Date: 23 June 2011
The #1 Newsletter for top business, investment, and legal news in Mozambique
Issue 241 to Issue 243
MCLI takes pleasure in forwarding to you the very valuable Mozambique Legal and Business
information newsletter as received from Club of Mozambique “Mozambique’s Biggest Online Publisher”
If you would like assistance in identifying investment opportunities, business partners, or reputable
service providers, contact Club of Mozambique at adrian.frey@clubofmozambique.com.
MCLI greatly appreciates the partnership with our Members Club of Mozambique and FBLP and thank
them for making this very informative newsletter available to the Maputo Corridor Interested Readers.
Please do not hesitate to forward your comments with regards to the MCLI initiative to
brenda.horne@mcli.co.za
For any questions kindly contact Club of Mozambique directly as per below:
Club of Mozambique
Av. Julius Nyerere, 657 - 1st Floor (Mundos Restaurant)
Maputo – Mozambique
Telefax. +258 21 497 251
Email: theinvestor@clubofmozambique.com
Website: www.clubofmozambique.com
Thank you for working with MCLI towards the Maputo Corridor becoming the first choice for the
region’s importers and exporters.
Brenda Horne
CEO
www.clubofmozambique.com
THE MOZAMBICAN INVESTOR
Produced by Adrian Frey
The #1 Newsletter for top business, investment, and legal news in Mozambique
21 June 2011
243rd Issue
Sponsored by
***Become a fan of Club of Mozambique on Facebook here!***
Win with The Mozambican Traveler!
This month, you stand the chance to win a two night stay for two at the exclusive Maqueda Lodge
located in Marloth Park, South Africa, inclusive of dinner, bed and breakfast!
Maqueda Lodge is a 4 star Luxury Boutique Lodge that offers the highest standard of service in a
tranquil exclusive private venue. Nestled in the heart of the Wild Frontier, bordering the Kruger
National Park, this family run lodge accommodates just twelve guests in a plush and beautifully
decorated interior.
Visit www.maquedalodge.com to find out more!
Entries close on 22 June 2011! Find out how you can enter by downloading The Mozambican Traveler
June edition here.
GOVERNMENT
Government back peddles on decision to introduce basic food basket
The government is back peddling on its decision to introduce a subsidised basic food basket aimed at
the urban poor, Aim News has reported. In April this year, it was announced that the food basket
would be introduced in June to alleviate ‘food poverty’ among the urban poor, and would replace
current universal subsidies on wheat and third grade rice. However, it seems that the government’s
idea for a basic food basket will be shelved for the time being. Speaking in Nampula last week
Wednesday, Prime Minister Aires Ali refuted claims that the government had ‘promised’ the
introduction of a basic food basket, and denied that its introduction was necessary in the current
economic climate. Read more
Justice Minister backs decision to suspend student who wore burqa to school
Justice Minister Benvinda Levi has backed the decision taken by the Education Minister to suspend a
Muslim secondary school student who wore a burqa to class, Aim News has reported. Education
Minister Zeferino Martins ordered the suspension of Fatima Khalifa on the grounds that her actions
violated the principle of strict secularity to which state schools are obliged to adhere. “It cannot be
accepted that each student invokes the name of their religion in the loudest tones in the schools,” Levi
said in a statement to the press. Khalifa’s family has said they may challenge Martins’ decision in
court. Read more
Maputo Civil Prison to be relocated
The Maputo Civil Prison, a prison for detainees awaiting trial, will be moved from its current location
on Kim il Sung Avenue to a new location, Aim News has reported. National Prisons Service (SNAPRI),
Eduardo Mussanhane, has stated that, like the Maputo Central Prison and Top Security Prison, which
are both located in Machava, the Maputo Civil Prison will likely be relocated to a site outside of the
city. Read more
Read more of the latest Government stories making headlines here
BUSINESS
Vodacom slashes call rates
Vodacom Mozambique has slashed its call charges by 41 percent, Aim News has reported,
undercutting competitor MCel. A Vodacom mobile phone call now costs just MT 5.00 per minute,
down from MT 8.40. Vodacom has also done away with the higher tariff for mobile to fixed line calls.
