Sudan further opens gold trade to private sector

Suspected smuggled gold bars seized from a plane by Sudanese Rapid Support Forces in Khartoum Airport, Sudan May 9, 2019. (Reuters)
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Updated 17 June 2020

Sudan further opens gold trade to private sector

  • A circular bars government bodies from exporting gold and opens the trade to private firms provided they meet requirements
  • Sudan has been trying to crack down on gold smuggling and generate more foreign currency

CAIRO: Sudan, a gold producer, has taken steps to open up the trade in the precious metal further to private investors, allowing them to handle all exports and taking the business out of state hands, the Sudan News Agency (SUNA) reported on Tuesday.
A circular approved on Tuesday bars government bodies from exporting gold and opens the trade to private firms provided they meet requirements, such as paying taxes and royalties, it said.
Sudan has been trying to crack down on gold smuggling and generate more foreign currency. For years, the central bank had a monopoly on exports, buying gold locally at fixed prices at collection sites nationwide, which led to the illegal trade.
Sudan produced an estimated 93 tons of gold in 2018, Energy and Mining Minister Adil Ibrahim said in November, a level that would make it Africa’s third biggest producer after South Africa and Ghana, according to the US Geological Survey.
Regulations approved in January opened gold exports to private companies but limited private mining firms to exporting 70% of their output with the rest to be sold to the central bank.
The exporters were also required to sell all foreign exchange export proceeds to the central bank at the official exchange rate, which was at that time about 45 Sudanese pounds to the dollar, equivalent to about half the black market rate.
The SUNA report made no mention of that requirement.
The official rate has since weakened to 55 pounds to the dollar, while the black market rate has fallen further to 146 pounds.
The new rules bar the central bank from buying gold entirely except to increase official reserves, in which case it must be bought from the local market, SUNA said.
Traders would now be able to export gold through Khartoum international airport and the government would crack down on other routes used for smuggling, the news agency reported.
The new rules were agreed upon by an economic committee meeting headed by Sudan’s top military commander, Mohamed Hamdan Dagalo, also known as “Hemedti,” and including Prime Minister Abdalla Hamdok.


Motorhomes come of age as Europe relaxes lockdowns

Updated 30 min 30 sec ago

Motorhomes come of age as Europe relaxes lockdowns

  • This form of transport means freedom — and health and safety into the bargain

PARIS: After months of working on the frontline in the battle against COVID-19, Spanish nurse Yone Alberich was ready for a holiday, but the question was how.

Going on holiday generally meant flying abroad — but with the virus still very much in the air, she didn’t want to take a plane. 

Nor did Alberich want to stay in a hotel or be around crowds of people. So she and her husband rented a motorhome.

“The idea was to keep away from people to avoid getting infected,” said the 32-year-old, who has a toddler and lives in the Valencian coastal town of Castellon.

“And with COVID, what could be better than traveling around with your house on your back?“

With social distancing the new norm in Europe to avoid any fresh outbreaks, there has been a shift in thinking about holidays, with a recent survey showing 90 percent of Spaniards would remain in Spain rather than traveling abroad. And 83 percent planned to use their own car over public transport.

Fabrizio Muzzati, who runs specialist Spanish travel agency Aquiestoy Caravaning, said that many people who never thought about a motorhome holiday are now considering it.

“At a time when the whole world is very much looking for a sense of security, there are a lot of people who are going to give it a go because of the circumstances.”

And as travel restrictions were eased, motorhome rentals resumed “intensively,” the Spanish mobile home and campervan association ASEICAR said last month, suggesting it may be “key to reviving tourism this summer.”

And it is not just in Spain. “Since the rollback, there’s been a real craze for motorhomes, everywhere,” says Francois Feuillet, president of the European Motorhome Federation. “The motorhome means freedom, savings and being green. Now we can add health and safety and for us, that’s a real boon.”

Across Europe, there has been growing interest in the sector and today there are five million users and two million vehicles in circulation, industry figures show. In Germany, Europe’s main market, more than 10,000 new motorhomes were registered in May, an increase of 32 percent year-on-year, while France added 3,529 new registrations — up nearly 2 percent.

And in Spain, a much smaller market but where interest is growing rapidly, there were 1,208 new vehicles registered in June — up 20 percent on last year, ASEICAR figures show.

There has also been a jump in demand in the rental market.

Yescapa, a peer-to-peer rental platform, registered more than 32,500 bookings across Europe in June, with requests for July and August 60 percent higher than in the same period last year.

Of that number, just under a third — or 9,435 — were in Spain.Despite the reopening of Europe’s borders on June 15, most people are reluctant to go abroad, Yescapa co-founder Benoit Panel said.

“Since COVID, there have been almost no cross-booking rentals,” he said, referring to travelers booking outside their country of origin, who usually constitute 20 percent of reservations.

First-time renter Jose Pascal Guiral, who runs a ceramics export business and always holidays abroad, took a motorhome as soon as lockdown ended, spending a week touring scenic mountain passes in the Spanish Pyrenees.

“It’s so much nicer than going in a plane or a hotel, it gives you a real sense of freedom. You go for a week and you feel like you’ve been on holiday for a month,” he said.

Julio Barrenengoa Gomez, director of Caravanas Holidays, said that the crisis has increased interest in national tourism.

“People tend to want a motorhome to travel around Europe but this year, they’re looking to stay here in Spain. With all our desire to visit Europe, it seems like we’ve forgotten just how beautiful Spain is. This year is going to boost national tourism.”

Others believe the health crisis will accelerate a shift away from the mass tourism of resorts, cruises and package holidays.

“This pandemic will change people’s habits because they’ll be less likely to stay in crowded places,” said Fernando Ortiz, director of established Spanish motorhome brand Benimar.

“Not necessarily because of the risk — they will find a vaccine — but because people like being able to change their plans from moment to moment while traveling,” he said. “And that is likely to last.”