We’ll have a single-buyer model for gold – Govt

The Zambian government has advanced its regulatory overhaul of the country's mineral sector by confirming the introduction of a single-buyer model for gold. Under the proposed framework, all gold produced and mined across the nation will be channeled through a single designated entity, effectively shifting the primary buying power to the Bank of Zambia. This policy shift aims to dismantle the informal networks and illicit trading channels that have historically deprived the treasury of substantial revenues from the precious metals sector. Ministry of Mines and Minerals Development Permanent Secretary Dr. Hapenga Kabeta outlined that the upcoming legal framework will fundamentally restructure downstream gold activities. Rather than operating under broad, ambiguous mining permits, commercial operators and artisanal miners will face strict requirements to secure separate licenses for mining, processing, trading, and exporting. Government officials argue that separating these functions will establish clear accountability across the entire value chain and ensure that every ounce of gold is properly accounted for before leaving local processing centers or crossing national borders. The initiative builds upon earlier efforts by Lusaka to formalize artisanal and small-scale mining (ASM) through cooperatives and the establishment of localized gold-buying centers. By integrating small-scale producers into a formal supply chain linked directly to the central bank, the state hopes to protect vulnerable miners from exploitation by illegal "briefcase buyers" while bolstering the country's foreign exchange reserves. Authorities have issued stern warnings that unauthorized trading or processing outside the new centralized framework will be treated as a criminal offense, carrying heavy penalties including arrest and prosecution. Industry observers and legal experts note that while the single-buyer model has strong potential to curb smuggling, its ultimate success depends heavi