MCel charges MT 7.04 per minute for calls between mobile phones and MT 8.09 per minute for calls
from mobile to fixed phone lines. Read more
New quota set for EU fishing vessels operating in Mozambican waters
Mozambique and the European Union have agreed on a new quota for European Union fishing vessels
operating in Mozambican waters, Afrique en ligne has reported. From 2012 until 2014, EU vessels may
only extract 8,000 tons of fish from Mozambique’s waters each year, down from the current
allowance of 10,000 tons. However, the compensation paid to Mozambique will increase from Euro
250,000.00 to Euro 460,000.00 per annum. Read more
Nestle to build factory in Dondo, Sofala
Nestle has announced that the company will construct a factory in Dondo, Sofala Province at an
estimated investment of US$ 30 million, Aim News has reported. The government has approved the
project and a site for the factory has been located. The products produced at the factory will be
consumed within Mozambique and exported to the SADC market. The factory will create employment
and support local producers. Read more
Maputo-Sul enters into agreement with UEM
Maputo-Sul, the developer of the planned Maputo-Catembe bridge, and the Eduardo Mondlane
University (UEM), have formally agreed to work together in order to foster one another’s
development, Aim News has reported. Under the terms of the agreement, UEM students will be given
the opportunity to become involved in the Maputo-Catembe bridge development, adding a further
practical component to their syllabi. Read more
Public transport federation remains opposed to compulsory vehicle inspections
The Mozambican Federation of Road Transport Operators (FEMATRO) remains opposed to
compulsory annual vehicle inspections, Aim News has reported. In an interview with STV, FEMATRO
Deputy Chairperson Luis Munguambe said that the overly stringent conditions for passing inspection
would “destabilise” public transport in the country. The new deadline by which motorists must have
their vehicles inspected is 1 July 2011. Read more
Read more of the latest Business stories making headlines here.
FINANCE
Bank of Mozambique to issue more durable notes
The Bank of Mozambique has said it will issue 20, 50 and 100 Metical notes made of polymer later this
year, Aim News has reported. Polymer is more durable than paper and will almost double the lifespan
of the bank notes. New 200, 500 and 1,000 Metical notes with improved security features will also
soon enter into circulation alongside the old notes in the same denominations. Read more
UBA targeted in fatal bank robbery
A branch of the newly-opened United Bank for Africa was targeted in a bank robbery last week in
which two people died, Aim News has reported. Last week Wednesday two assailants entered the
bank and shot dead a security guard and a UBA client who was making a large deposit. The two
gunmen then escaped with the client’s deposit. The client was an employee of nearby retailer Sound
City. Read more
EXCHANGE RATES
Brought to you by the Bank of Mozambique
This week (21 June 2011)
Currency
USD
ZAR
EUR
Buy
28,99
4,27
41,41
Sell
29,19
4,30
41,70
Last week (14 June 2011)
Currency
USD
ZAR
EUR
Buy
29,02
4,27
41,71
Sell
29,22
4,30
42,00
DONORS
Italy to fund new dam in Manica
As part of Italy’s Euro 60 million aid package to Mozambique aimed at improving sanitation in the
country, Italy will fund the construction of a hydroelectric dam on the Pungue River at Nhancangale in
Manica Province, Aim News has reported. As well as generating power, the dam water will be used to
irrigate 3,500 hectares of land in Inhazonia and Mafambisse, and to supply Dondo and Beira with
water during dry spells. Read more
Read more of the latest Donor stories making headlines here.
MINING AND ENERGY
EDM loses US$ 1.73 million to theft, vandalism and illegal connections in 2010
EDM has admitted to having suffered approximately US$ 1.73 million in losses in 2010 from theft,
vandalism and illegal connections, Aim News has reported. EDM made the announcement at a
meeting of the Inter-Sector Commission on Preventing the Vandalisation of Public Infrastructures held
recently in Quelimane City. CDM, TDM, ADM and FIPAG were also present at the meeting. All too
suffer losses arising from theft and vandalism. Read more
Government to solicit bids for oil and gas exploration in Maniamba Basin
The government of Mozambique will soon solicit bids for oil and gas exploration in the Maniamba
Basin in Niassa Province, the Noticias has reported. The coal outcrops present in the Maniamba Basin
indicate the potential for oil and gas in the region. Read more
Tata Steel agrees to sell stake in Riversdale Mining to majority shareholder Rio Tinto
India’s Tata Steel has agreed to sell its 26.3 percent stake in Riversdale Mining to majority shareholder
Rio Tinto, The Wall Street Journal has reported. Tata Steel has set its price at AU$ 1.06 billion,
reportedly a 100 percent appreciation in the value of the investment Tata Steel initially made in
Riversdale Mining four years ago. With the acquisition of Tata Steel’s stake in Riversdale Mining, Rio
Tinto will hold an over 99 percent stake in Riversdale Mining. Rio Tinto plans to delist the Riversdale
shares. Tata will meantime retain its 35 percent stake in the Riversdale unit that controls the Benga
coal mine. Read more
Read more of the latest Mining and Energy stories making headlines here.
TOURISM
Maputo Special Reserve expanded by 24,000 Ha
The Maputo Special Reserve has been expanded by 24,000 Ha, Aim News has reported. The new
borders incorporate the Futi River into the reserve, and allow for a ‘buffer zone’ earmarked for
ecotourism and other economic activities from which the local communities will benefit. Read more
The Investor’s Feature Destination of the Week
Massinga Beach Lodge, Inhambane Province
Massinga Beach offers guests the opportunity to experience the splendour of Mozambique in a truly
luxurious setting. We pride ourselves on ensuring that each guest feels that they are the only ones on
our stretch of paradise, so whether you are looking for a secluded escape, romantic honeymoon or an
exquisite underwater diving experience, you can rest assured that our highly-trained staff will take
care of you. Massinga Beach is located 80kms north of the historic city of Inhambane. Spectacular
ocean views, five-star local cuisine and luxurious accommodation will make the rest of the world fade
away. The lodge, which opened in November 2010, has 30 luxuriously designed en-suite rooms, each
with a 180 degree view, own splash pool, deck with sun loungers, mini bar, air conditioning and fan.
