Anil Agarwal wants to refund VAT dues take back import tax hopeful

first_imgNew Delhi: Mining baron Anil Agarwal has said that Zambia must withdraw an import duty on copper and give his company due VAT refunds to help restore investor confidence that was shattered by the African nation’s move to liquidate his copper-mining business. Vedanta Resources has taken the government of Zambia to international arbitration following the seizure of its Konkola Copper Mines (KCM), one of Africa’s biggest copper producer, stunning investors. Also Read – SC declines Oil Min request to stay sharing of documents”We took the plan 15-16 years back. They (recently) slapped duty on copper concentrates, withheld our VAT refunds of $200 million… (Zambian) government has been pressuring us to continue operations but we said please resolve these issues first,” Agarwal said here. Last month, Zambian government seized control of KCM, one of Africa’s biggest copper producers saying it had breached environmental and financial regulations. State-controlled Zambia Consolidated Copper Mines Investment Holdings (ZCCM-IH) is seeking liquidation of KCM, in which it owns 20.6 per cent. Vedanta owns 80 per cent of the company and has has invested over $3 billion in KCM in adding processing capacity and extending the mine life since it acquiring the business in 2004. Also Read – World suffering ‘synchronized slowdown’, says new IMF chiefAgarwal said the African nation must “give us refunds due to us and remove (5 per cent import) duty on concentrate”. Zambia, which is Africa’s second-largest copper producer, is not in a good shape financially, he said. KCM is Zambia’s largest integrated copper producer with nearly 13,000 workers. It invested $500 million in a new copper smelter which produced 135,000 tonnes of refined copper in the first nine months of 2018. “I have a feeling they will resolve the issue… I am hopeful of an amicable solution,” he said. The Zambian High Court has appointed Zambian law firm Lungu Simwanza & Company to act as provincial liquidator for KCM following an application by ZCCM-IH. “The court is hearing the case, let’s see (what comes out of it),” he said. alast_img read more