Mining industry overview
In the 42 years of its existence, the Chamber of Mines of Namibia has grown to a membership of 95 members (as at September 23, 2011) and represents the interests of all the major mining and exploration companies active in the country.
Industry Performance for 2009/2010
Figures produced by the Central Bureau of Statistics demonstrate that 2009 was an exceptionally difficult year for Namibia’s mining industry and its economy as a whole. Significantly, the sector as a whole contracted by an incredible 45% while its contribution to GDP dropped from 15.9% in 2008 to just 10.0% in 2009.
The latest official statistics show that Namibia’s mining sector generated N$7.7 billion (US$912 million) of value added during 2009, contributing 10.0 percent towards the country’s Gross Domestic Product (GDP) of N$77.8 billion (US$9.2 billion). Diamond mining delivered N$2.8 billion (US$333 million) while other mining and quarrying produced N$4.9 billion (US$584 million). The year 2009 was the second consecutive year that non-diamond mining generated more value added than diamond mining. If copper smelting and zinc refining were also included, value added from the mining sector would have been even greater.
Exports from the mining sector reached N$10.9 billion (US$1.3 billion) during 2009. Mineral-related exports accounted for 44 percent of Namibia’s total merchandise exports.
In 2009 the mining industry spent N$3.3 billion (US$395 million) on fixed investment contributing 17.2 percent to Namibia’s entire fixed investment of N$19.3 billion (US$2.3 billion). Despite the downturn, the mining sector again spent more on fixed investment than any other sector of the economy with the exception of Government, accounting for over one sixth of all fixed investment in the country. Exploration expenditure reached N$677 million (US$80 million), its highest level since Independence.
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