GTEU) to curb smuggling of the yellow metal and enhance transparency.
The GTEU is a dedicated arm established under recent amendments to the Gold Trade Act (Chapter 21:03).
FGR will oversee GTEU’s operations.
“In terms of the amendment, the managing director of the national gold refinery appoints the head of the unit. The GTEU comprises Fidelity staff and Zimbabwe Republic Police (ZRP) officers appointed by the Police Commissioner-General,” said FGR managing director Mr Peter Magaramombe.
The officers, now officially known as Gold Trade Enforcement Officers, are certified by the Minister of Finance, Economic Development and Investment Promotion.
They are each issued a certificate as proof of their authority.
Creation of the unit is envisaged to curb illicit gold trading, smuggling and leakages that have historically cost the country millions in potential revenue and foreign currency.
“The Gold Trade Enforcement Unit has been entrusted with a critical and multi-faceted mandate to safeguard Zimbabwe’s gold economy and ensure adherence to established regulations,” said Mr Magaramombe.
At the core of its operations, the GTEU will assist miners in preventing gold theft at mining sites and prevent unauthorised trading, ensuring gold is sold only to licensed dealers or authorised individuals.
Further, the unit will combat gold smuggling to protect strategic reserves and foreign currency earnings, reinforce transparency and support national efforts to formalise gold trading.
The unit is also empowered to conduct comprehensive checks at mining locations, including inspecting security systems, verifying prospecting activities, examining books and records, taking assay samples and accessing digital storage devices for information in machine-readable formats.
“This comprehensive and proactive approach aims to ensure effective compliance with the Gold Trade Act, fostering a more secure, transparent and regulated gold trading environment that benefits all legitimate stakeholders,” added Mr Magaramombe.
The national gold target for this year is 40 tonnes.
