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Mozambique Mining Report Q2 2014 - New Report Available

Recently published research from Business Monitor International, "Mozambique Mining Report Q2 2014", is now available at Fast Market Research

 

Boston, MA -- (ReleaseWire) -- 03/31/2014 -- Mozambique will be one of the major growth stories in the global mining sector, as a combination of investment into the country's sizeable coal reserves and a relatively strong business environment coalesce to provide rapid growth in output. We expect the value of the country's mining sector to grow from US$259mn in 2012 to US$796mn in 2018, and increase from 1.8% of GDP in 2012 to 2.7% in 2018.

Mozambique's nascent coal sector is set to take off in the next few years, boosting the country's mining industry. Almost all of the coal produced will be exported and thus Mozambique has the potential to become one of the largest global exporters, with India and China the main destinations. While the outlook for the sector is positive, there are major concerns surrounding the capacity of the country's infrastructure to cope with the projected increase in mineral production over the next few years.

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In Q114, Mozambique's government announced its intention to increase taxation on the mining sector and to ensure greater mineral wealth allocated locally. Although we expect the country to remain amenable to foreign investment and to maintain a broadly attractive business environment, this policy move in the mining sector will be a cause for concern among investors.

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