Africa Monitor

Africa Monitor Intelligence

Mozambique: Vale Negociates Sale of Assets with Indians

The apprehension in Government about the impact of the sale of the assets of the Brazilian multinational Vale in the fall in exports / balance of payments is mitigated by the fact that the company has been benefiting from significant tax exemptions and reductions. Vale SA, a reference company in the mining sector, has always been protected by successive FRELIMO governments.
In the Integrated Logistics Corridor of Nacala (CLIN), the Mozambican state is estimated to receive about USD 10 million / year in taxes and fees. Along the corridor, several other business interests of the political and economic elite cohabit, namely in Portos do Norte, a limited company run by businessman FERNANDO COUTO, associated with two strong men from PR FILIPE NYUSI (FN) - ALBERTO CHIPANDE and RAIMUNDO PACHINUAPA. Other important FRELIMO figures include ABDUL MAGID OSMAN, former minister, JOSÉ MATEUS KATHUPA, MP and spokesman for the Permanent Commission of the Assembly of the Republic.
Despite maintaining the investment forecast for increasing production at the Moatize mine in the coming years, it is confirmed that demand for a buyer is already underway, with Chinese and Indian candidates, the two main world importers of coal, and initial negotiations are expected to be concluded in the first half of 2021. READ MORE