Sky News business editor Michael Wilson

There is a slender ethical argument for doing business with the hell that is Zimbabwe - that anything which tries to help the economy, helps the people and the people deserve all the help they can get. That's effectively the excuse that Anglo American is using  for its £200m investment to build a platinum mine in central Zimbabwe, at a time when the state has descended  even further into Mugabe’s villainy.

However, Anglo’s proposed mine at Unki is neither here nor there in Zimbabwe’s sad employment statistics, perhaps giving jobs to 200 locals and 450 contractors.

What appeals to Anglo is producing platinum, which is one of the world’s most expensive metals – used not just in jewellery but in catalytic converters, LCD displays, computer hard disk drives and anti-cancer drugs. Zimbabwe has the second largest platinum deposits in the world. Anglo will also know that if they don’t do business with the country, there will always be someone who will. The EU first imposed sanctions on Zimbabwe in 2002. There may be more. Meanwhile the Chinese continue to bid for farming and exploration rights in the country.

Other companies like Rio Tinto, BP, Shell and British American Tobacco with considerable presence in Zimbabwe are either ‘reviewing’ their operations and none of them is increasing their business links. Barclays was accused last November of providing loans to senior members of Mugabe’s government who were running farms which his henchmen had seized – Barclays’ defence was that the loans were made by Barclays Bank of Zimbabwe which, while majority-owned by the UK based group, was incorporated in Zimbabwe. With such niceties, sanctions tend to unravel.

Much more important is the role of the South African Development Community - the club of fourteen countries including Zimbabwe - and the disgraceful performance of South Africa’s president Thabo Mbeki who has actually blocked efforts to have the recent rigged election overturned. Africa itself needs to somehow show an influential and united effort to show how fed up it is with Mugabe and his cronies and to tell him forcibly, that now is the time to go.

Comments

[Michael Cornwall 26 Jun 2008 11:20:42]

Nadine in Zimbabwe,
The vast majority of people here in UK whilst I can not speak for them I feel sure Would be concerned for you and also would wish you well.

[Paul 26 Jun 2008 10:59:26]

While the world dithers, ordinary Zimbabweans are being brutalised by Mugabe and his henchmen. "They" are the problem, not the farmers and ordinary tribesmen woman and children who bear the brunt of criminal brutality.

Sanctions do not affect Mugabe but the people who are already traumatised suffer. Take Mugabe and his criminal henchmen out. Direct action is required.

Why must Britain do it? Because British mismanagement is at the root of the problem. 30 years ago the British put Mugabe in power when there were viable alternatives available.

If you mess up you should fix up your mess. It is as simple as that. It was wrong to chuck Smith and Muzerewa out in favour of terrorists.

Innocent people are dying, while people in England and abroad worry about being accused of being racist for intervening. What a poor excuse? It is inhuman to let things slide as they are.

[Chris Worden, UK 26 Jun 2008 10:08:33]

There's only one solution to the Zim Crisis - Mbeki, and hes does not care as he's in bed with Mugabe.

If the UK and the States alone stopped flights to Johannesburg and all tourists cancelled thier trips to SA tomorrow, I can guarantee that the powers that be in SA would ensure Mugabe steps down immediately, in factr by the weekend! Boycott SA - not the poor people in Zimbabwe that are trying thier hardest to keep alive.

[Michael, Israel 25 Jun 2008 19:36:24]

While countries like China continue to arm despot regimes like Mugabe's, there is no hope. If the world does not act now, it will be too late.
I for one will not be watching the Olympic games in support of the real people of Zimbabwe.Blacklisting Zimbabwe alone is futile. Do the same for undemocratic China too and the world would sit up and listen.
But we all know it will never happen.

Michael

[John Berry, UK 25 Jun 2008 18:21:27]

Sanctions and consumer boycotts on Zimbabwe and its products will hurt small producers and the man in the street.

Apply pressure where it’ll count - not common Zimbabweans because they’re powerless, not Robert Mugabe because he doesn’t care.

If anybody, including Peter Hain believe that sanctions are a good political tool then throw a broad set of sanctions against South Africa and Thabo Mbeki.

Stop sending visitors to South Africa, stop buying South African produce, withdraw all investment from South Africa. That way Mbeki will be forced to take some action against his neighbour.

[Nadine - Zimbabwe 25 Jun 2008 16:03:21]

I wish to address Bruce who commented that any functional business in Zimbabwe is fully complicit and supportive of the current Ruling Regime... may I say that I am a chronically sleep deprived Zimbabwean Farmers wife and yes - we are still on our farm, only just, having lost two thirds of it to the land reform programme. We BARELY make ends meet and every spare cent we do have goes into making sure our staff and their children are adequately feed and clothed. Your comments insult a huge majority of Zimbabweans... I urge you to either take your blinkers off or spend more than a day or two in our troubled country. Infact, would you like to come and explain to my 3 wonderful children why it is they have to put "importance tags" on some of their belongings and box them up "just in case" we have to flee our home to avoid further retribution just because we are farmers who happen to have white skin!!

