Buy Zimbabwe says there should be a policy compelling retailers to have local products constituting at least half of their stock to help in the resuscitation of the local manufacturing industry.
BY TATIRA ZWINOIRA
Speaking at the third edition of the Buy Zimbabwe Supply Chain Conference yesterday in Harare, Buy Zimbabwe chairperson, Oswell Binha said the country needs to invest where it has the greatest value.
“We should have a minimum threshold of 50% and above of buying locally. We should invest where we have the greatest value and build on that,” Binha said.
“The major challenges affecting the economy remain unchanged, suggesting that little has been done to address such issues or the economy has approached a rock in terms of responding to domestic stimulation.”
Imported products have flooded the local market pushing out locally-produced goods.
This has seen the economy spending more on imports and getting less on exports further worsening the trade deficit.
Buy Zimbabwe said retailers and manufacturers should create awareness of their products and services by interacting with communities to try and promote local industries.
- Chamisa under fire over US$120K donation
- Mavhunga puts DeMbare into Chibuku quarterfinals
- Pension funds bet on Cabora Bassa oilfields
- Councils defy govt fire tender directive
Keep Reading
According to a snap survey conducted by Buy Zimbabwe, the reason why there was lack of knowledge of local brands is because 99% of the people sent to talk to the communities were merchandisers, not manufacturers themselves.
“At least 99% of people who are asked to speak to communities are merchandisers. So you have all the community leaders, all the buying brands and you request simply for local manufacturers who are the biggest beneficiaries to engage with these communities, but do not find a single manufacturer there,” Buy Zimbabwe chief executive officer Munyaradzi Hwengwere said.
In the mid-term fiscal policy review, Finance minister Patrick Chinamasa said the major suppliers of goods and services to Zimbabwe were South Africa (40%), Singapore (20%), China (7%) and India (4%).
Binha said with the imports that are flooding the local markets, emphasis should be on value addition and local production to create jobs locally rather than relying on cheap imports thereby creating jobs for other markets.
“The successful construction and implementation of any government policy to that effect requires a deeper understanding of the challenges through wide and in-depth consultation of the stakeholders and it is from such conferences that we will endeavour to unlock the solutions,” Binha said.
“However, the sad reality is that the economy remains fragile, notwithstanding significant positive gains realised in the improvement in the supply of goods and services.”
