Local goods reclaim more shelf space

ZIMBABWE’S manufacturing sector is on a solid recovery path occasioned by the close collaboration between the private sector and the Government, which has seen more local goods reclaiming shelf space in shops, Industry and Commerce Minister, Dr Sekai Nzenza, has said.

Despite the disruptive impact of the deadly Covid-19 pandemic, capacity utilisation in the country’s manufacturing sector increased by 10,6 percent to 47 percent in 2020 alone, according to the Confederation of Zimbabwe Industries (CZI) report.

The export of processed foods has been one of the best export performers, according to ZimTrade, indicating the positive strides the country is making in revitalising its industrial base.

The processed food sector plays a critical role in the overall growth of the Zimbabwean economy and has seen steady growth in exports over the past few years, recording 18 percent growth from US$98 million in 2019 to US$115 million in 2020, according to Zimstat.

In 2018, the sector recorded US$71,2 million in exports.

The positive growth is a testimony to the joint collaboration between Government and the private sector, which is being aided by prudent fiscal and monetary reforms that have created a stable exchange rate.

“This upward growth trajectory is expected to continue under the Government’s economic blue-print, the National Development Strategy 1,” said Dr Nzenza.

She said the cumulative effect of this growth trend has been the availability and affordability of basic goods and commodities to the consumer as locally produced goods continue to take up more shelf space.

Minister Nzenza was speaking at the Buy Zimbabwe 10th anniversary awards ceremony, which was attended by President Mnangagwa in Harare on Friday.

Anchored on the drive to move the “economy up the value chains”, NDS1 builds on the successes of the Transitional Stabilisation Programme (TSP, which expired last December.

To buttress industrialisation efforts, Dr Nzenza said her ministry has developed the National Quality Policy, which presents a framework for quality assurance and development of domesticated national standards.

“This is meant to protect the consumer through a mechanism that ensures the credibility and integrity of goods and services,” she said.

As an implementation framework for the strategic deliverables of import substitution through increased local content and export development, Minister Nzenza said the ministry had identified key value chains and was undertaking sector specific strategies.

This includes enhancing opportunities for value addition and the development of agro-based value chains in pursuit of rural industrialisation.

Dr Nzenza commended Buy Zimbabwe for positioning itself as a champion of competitiveness mandated to unlock Zimbabwe’s industry and trade potential through structured support of production and consumption of local goods and services.

She said such synergies were critical under NDS1 as they enhance accelerated growth that is anchored on private sector-led economic development.

“This is, therefore, an opportune moment to celebrate, reward and support excellence in the local value chains.

“This will indeed foster the culture of local production and local consumption in order to stimulate inclusive and sustainable growth pattern for higher productivity,” said Dr Nzenza.

The event was organised by the BUY Zimbabwe Company as part of measures to award and incentivise businesses that are excelling in embracing “the Local Contest Strategy”.

Buy Zimbabwe also serves as the secretariat of the Local Content Committee in the course of the implementation of the Local Content Policy.-chronicel.cl.zw