Geological and Minerals Development (Local Content) (Preference for Goods and Services in the Mining Sector) Regulations, Statutory Instrument No. 68 of 2025

The Regulations, enacted under section 10 of the Geological and Minerals Development Act of 2025 and in force as of 1 January 2026, apply to all mining companies and mining-related companies operating in Zambia. 
The Regulations require each mining and mining-related company, within six months of the Regulations coming into effect (i.e., by 30 June 2026), to dedicate a minimum of 20% of its annual procurement budget to local Zambian companies supplying core mining goods or services. This minimum threshold increases to 25% after one year, 35% after two years, and ultimately to at least 40% within five years of the commencement date of the Regulations. Additionally, the Regulations stipulate that the sourcing of non-core mining goods or services essential to mining operations is restricted exclusively to local companies.
For the purpose of determining what qualifies as a local company, the Regulations rely on the categories set out in the Citizens Economic Empowerment Act 9 of 2006 (CEEA). 
Companies must also implement systems to demonstrate compliance, including submitting quarterly reports to the Ministry of Mines and Minerals Development.
Non-compliance constitutes an offence, and a convicted company may face specified penalties. Where an offence occurs with the knowledge or consent of a director, manager, shareholder, or partner, that individual may also be held liable.
The Regulations draw their policy basis from the National Mineral Resources Development Policy (2022), which aims to strengthen Zambian participation and ownership in the mineral value chain and encourage increased domestic procurement.

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