By Chantelle Kotzé
MININGWEEKLY.com
There are various challenges facing the African mining industry that could be overcome by supporting the junior exploration industry to drive growth in the industry, says Africa-focused business development and marketing company MineAfrica president Bruce Shapiro.
“There is no local junior mining sector to speak of in South Africa and it is ultimately this sector that drives growth in the mining industry,” he says.
Shapiro advocates that the perception of investment communities needs to be changed through a long-term, consistent and well- managed investor attraction programme.
To develop this industry, Africa should establish a framework for juniors in which to operate. This framework must include, among others, tax incentives, investment funds and specialised banking facilities.
Shapiro, who is also the Canada–Southern Africa Chamber of Business president, notes that out of about 330 foreign-listed companies operating in Africa’s mining industry about 175 are listed in Canada and these are mostly juniors.