Agencia de Informacao de Mocambique (Maputo)

Mozambique: Lula Concerned At Delays in Brazil-Mozambique Cooperation

16 October 2008


Maputo — Brazilian President Luis Inacio Lula da Silva on Thursday expressed his dissatisfaction at delays in implementing projects agreed between Mozambique and Brazil.

He expressed his concerns at official discussions he held with his Mozambican counterpart, Armando Guebuza, shortly after arriving in Maputo for a two day visit to Mozambique.

"I feel that our dream, our desire, our will are taking a long time to be implemented", Lula told Guebuza.

He recalled that, during his first visit to Mozambique, in 2003, it was decided to build a pharmaceutical factory, with Brazilian investment, to produce generic anti-retroviral drugs. The project was designed, viability studies were held - but only now, five years later, will the factory actually be built.

There has been a similar delay with Brazilian investment in the mining industry. Lula recalled that he had spoken with Guebuza's predecessor, Joaquim Chissano, about Brazilian interest in the Moatize coal basin in the western province of Tete. In 2004, the Brazilian mining giant, the Companhia Vale do Rio Doce (CVRD), was granted a mining concession in a part of Moatize where there are estimated reserves of 2.5 billion tonnes of coal.

So far no coal has been mined, and CVRD now says it does not expect to start exporting coal from Moatize until late 2010 or 2011.

The delays disturbed him, Lula said, and he suggested that both he and Guebuza should regularly follow up their decisions, including those taken by the two delegations on this visit.

Speaking at a Maputo press conference, Brazilian Foreign Minister Celso Amorim said that delays in implementing agreements might result from the lack of any habit, until a few years ago, of Brazil cooperating with other countries. Until recently Brazil was used to receiving aid, not giving it.

"All our relations used to be prepared for us to receive technical cooperation", said Amorim. "But with the passage of time, the country has grown, and has stood in solidarity with other countries. But we still have to work within legislation that is not fully adaptable to these circumstances".

Amorim justified the delays in setting up the anti-retroviral factory, on the grounds that this was a large and complex project. It was necessary first to hold viability and market studies, and to train technical staff.

"Now the technical work has been done", he said. "On Mozambique's side, everything has been done, including identifying the site for the factory".

But for the project to go ahead, the Brazilian government still needs parliamentary approval for granting the resources required for the initial phase. Amorim said the Lula has submitted a bill to this end to parliament.

The site for the factory is in the southern city of Matola, and it is hoped that it will go into production in mid-2009.

When Guebuza visited Brazil in September 2007, he signed agreements in such areas as health, education and biofuels. Brazil, which has a great deal of experience in producing ethanol from sugar cane, pledged to support Mozambique in the development of a biofuel industry.

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