1.0 Background

A local non-governmental Law Association is seeking to carry out a research on private sector responsible investments and sourcing focusing on the mining sector in Zimbabwe. The organisation’s motivation to carry out this research emanates from the fact that trade and investment in natural mineral resources hold great potential for generating income, growth and prosperity, sustaining livelihoods and fostering local development. However, a significant share of these resources is located in conflict-affected and high-risk areas (CAHRA), where their extraction is contributing, directly or indirectly, to conflicts, human rights violations and underdevelopment.  Zimbabwe’s Large-Scale Mining (LSM) Sector (the diamond, gold and recently the chrome mining sector) has been implicated in conflicts, human rights violations, illicit financial flows and other irresponsible mineral purchase decisions. Extraction of minerals tends to increase poverty incidences and other vulnerabilities due to mining business practises that result in environmental degradation, land grabbing, violation of women and children’s rights. The situation is exacerbated by the tendencies of most mining companies not adequately applying responsible business practices to avoid conflicts and human rights violations in their mineral supply chains.

There is a risk that the violations of human rights and illicit financial flows and other unethical practises in the mineral supply chains will heighten if Zimbabwe as a country does not adopt international best practices in mining such as the Organisation of Economic Co-operation and Development (OECD)’s Due Diligence Guidance[1] on responsible mineral supply chains. The OECD Guidance aims to help companies[2] to respect human rights, avoid contributing to conflict and cultivate clean and transparent mineral supply chains and sustainable corporate engagement in the mineral sector. There is need for an assessment on the applicability of OECD Due Diligence on Responsible Supply Chains specifically focusing on LSM companies in Zimbabwe. It is against this background that the organisation intends to hire a consultant to carry out a research to assess the LSM sector’s level of compliance with OECD Due Diligence Guidance processes and the 5 step reporting system to ensure respect of human rights and avoiding of illicit financial flows. An assessment will be done to understand the extent to which local miners (upstream supply chains) are adhering to national laws if any and OECD Due Diligence Guidance on Responsible Business Contact and Mineral Supply Chains. The research will also target the downstream mineral supply chains[3] and assess the extent to which they are adhering to OECD Due Diligence on responsible sourcing. The research findings will be used to promote CSOs, private sector and government’s engagement on responsible investment and sourcing in the mining sector in Zimbabwe.

2.0 Main Objective of the Study

To carry out an assessment on LSM level of compliance with international best practice on responsible mining standards on human rights, environmental sustainability, social impacts and elimination of illicit financial transaction and other unethical practises in the mining sector in Zimbabwe.

• Specific Terms of Reference

• To assess the understanding of LSM companies on what OECD due diligence on responsible investments and sourcing are and what they seek to achieve
  • To carry out due diligence assessments on the mining companies on the 5 step steps reporting system
  • To establish the mining companies’ Upstream and Downstream Supply Chains
  • To assess the value chain systems (mines to market) and establish risks and potential for human rights abuses and illicit financial flows (potential for compliance and noncompliance with OECD Due Diligence)
  • To establish a framework for due diligence to ensure responsible mineral supply chains.
  • To establish if the mining companies have any traceability measures in place on mitigating risks gaps, accuracy or fraud in supply chains
  •  To establish existing policies, systems and voluntary practices that the LSM companies (upstream supply chains) and downstream supply chains actors have adopted to respect human rights and avoid conflicts, the extent of their implementation and the level at which they comply with international best practices on responsible mining
  • To review lessons from regional countries which have adopted the OECD Due Diligence Guidance and traceability measures and get to see how international best practices have changed their economies and addressed issues such as child labor, women abuse and corruption 
  • To assess establishment of systems that encourage voluntary practices on reporting of human rights abuses and compliance with best practices on responsible mining
  • To assess policies and legal provisions that supports responsible investments and resourcing in the extractive sector if any and to check the extent to which the national laws and policies have been adhered to in the mining sector
  • To establish policy and legislative gaps that needs to be filled up for the country to ensure that   private companies comply adequately with OECD Due diligence standards on responsible investments and sourcing especially with regards to mineral traceability from miners to export markets
  • To establish gaps and opportunities for mining companies to fully adhere to OECD Due Diligence Guidance on human rights, environmental sustainability, social impacts, curbing illicit financial transactions and other unethical practises
  • To make recommendations and suggest roles for actions by civil society groups, government, the private sector and donors on responsible investments and sourcing

4.0 Scope of the Research

The research specifically targets LSM companies involved in diamond, gold and chrome mining in Zimbabwe

 5.0 Key Deliverables

• Conduct desk review ( 25 – 30 May, 2020)
• Conduct field work ( 1-5 June, 2020)
• Produce a research report (6 – 20 June, 2020)
• Conduct validation meetings ( 21-24 June, 2020)
• Incorporate feedback from validation meetings and submit the final research report (25 -30 June, 2020)      

6.0 To apply

Interested and qualified consultants should send their expressions of interest and approach paper which includes the research methodology to be used and cost of the consultancy to; procurementzw@gmail.com by the 18^th May, 2020. The title of the consultancy should be clearly stated in the email subject.

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[1] The OECD Due Diligence Guidance provides detailed recommendations to help companies respect human rights and avoid contributing to conflict through their mineral purchasing decisions and practices. This Guidance is for use by any company potentially sourcing minerals or metals from conflict-affected and high-risk areas. The OECD Guidance is global in scope and applies to all mineral supply chains.

[2] Throughout the entire mineral supply chain, from miners, local exporters and mineral processors to the manufacturing and brand-name companies that use these minerals in their products

[3]  refiners and buyers of minerals from Zimbabwe