Mineral fuels, oils and products of their distillation, bituminous substances as well as mineral waxes are major contributors to Zimbabwe’s import bill with fluctuations between 15 to 22 percent month-on-month.
Mineral fuels such as crude oil and natural gas occur naturally underground and have a number of uses in the energy, industrial and commercial sectors.
Without capacity for extraction and refining crude oil, Zimbabwe imports 100 percent of its petroleum fuel requirements through pipeline and road. The major source of the mineral fuels supplied to the country is South Africa and Mozambique. However, there is on-going exploration for deposits in the Muzarabani area and extraction will make Zimbabwe a net exporter of crude oil in the long run.
The increase in construction projects has resulted in a surge in demand for Bitumen. The substance is produced from the distillation of crude oil. The commodity has water-proofing and adhesive properties and is commonly used in the construction industry, notably for roads.
White petrolatum, a semi-solid mixture of hydrocarbons obtained from petroleum is utilised commonly in industry as an ointment base, topical protectant and lubricant. Petroleum Jelly, grease and paraffin wax are typical examples.
The mining sector has expanded over the past five years and the appetite for petroleum products has also intensified. The sector accounts for a large proportion of consumption of diesel, lubricants and petroleum distillates.
Liquefied Petroleum Gas (LPG) has seen an upward trend in usage. The Zimbabwe Energy Regulatory Authority (ZERA) says the LPG sector developed “from 5 million kilogrammes in 2010 to 53 million in 2021”.
The commodities’ prices are heavily dependent on supply and demand and geopolitical stability especially in crude producing regions of the world. The global tension that has pitted Russia and Ukraine in a war has caused major supply disruptions and has sent prices on an upward trajectory.
Text by Perry Kaande