Romantics can stay in one of the 15 ocean front rooms. The restaurant serves fresh seafood and
traditional Mozambican cuisine.
To read more click here.
Read more of the latest Tourism stories making headlines here.
OVER THE BORDER
General Motors announces 40 percent jump in vehicle sales
General Motors has announced an almost 40 percent increase in the volume of vehicle sales in the
sub-Saharan region in 2011, East African Business Week has reported. Mozambique reportedly
showed the highest percentage of growth. GM believes that the sales growth is being driven by the
outstanding performance of several key passenger cars, including the Chevrolet Aveo, Spark and
Cruze, and the good performance of several light commercial vehicles, including the Chevrolet Corsa
Utility and Isuzu KB pick-up range. Read more
Walmart completes takeover of South Africa’s Massmart
Walmart announced on Monday that it had completed its acquisition of a controlling stake in South
Africa’s Massmart, Fin24 has reported. Massmart incorporates such household retail brands as Game,
Builder’s Warehouse, Makro and Dion Wired. Walmart purchased a 51 percent stake in Massmart at a
cost of R 16.5 billion. The takeover has been strongly opposed by South Africa’s labour unions, on the
grounds it would hurt local industry and result in job losses. In spite of strong opposition, the takeover
was approved by the South African Competition Tribunal, allowing the deal to go ahead. Read more
Read more of the latest International stories making headlines here.
‘THE MARKETPLACE’
EDUCATION AND TRAININGend_of_the_skype_highlighting
Mozambique Labour Law – Know your rights, and the rights of your employees.
Purchase a copy of the Mozambique Labour Law in English and Portuguese for only MT 360.00. Please
contact Marcia at marcia.maciel@clubofmozambique.com.
PROPERTY
Fantastic property offers from Pam Golding Mozambique
1.
2.
3.
4.
5.
6.
7.
8.
9.
For Rent– Sommerchield 2- $7000 – House – 7 bedrooms – garden and swimming pool
For Rent – Matola –$2500 – House –3 bedrooms – furnished-garden
For Sale- Maritimo- $900000neg- House–5 bedrooms- garden-swimming pool
For Sale- Triunfo-$ 600000neg-House-5 bedrooms-garden-entertainment area
Commercial
For Sale – Julius Nyerere – $ 3.834, 987– 986m2 up market office space-30 parking spots. Brand
new
For Sale – Maputo – $3200/m2 – Retail space in new A-grade development
For Sale–Beira-39ha ideally for factory -3500 covered area which includes offices, factory and
warehouse-35 000 000 Meticais.
For Sale – Matola – 1800m2 warehouses space with offices, toilets and an apartment. $ 1.4
million.
For Rent-Machava-3 X 450m2 warehouses with offices-good access-$ 2000
Kindly contact Gratia Bremner on +258 82 369 8745 or email gratia.bremner@pamgolding.com
EVENTS
Hotel Cardoso is the ideal venue for your next conference
To arrange your conference with Hotel Cardoso, contact Lucas or Sérgio on (+258) 21 49 1071.
LATER
2nd Mozambique Coal Conference, 5 to 6 July in Maputo, Mozambique
For more information please click here.
2ND Annual Corporate Governance Preventing Fraud and Corruption Summit, 18 to 20 July in
Maputo, Mozambique
For more information please click here.
New Next Generation Oil and Gas Summit 13 to 15 September in Nairobi, Kenya
For more information please click here.
www.clubofmozambique.com
THE MOZAMBICAN INVESTOR
Produced by Adrian Frey
The #1 Newsletter for top business, investment, and legal news in Mozambique
14 June 2011
242nd Issue
Sponsored by
***Become a fan of Club of Mozambique on Facebook here!***
Win with The Mozambican Traveler!
This month, you stand the chance to win a two night stay for two at the exclusive Maqueda Lodge
located in Marloth Park, South Africa, inclusive of dinner, bed and breakfast!
Maqueda Lodge is a 4 star Luxury Boutique Lodge that offers the highest standard of service in a
tranquil exclusive private venue. Nestled in the heart of the Wild Frontier, bordering the Kruger
National Park, this family run lodge accommodates just twelve guests in a plush and beautifully
decorated interior.
Visit www.maquedalodge.com to find out more!
Entries close on 22 June 2011! Find out how you can enter by downloading The Mozambican Traveler
June edition here.
