Metal prices fell by an average 25 percent during the first half of the year, causing a negative impact of substantial reduction in revenue. The weak metal prices are also now posing a huge threat to viability of many mining operations. In its recently published financial statements, RioZim Limited reported that its revenue has been reduced by $7 million, as a result of falling metal prices, resulting in the company posting a loss after tax of $2.3 million.
Gold price fell from an average $1,651 per oz in the first half of 2012, bottoming to $1,196 per oz June 2013, whilst averaging $1,497 per oz for the first half of 2013. Cotton has also been affected by weak international prices, resulting in farmers getting an unfair return for their white gold.