[Les Calderwood cape town 25 Jun 2008 16:00:24]

I've just watched a spokesperson for Tesco UK on sky news. what a typical reaction for british corporate business verging on sheer disregard. surely it's time for the british government to take a situation by the scruff of it's neck for once and stop pandering to the new brigade of "yoghart eating sweater knitting do gooders" lets not forget that british business continued during apartheid under the guise of "south african companies " in name only! british business should be ashamed that even one penny of money goes to Zimbabwe.the only weapon we have to stop the 'despot' is to cut ALL money. yes ordinary people will suffer but it's the only option apart from an iraqi styl invasion.

[Ephraim Simawo Milton Keynes 25 Jun 2008 15:55:20]

A spokesperson for Tesco defending the Companies trade with Zimbabwean farmers has said the trade is helping the individual workers on the farm and not supporting the regime of Mugabe.
i would like to correct the speaker saying that the farms are no longer owned by Non political Zimbabweans but by Mugabes croonies, those who took the farms over from the white owners, remember land in Zimbabwe is a government tool support us we will give you land', whoever owns the land now is a Zanu PF a powerful Zanu PF member.

[Elizabeth Davies Cape Town 25 Jun 2008 15:46:11]

You had better believe it that the big mining companies are in Zimbabwe to make one thing called... money.
The people of Zimbabwe voted Mugabe out back in March, time for the UN, AU and SADC to be firm with Mugabe and tell him to go into exile.
Mbeki is very weak, and is about to retire from politics, he will not make any decisions any time soon or his old pal Mugabe.

[Paul 25 Jun 2008 15:28:13]

South Africa has elections next year in 2009. The big question that all are afraid to ask is will Mbeki go quietly and allow Zuma to take over. Or does he plan to extend his stay at the helm of SA for another term. (not unheard of down here)

That could explain why he is reluctant to act too decisively on Mugabe's case.

Perish the thought that he might be accused of being a hypocrite along with everything else people accuse him of.

[Bruce South Africa 25 Jun 2008 15:15:09]

I was in Zimbabwe over the March 29th elections, and personally witnessed Zimbabwean farmers who supply fruit and veg to the UK transporting there labor to Magabe/ZANP-PF rallys. Where there lobular are identified and and forced to attend these reeducation camps, where these innocent people are raped, brutalized and torched all because these farmers did not want to losse their land . There is no justification for the perches of any Zimbabwean products at this stage simply because there are no legitimate businesses operational in Zimbabwe. Any business which is fully operational in Zimbabwe is fully complicit and supportive of the Mugabe regime

[London 25 Jun 2008 15:04:16]

I am not sure that Britain and Sky News Like to talk about the Lancaster agreement in Zimbabwe. I have not listened to any discussion as to why the president of Zimbabwe is in the position he is. I do not support any of the reported crimes linked to the president or his cabinet. It seems that we have not learnt any thing from Iraq. Also western democratic position is not necessary the best for all nations Please raise the original question of what the Lancaster agreement that Tony Blairs Gov. regeted by the then Clare Shaw development minister.

[Pluck Cov city 25 Jun 2008 14:59:57]

Doing business with the hell that is Zimbabwe?

It is a shame that zimbabwe has gone down to this point. though its not a Hell, im sure if hell was looking at you in the face it wouldnt look like zimbabwe. Stoping trading with zimbabwe may seem effective but all it does is punish the people who are trying to fight the rulling regime.

[Khalid 25 Jun 2008 13:32:35]

Sir
What this episode has shown is that no matter what there must be underlying reasons why they appear to be brothers in arms, albeit for the sake of power.
Banks can only but provide loans based upon the merits of the application, and once that approval has taken place and funds transferred it really is a matter beyond the control of the bank as to how such funds are utilised, as at the end of the day, the very losers will be the ones who utilised deceit as a tool to gain such monetary riches.
Insofar as platinum and the mining of much ajob market, then again what power has the EU, now that it finds itself in turmoil? Unless the UN of the world stand together as one, including China, nothing I'm afraid will be of much benefit to those who have been deprived of education and food in order to allow for continued regional prosperity.
SADC will meet today and must demand an immediate halting of the evil within otherwise we will be debating this issue for years on end.
Hope is within the eyes of those who stand by the very people no matter what political allegiance, so for god sake [Forgive Them Father] and let [Lauren Hill] get the best of education and not bullets. Call a free and fair election and be done with it.

[Michael Cornwall 25 Jun 2008 13:08:07]

Good article Michael.I agree Mbeki seems disgraceful. There is an apalling situation there,personally I would not back the present regime.I would like to see the African countries unite stand firm and bring in sanctions, hence I believe this investment being planned sends out the wrong message.Dictators seem to get away with it, All the killings and no one stops it.I keep an eye on Burma as it also seems outrageous, My best friend at school was Than Shwe,a really nice guy then, I remember him showing me photos of him as a young boy with a shaven head and Monks robes on I was quite taken by it. I remember also on a trip to London driving back home to Cornwall, and a fast line of cars including police cars, were heading to Heathrow, inside was Mugabe and his big political ally, whom I would have thought would not be alive now, they had been to have a meeting about doing away with Smith.It was moments before the handover of power, I was pleased for them at the time and wished them well. Not now though. Bit of gossip for you Michael