GOVERNMENT
Mozambique ratifies African Charter on Democracy, Elections and Governance
Mozambique has ratified the African Charter on Democracy, Elections and Governance, Aim News has
reported. The charter, officially adopted by the African Union in 2007, is intended to engender and
protect democracy in Africa through taking punitive measures against leaders and political parties that
behave despotically. Fifteen African Union member states need to ratify the charter before it enters
into effect. Mozambique is the eighth AU to ratify the charter thus far. Read more
Government will import bulls to boost national cattle population
The Department of Agriculture plans to import bulls under the Strategic Plan for Agricultural
Development in order to boost the national cattle population, Aim News has reported. Mozambique
currently has a population of 1.5 million heads of cattle; the government wants to see this number
increased to two million. Cattle breeding in Mozambique is hampered by the low quality of the
country’s existing breeding stock. Read more
Government to regularly inspect higher education institutes
Institutes of higher education in Mozambique can now expect to receive regular visits from the
government, Aim News has reported. This comes after the government approved a decree early last
week under which public and private institutions of higher education will now be subject to inspection
by the national educational authorities. The primary purpose of the inspections is to ensure that
existing institutions provide quality education to students. Read more
Lake Niassa declared national reserve and Ramsar Site
The government has declared Lake Niassa, Mozambique’s share of the third largest fresh water lake in
Africa, a national reserve and Ramsar Site. Ramsar Sites are wetlands of international importance, as
defined by the Ramsar Convention of 1971. Mozambique ratified the convention in 2004. Lake Niassa
is one of the most bio-diverse freshwater eco-systems in the world, with 90 percent of fish species
endemic to the lake, and scores of other animal species supported by the unique habitat. Lake
Niassa’s eco-system has faced extensive threats to its sustainability from the over-exploitation of the
lake’s recourses. Read more
Read more of the latest Government stories making headlines here
BUSINESS
Portuguese packaging manufacturer to set-up factory in Matola
The Portuguese packaging manufacturer Plasteuropa is setting-up a factory in Matola, Aim News has
reported. The factory is Plasteuropa’s first outside of Portugal. Plasteuropa will maintain clients in
Mozambique that the company originally supplied from its operations in Portugal. The Matola factory
will produce plastic bags and flexible plastic packaging for vegetables, rice and other foodstuffs. The
factory represents an investment of US$ 1.2 million for Plasteuropa. It is expected that the factory will
begin operating in August. Read more
LAM banned from EU despite IOSA certification
LAM has been banned from operating in EU airspace, Aim News has reported, despite receiving fresh
IOSA certification. IATA, the International Air Transport Association, administers IOSA, which is the
internationally accepted and recognised audit system for civil aviation. The ban, which extends to all
Mozambican airlines, was not enacted at the level of individual airlines, but instead at the level of the
national regulatory authority, the Mozambican Civil Aviation Institute (IACM). The European
Commission has concluded that the IACM displays “significant safety deficiencies”. Read more
SADC, Comesa and ESC move closer to shared free trade zone
The SADC, Comesa (Common Market of Eastern and Southern Africa) and the EAC (East African
Community) have committed to a three-year-long round of negotiations with a view to establishing a
free trade zone between the member states of the three regional blocs, Aim News has reported.
Combined, these states would represent a market of 26 countries with a combined GDP of a trillion US
dollars, and 600 million consumers. Read more
Minister criticises quality of national products
Minister of Science and Technology, Venancio Massingue, has criticised the quality of nationallymanufactured products, which often do not meet international standards, Aim News has reported.
This closes important markets to national manufacturers, he says. Massingue urges manufacturers to
follow the recommendations of the National Norms and Quality Institute (INNOQ) in order to produce
goods that meet with international criteria. Read more
8.4 percent increase in GDP during Q1 2011
The National Statistics Institute (INE) has posted a growth of 8.4 percent in Mozambique’s GDP during
the first quarter of 2011 compared to the same period in 2010, Macauhub has reported. Growth in the
tertiary sector of 10.7 percent made a significant contribution to the overall rise in GDP, specifically
the sub-sectors of restaurants (18.1 percent) and transport and communications (17.5 percent). Read
more
National Roads Administration cancels contracts with poorly performing contractors
The National Roads Administration has canceled contracts held with a number of contractors who
have failed to meet performance targets, the Noticias has reported. Twelve contractors employed in
road repair and maintenance work have had their contracts terminated, including Dalton Construções,
Concreto, Tumbine Empreendimentos, Conse, Construções Rosyli and Padil Construções. Read more
Maputo Port receives positive performance review
A recent conference hosted by the Maputo Port Development Company, concession-holder of the
Maputo Port, presented a positive performance review to delegates, the MCLI has reported. In the last
eight years since the concession was granted, US$ 225 million has been invested in the Maputo and
Matola ports. The investment in equipment and infrastructure has translated into a considerable
increase in the volume of cargo handled: from 5 million tons in 2003 to 12.6 million tons in 2011. Read
more
FINANCE
Mozambique Post Office to offer financial services
The Mozambique Post Office has announced that it will offer a banking service to clients in rural and
low-income urban areas, Aim News has reported. According to the report, just 40 percent of
Mozambicans enjoy access to banking services, a figure that the Mozambican Post Office wants to see
increased through their provision of banking services. Read more
New services will increase population’s access to banking
The Bank of Mozambique and the country’s commercial banks have joined forces to offer commercial
bank clients a set of shared services intended to improve access to banking in Mozambique, Aim News
has reported. One service will be the shared operation of ATMs, where by clients drawing from an
ATM operated by a bank other than the one where their account is held will not be charged an
additional fee. The joint services will be provided through the Sociedade Interbancaria de
Mocambique (SIMO), officially formed early last week. Read more
Read more of the latest Business stories making headlines here.
