HomeNews19 firms defy Zanu PF empowerment policy

19 firms defy Zanu PF empowerment policy

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ZANU PF has turned the heat on 19 foreign-owned companies that have allegedly defied government policy to indigenise and called on its government side of the administration to penalise the firms.

Report by Bernard Mpofu

According to a Zanu PF central committee report presented at the party’s annual conference in Chinhoyi at the weekend, some major international firms had partially complied with the law resulting in successful employee and community share ownership schemes, but others had “wilfully defied it due to confusion caused by dissenting policy position during the tenure of the just-ended inclusive government formed in 2009”.

Part of the report reads: “There was no significant movement in defiant companies towards compliance . . . From experience it is now known that the current law is weak with regard to compliance enforcement mechanisms.

“Because there is no means to ensure companies submit indigenisation plans or implement their approved plans, many of these companies have either chosen to remain under the radar, ignored calls for or have refused to implement indigenisation plans.

“Provisions in the Act and the General Regulations pertaining to enforcement of compliance requires strengthening. Compliance must balance punitive measures and incentives, but must be effective and discourage wilful non-compliance,” the central committee said.

Under the country’s empowerment laws, foreign-owned firms are obliged to sell 51% stakes to locals.

The list of defiant firms was given as South African mogul Mzi Khumalo’s Metallon Gold; Duration Gold Zimbabwe; Murowa Diamonds; Tongaat Hulett; Standard Chartered Bank of Zimbabwe; Zimasco; Zimbabwe Granite International; Noral Private Limited; Barrow Properties; KW Blasting Specialists; Astiz Private Limited; Lady Anna Custom Milling; Kenilwold Investments; Cable Cast Enterprises; Plate Glass Company Zimbabwe Limited; Pioneer Hybrid Zimbabwe; Stramit Centre Africa; Illford Services and Pannar Seed.

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20 COMMENTS

  1. Kutambisa nguva uku. If you look at PG you get a feeling that it is already winding down operations and very soon they will close shop. This policy yaMugabe will not take us anywhere except kudzokera kumakore agochanhembe!!!

  2. foreign-owned firms are obliged to sell 51% stakes to locals , 98% i agree with that .but who are the locals buying the stake? the 2% that i don’t agree with is lets leave the big banks out of this eg Standard Chartered Bank etc.
    on the mines the 51% must be ours because we have to own our natural resources 100% but for now let us give them 49% .until we are able to sell our products here as finished goods here in Zimbabwe . and thats soon . patience is a virtue.
    and to those who are saying indigenisation yauraya nyika you all all lazy and can not think ahead or see the future .let us all as Zimbabweans own our resources .

  3. to zanupf

    all you guys want is to get other people’s sweat why don’t you give the indigenous people funds to start competing companies to the existing ones thus creating more jobs than loot leave workers jobless and target the next company

  4. Yebo zanu is but a bunch of lazy people, look at the way companies like Cairns and Olivine are begging to pay their creditors and staff but the directors take hefty salaries plus allowances home, all because of empowering the rich in the party, shit happens to hard working people at the expense of lazy arses.

  5. woooooooooow. huya uone ugodzokera. hapasisina upenyu. totadza kubhadharana pachedu isu vatema .ko vacho vanotipa mari. in time vakaenda what then.how many local bank died and never rose again.

  6. PG HILARY MUNYATI,CAROLINE MAPUPU AND ADAM ZVANDASARA MUST BE AUDITED. WELL DONE COTTCO. AUDITERS JUST START WITH RENTAL INCOMES

  7. Iii vanhu vaya vatanga.ndeipi imwenyika yakambozviita vakabudirira apa economy yakadhakwa .,anyway takati tongai tione

  8. These ple are worsening the situation.imagine kuti makambani mangani avhara uye amisa vanhu kubva zvatanga chirongwa chavo ichi chekupfumisana pachavo ma big dhara shame shame shame

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