The South African platinum mining industry is set to see its latest round of wage talks over the coming months.

The current agreement is due to run out in June and a tough round of negotiations is anticipated before that time, with the cost of living in South Africa having grown considerably over recent years.

Other factors that are set to weigh heavily on the discussions are the increased costs involved in mining as well as the continued rise in platinum prices over the past 12 months.

The mining industry as a whole is expected to suffer some tough talks over the months ahead as the different sectors renegotiate their wages and the National Union of Mineworkers (NUM) in South Africa will play a key role in these debates.

However, the platinum sector is unlikely to face the problems seen in the gold industry two years ago, when a failure to agree terms resulted in a strike across all gold mines. Platinum firms do not use the Chamber of Mines for unified bargaining, so that a strike at one mine is unlikely to affect production at any other mines, as each firm conducts its own negotiations.

Ÿ Adfero Ltd