EXCHANGE RATES
Brought to you by the Bank of Mozambique
This week (14 June 2011)
Currency
USD
ZAR
Buy
29,02
4,27
Sell
29,22
4,30
Last week (7 June 2011)
Currency
USD
ZAR
Buy
29,46
4,37
Sell
29,66
4,40
EUR
41,71
42,00
EUR
42,60
42,89
DONORS
AT Common Fund donors to disburse US$ 5.8 million in 2011
The AT Common Fund, a fund that supports the programme of reforms to the Mozambican Tax
Authority (AT), will receive a contribution of US$ 5.8 million from the fund’s donors, Aim News has
reported. The donor countries are Germany, Belgium, Norway, Britain and Switzerland. The AT reform
programme is geared towards increasing tax revenues in Mozambique. The donors are reportedly
satisfied with the progress made by the AT thus far, and a new agreement is expected to be drawn up
for the 2012-2014 period. Read more
Contract signed for MCA-financed rehabilitation of Nacala Dam
The Millennium Challenge Account, a United States aid programme active in Mozambique, has
contracted WBHO Construction to rehabilitate the Nacala Dam, Aim News has reported. Built in 1968
and maintained poorly in the decades that followed, the dam loses 15 to 20 percent of its water to
seepage, and meets just 47 percent of Nacala City’s water requirement. Following the completion of
the US$ 28 million rehabilitation project, the MCA believes that the dam will be able to meet 90
percent of Nacala City’s water requirement and will also attract investors to the province, particularly
to the Nacala Special Economic Zone. Read more
Read more of the latest Donor stories making headlines here.
MINING AND ENERGY
Anadarko proposes Liquefied Natural Gas (LNG) facility for Mozambique
Anadarko, one of the operators exploring for gas and oil in the Rovuma Basin, is preparing to present a
proposal to the government for the establishment of a Liquefied Natural Gas (LNG) facility in
Mozambique, Aim News has reported. Anadarko, which has discovered large deposits of gas offshore,
believes that there is enough gas present to justify an LNG facility. Only an LNG facility would make
the exploitation of deepwater gas deposits economically viable. Read more
New power transmission line will be built between Cahora Bassa and Maputo
A power transmission and distribution line linking the Cahora Bassa Dam with Maputo is expected to
be commissioned by 2014, Reuters has reported. Currently the energy produced by the Cahora Bassa
hydroelectric facility is transmitted first into South Africa, and then on to Mozambique. According to
Energy Minister Salvador Namburete, the project, which will cost approximately US$ 2 billion, is vital
to developing Mozambique’s energy potential. Read more
Essar Group may build iron ore terminal at Beira Port
The diverse Essar Group, which holds interests in steel, may build an iron ore terminal at Beira Port
with the capacity to process 20 million mtpa, Bloomberg.com has reported. The terminal would be
used to ship surplus iron ore output from the company’s Mwanezi and Ripple Creek mines in
neighboring Zimbabwe. Read more
African Queen Mines commences 2011 drilling programme at King Solomon
African Queen Mines began drilling on the first hole of 2011 at the company’s King Solomon Project at
the end of May, proactiveinvestors.co.uk has reported, opening their 2011 drilling programme. The
2010 drilling programme yielded positive results, identifying mineralization consisting of gold-coppersilver, with associated zinc, lead and iron. African Queen Mines looks forward to building upon these
encouraging results in 2011. The King Solomon Project is located in Tete Province. Read more
Read more of the latest Mining and Energy stories making headlines here.
TOURISM
Maputo receives 300,000 visitors annually
A study by Dutch NGO SNV has found that Maputo receives approximately 300,000 visitors annually,
Aim News has reported. The sums spent by tourists while in the city reportedly generates revenues of
US$ 95 million per annum, and supports 4,116 jobs. These figures were released by the newly-formed
Maputo Tourism Monitor, a body designed to monitor, analyse and disseminate information on
tourism to the capital, with a view to boosting the city’s tourism industry. Read more
The Investor’s Feature Destination of the Week
Zongoene Lodge, Gaza Province
Zongoene Lodge is situated at the mouth of the Limpopo River approximately 225 km north of
Maputo. It is surrounded by pristine coastal forests, dunes and beaches which stretch for miles on
either side of the mouth of the river. The local fauna and flora was carefully considered when
planning and laying out the Lodge, with as many of the trees and palms retained as was possible.
More than 1,000 palms and other indigenous plants were planted, creating a wonderful and lush
garden. The Former President of Mozambique, His Excellency Joaquim Chissano, officially opened the
Lodge in October 1997.
