Small businesses can drive rural growth through value-added products
AS the nation pursues the ambitious rural industrialisation, Micro, Small and Medium Enterprises lie at the bedrock of the drive.
Statistics as highlighted in the 2021 MSME Survey and 2022 Finscope Survey, show that the sector contributes more than 60 percent to the Gross Domestic Product (GDP) and provides employment to more than five million individuals.
In her presentation at the Rural Industrialisation Indaba, the Minister of Women Affairs, Community, Small and Medium Enterprises Development Monica Mutsvangwa said this position is also affirmed by the recent Confederation of Zimbabwe Industries (CZI) 2024 Manufacturing sector survey which showed that at least 60 percent of manufacturing enterprises in the country are Small and Medium sized.
She said the sector is also dominated by women, who constitute 56.4 percent of the enterprise owners.
“Given the foregoing, for our rural industrialisation drive to succeed, there is an urgent need for us to develop strategies to support women and SMEs to engage in value-added activities such as food processing, packaging, and labelling to increase the value of our agricultural produce. SMEs in rural areas can also be supported to manufacture goods such as furniture, clothing, and household items, which can be sold locally or exported,” said Minister Mutsvangwa.
Furthermore, said the Minister, SMEs can be at the forefront of promoting renewable energy solutions such as solar and biogas, which can provide energy for rural households and industries.
“The production of handicrafts such as textiles, pottery, and woodcarvings, which can be sold locally or exported and the development of rural tourism initiatives, such as homestays, ecotourism, and cultural tourism, which can generate income and create jobs can also be used as avenues to accelerate rural industrialisation,” said Minister Mutsvangwa.-chorncile