Accommodation at Zongoene Lodge comprises of 10 pool chalets, 6 family units and three larger
houses for group bookings. Facilities include a restaurant as well as a number of activities such as
fishing, whale watching and quad bike trails.
To read more click here.
Read more of the latest Tourism stories making headlines here.
OVER THE BORDER
SADC rejects Mugabe’s proposal for 2011 elections
The SADC has rejected President Robert Mugabe’s proposal that fresh elections be held in Zimbabwe
later this year, Aim News has reported. The SADC concluded that Zimbabwe is not ready for elections,
a view that is shared by Prime Minister Morgan Tsvangirai. Read more
US Secretary of State to visit Africa
US Secretary of State Hilary Clinton will visit several African countries later this week with a view to
expanding trade between Africa and the US, VOA News has reported. Clinton’s engagement with the
countries she will visit will centre on the US African Growth and Opportunity Act (AGOA), an act which
grants preferential trade treatment, such as duty free entry, to select African products. J. Peter Pham,
an authority on Africa with the Atlantic Council, wishes to see AGOA “re-tooled” to encourage more
U.S. investment in Africa and more imported African manufactured goods, beyond the prevalent
energy sector. Read more
Read more of the latest International stories making headlines here.
‘THE MARKETPLACE’
EDUCATION AND TRAININGend_of_the_skype_highlighting
Mozambique Labour Law – Know your rights, and the rights of your employees.
Purchase a copy of the Mozambique Labour Law in English and Portuguese for only MT 360.00. Please
contact Marcia at marcia.maciel@clubofmozambique.com.
PROPERTY
Fantastic property offers from Pam Golding Mozambique
10. For Rent– Sommerchield 2- $7000 – House – 7 bedrooms – garden and swimming pool
11. For Rent – Matola –$2500 – House –3 bedrooms – furnished-garden
12. For Sale- Maritimo- $900000neg- House–5 bedrooms- garden-swimming pool
13. For Sale- Triunfo-$ 600000neg-House-5 bedrooms-garden-entertainment area
Commercial
14. For Sale – Matola – $1.4 mil negotiable – Warehouse & Office Development – brand new
15. For Sale – Maputo – $3200/m2 – Retail space in new A-grade development
16. For Rent –Machava/Warehouse- $5/m2 – 450 m2 each (x 3) – with office and 2 x WC
17. For Rent – Matola – $5/m2- 990m2 Warehouse - centrally located with great visibility!
18. For Rent-24 de Julho- $1650 - 110m2 office space in a central location.
19. For Rent – Baixa - $3000 (incl. tax) - 300m2 warehouse and office space.
Kindly contact Gratia Bremner on +258 82 369 8745 or email gratia.bremner@pamgolding.com
EVENTS
Hotel Cardoso is the ideal venue for your next conference
To arrange your conference with Hotel Cardoso, contact Lucas or Sérgio on (+258) 21 49 1071.
ZIMTEC 2011 International Mining & Energy Conference, 15 to 17 June in Lusaka, Zambia
For more information please click here.
Road Freight Association (RFA) Convention, 19 June in Gaborone, Botswana
For more information please click here.
2nd Mozambique Coal Conference, 5 to 6 July in Maputo, Mozambique
For more information please click here.
2ND Annual Corporate Governance Preventing Fraud and Corruption Summit, 18 to 20 July in
Maputo, Mozambique
For more information please click here.
www.clubofmozambique.com
THE MOZAMBICAN INVESTOR
Produced by Adrian Frey
The #1 Newsletter for top business, investment, and legal news in Mozambique
7 June 2011
241st Issue
Sponsored by
***Become a fan of Club of Mozambique on Facebook here!***
Win with The Mozambican Traveler!
This month, you stand the chance to win a two night stay for two at the exclusive Maqueda Lodge
located in Marloth Park, South Africa, inclusive of dinner, bed and breakfast!
Maqueda Lodge is a 4 star Luxury Boutique Lodge that offers the highest standard of service in a
tranquil exclusive private venue. Nestled in the heart of the Wild Frontier, bordering the Kruger
National Park, this family run lodge accommodates just twelve guests in a plush and beautifully
decorated interior.
Visit www.maquedalodge.com to find out more!
Entries close on 22 June 2011! Find out how you can enter by downloading The Mozambican Traveler
June edition here.
GOVERNMENT
Eight new boreholes will supply outlying Matola neighbourhoods with clean water
Eight new borehole-based water supply systems that will supply five outlying Matola neighbourhoods
with clean drinking water were inaugurated last week, Aim News has reported. The new water supply
systems cost approximately US$ 2.8 million to construct. The new systems are part of a much bigger
project that will see the water supply networks in Maputo, Matola and Boane improved on and
expanded. The project is being financed by the European Investment Bank, the European Union, and
the governments of France, Holland and Mozambique. Read more
Government aims to cut prison costs by 30 percent
The government aims to cut prison costs by 30 percent through two new initiatives, Aim News has
reported. The first is an initiative that will see each prison produce a portion of its own food
requirement. The second is a new bill, currently still in the draft phase, that aims to reduce the prison
population dramatically through offering alternatives to incarceration for offences carrying a jail term
of two years or less. Read more
All vehicles must be inspected for road worthiness by 1 July
The National Traffic Institute (INAV) has announced that by 1 July, all nationally-registered vehicles
must have been inspected for road worthiness at one of the country’s Control Gold-operated
inspection centres, Aim News has reported. Any vehicle found circulating without the certificate
attesting to the vehicle’s road worthiness stands the risk of seizure. Compulsory vehicle inspections
were introduced in February 2010 and vehicle owners were given until 21 July to have their vehicles
inspected. However, a public outcry led to the scrapping of the deadline. Read more
Read more of the latest Government stories making headlines here
BUSINESS
Tender for rehabilitation of Maputo coastline may be launched in July 2012
The tender for the rehabilitation of 13km of the capital’s coastline to combat coastal erosion may be
launched by July next year, Macauhub has reported. This is according to Maputo mayor David
Simango who was speaking to state daily ‘Noticias’. US$ 22.5 million has been allocated to the project,
although Simango admits that the actual cost of the project is not yet known. The funds will be drawn
from the Saudi Development Bank, the Arab Bank for Economic Development in Africa and the state
coffers. Read more
Geological surveys for Maputo-Catembe bridge begin
Construction company Mota-Engil has started geological surveys for the planned bridge between
Maputo and Catembe, Macauhub has reported. According to Maputo mayor David Simango,
construction on the bridge will begin next year. The 3km bridge and the planned road from Catembe
to the popular tourist resort town of Ponta do Ouro will together cost around US$ 500 million. This
amount will be funded by Banco Nacional de Investimentos, a bank in which the Mozambican and
Portuguese governments each hold an equal interest, and Mozambique bank BCI holds a 1 percent
interest. Read more
Mauritian firm plans to farm in Mozambique
Mauritian firm British American Investment (BA) is currently in negotiations with the Mozambican
government for access to 6,000 Ha of land which BA plans to farm, Reuters has reported. BA plans to
grow food crops and crops that will be processed in to biofuel. Two pieces of land have reportedly
been ‘earmarked’ for BA, but no binding agreements have yet been made. Read more
Read more of the latest Business stories making headlines here.
EXCHANGE RATES
Brought to you by the Bank of Mozambique
This week (7 June 2011)
Currency
USD
ZAR
Buy
29,46
4,37
Sell
29,66
4,40
Last week (31 May 2011)
Currency
USD
ZAR
Buy
29,68
4,29
Sell
29,88
4,32
EUR
42,60
42,89
EUR
42,38
42,66
DONORS
Switzerland will fund project to stop erosion along Beira coast
A memorandum of understanding signed recently by the Swiss and Mozambican governments has
committed Switzerland to funding a rehabilitation project to stop erosion along Beira’s coastline,
Macauhub has reported. Switzerland has agreed to contribute US$ 3.25 million towards the project’s
costs. The project, which will cover 2km of coastline stretching from Nova Praia to Estoril, is expected
to begin soon and to take 12 months to complete. Read more
Norway to support national anti-piracy efforts
Norway has offered to support Mozambique and other east African nations in combating piracy, Aim
News has reported. Approximately US$ 5.6 million has been allocated by the Norwegian government
to a programme of sea and air patrols to be carried out on the Indian Ocean. The patrols will operate
from a base to be established in a yet to be named east African country. Norwegian Foreign Ministry
representative Erik Lahnstein has said that this country will probably be Mozambique, according to
independent newssheet ‘Mediafax’. Read more
Read more of the latest Donor stories making headlines here.
MINING AND ENERGY
Indian state firm interested in controlling share in Revuboé coal project
Indian state firm International Coal Ventures Pvt. Ltd (ICVL) is reportedly evaluating an opportunity to
purchase a controlling share in the Revuboé coal project, livemint.com has reported. The project,
located in the Moatize Coal Basin in Tete Province, could potentially yield 17 Mtpa. ICVL is considering
purchasing the 59 percent share in the project currently held by Australia’s Talbot group for the price
of US$ 1 billion. Read more
Noventa shares plunge in face of funding uncertainty
Shares in Noventa, the company operating the Marropino tantalum mine in Mozambique, plunged on
Thursday last week after Noventa admitted to not having adequate funds available to finance the
company’s current expansion plan, Reuters has reported. Noventa needs to secure US$ 25 million by
the end of July in order to carry out its expansion plan, involving a new plant and increasing
production to 272 tons by the end of 2011. Following Noventa’s statement, shares in the company
plunged from 171 pence per share to 66 pence. Read more
Deadline for conclusion of Sena line pushed back to September
The estimated date at which rehabilitation works to the Sena railway line will finally be concluded has
been pushed back from July to September this year, Macauhub has reported. This is according to a
statement made by Mozambican Transport and Communication Minister Paulo Zucula. Read more
Read more of the latest Mining and Energy stories making headlines here.
TOURISM
This month in The Mozambican Traveler!



Maputo’s Street Cafe Culture
New Destinations
Close Up: News and Reviews





Club of Mozambique Recommends...
Fantastic Mozambique accommodation specials!
Accommodation specials in South Africa
Swaziland Winter Specials
Plus details for the fantastic June competition!
Download The Mozambican Traveler June edition now!
The Investor’s Feature Destination of the Week
Machangulo Beach Lodge, Santa Anna Peninsular, Maputo Province
Machangulo Beach Lodge is a luxury full-board beach lodge that caters for all. Hidden away amongst
untamed dune forests, the lodge features eight luxurious and spacious rooms. The rooms all feature
en-suite bathrooms, private verandas, air conditioning and wonderful privacy. If you enjoy nature, this
is the perfect place for you. From the fish eagle's wake-up call in the morning to dolphins playing only
meters away from the beach. Machangulo Beach Lodge is situated on a secluded peninsula,
surrounded by the Indian Ocean and natural dune forests. All of this just one hour from Maputo!
Untouched beaches are right on our doorstep. We have it all - easy swimming beaches with no waves,
beaches with lots of rock pools and big waves, and even traditional beaches with big waves and no
rocks - all of them clean and empty.
Read more about Machangulo Beach Lodge in the Tourism Directory here.
Read more of the latest Tourism stories making headlines here.
OVER THE BORDER
Entrants from all over Africa invited to compete in 2011 Africa Entrepreneurship Awards
This year, entrants from all African countries have been invited to compete in the Africa
Entrepreneurship Awards, fin24.com has reported. Last year, small business owners from just 15
African states were eligible to enter the competition. The awards recognise and reward African
business leaders who embody the entrepreneurial spirit and demonstrate the right qualities to
succeed in business. Applicants will be evaluated in key areas such as profitability, return on
investment and growth. To be eligible you must have a profitable, growing enterprise which generates
between $1m and $15m. The grand prize is US$ 100,000.00. Read more
Go to www.africaawards.com for more information!
Zim farmers to be compensated for lost farms through sale of Zim government assets
Following the violent seizure of their farms by the Zimbabwean government, three former
Zimbabwean farmers will be compensated for their losses when several Zimbabwean governmentowned properties in South Africa are sold, fin24.com has reported. An application to the North
Gauteng Court by the Zimbabwean government to prevent its assets being sold was overturned on
Monday. Arrangements are underway to sell the properties by public auction as soon as possible.
Read more
Read more of the latest International stories making headlines here.
‘THE MARKETPLACE’
EDUCATION AND TRAININGend_of_the_skype_highlighting
Mozambique Labour Law – Know your rights, and the rights of your employees.
Purchase a copy of the Mozambique Labour Law in English and Portuguese for only MT 250.00. Please
contact Marcia at marcia.maciel@clubofmozambique.com.
PROPERTY
Fantastic property offers from Pam Golding Mozambique
20.
21.
22.
23.
24.
25.
26.
27.
28.
For Rent– Sommerchield 2- $7000 – House – 7 bedrooms – garden and swimming pool
For Rent – Polana - $2500 – Apartment – 2 bedrooms – furnished-private terrace
For Rent – Matola –$2500 – House –3 bedrooms – furnished-garden
For Rent- Polana- $500 per day- Apartment –furnished- sea view-swimming pool
Commercial
For Sale – Matola – $1.4 mil negotiable – Warehouse & Office Development – brand new
For Rent – Maputo – $3200 – Retail space in new A-grade development
For Rent – Maputo – Warehouse/s - $5 per m2 nego – max +360m2 – Excellent location!
For Rent – Warehouse/s – Machava - $5/m2 – 450 m2 each (x 3) – with office and 2 x WC
For Rent – Matola – $5/m2- 990m2 Warehouse - centrally located with great visibility!
Kindly contact Gratia Bremner on +258 82 369 8745 or email gratia.bremner@pamgolding.com
EVENTS
Hotel Cardoso is the ideal venue for your next conference
To arrange your conference with Hotel Cardoso, contact Lucas or Sérgio on (+258) 21 49 1071.
THIS WEEK
AfDB-EMRC SME Forum, 6 to 10 June in Lisbon, Portugal
For more information please click here.
MozNegócios International Packaging and Packaging Equipment Trade Fair, 8 to 10 June in Maputo,
Mozambique
For more information please click here.
New Feira Junina Artesanato, 9 to 14 June in Maputo, Mozambique
Arts and crafts fair held at the Maputo fort. Open every day from 10h00 until 19h00, expect for
Saturday when the fair opens one hour earlier.
LATER
ZIMTEC 2011 International Mining & Energy Conference, 15 to 17 June in Lusaka, Zambia
For more information please click here.
Road Freight Association (RFA) Convention, 19 June in Gaborone, Botswana
For more information please click here.
2nd Mozambique Coal Conference, 5 to 6 July in Maputo, Mozambique
For more information please click here.
2ND Annual Corporate Governance Preventing Fraud and Corruption Summit, 18 to 20 July in
Maputo, Mozambique
For more information please click here.
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