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Minister Mike Bimha

Oliver Kazunga, Senior Business Reporter
THE Government is crafting a National Procurement Policy aimed at bolstering the country’s industrialisation efforts towards promoting economic growth, Industry and Commerce Minister Mike Bimha said yesterday.

Officially opening the Confederation of Zimbabwe Industries (CZI) annual congress in Bulawayo, he said the policy would also complement the import management programme.

“To complement the import management programme, Government is currently carrying out stakeholder consultations with a view of coming up with a National Procurement Policy. The policy will be expected to buttress other industrialisation initiatives through meeting the local content threshold,” said Minister Bimha.

“The local procurement policy will go a long way in strengthening value chains as the need to meet local content requirements compels both Government and the private sector to procure locally.”

Of late, there have been calls to promote consumption of locally manufactured products as part of a raft of measures aimed at reviving the manufacturing sector which, among others, is grappling with stiff competition from imported products. According to the Confederation of Zimbabwe Industries manufacturing sector survey report for 2015, capacity utilisation stood at 34, 3 percent.

Due to the continued influx of imported products since the introduction of a multi-currency system in February 2009, Zimbabwe last year recorded a trade deficit of $2,88 billion.

When President Mugabe clarified the Government policy on indigenisation and economic empowerment, Minister Bimha said, the most important aspect of that clarification was that the Government was not looking at a one-size-fits-all model.  “But,” he said, “particularly in the manufacturing sector where investors bring the money and technology we’re looking at a variety of possibilities in terms of what investors can do.”

Minister Bimha said the Government was implementing various sectorial strategies together with the private sector.

Among the sectorial strategies being implemented are the cotton-clothing, engineering, iron and steel strategies as well as the pharmaceutical development one.

“On iron and steel strategy, we’re looking at something broader than only Zisco. We should look at an expanded iron and steel sector because we’ve the resources to venture into those products that Zisco didn’t produce.

“So, we want to resuscitate Zisco, but we also want other players to produce those products that Zisco was unable to produce,” he said.

Minister Bimha added that the Government also wants to see the growth of a stainless steel industry as the country has abundant resources such as nickel, chrome and iron.

He said it was unfortunate that Zisco should have been up and running by now but the firm’s revival was hindered by political bickering in the inclusive government.

“However, it’s not all lost.  We are engaging a number of aspiring investors in order to resuscitate Zisco and also go into other areas that l’ve mentioned,” he said.

Earlier on Minister Bimha spoke against the multiplicity of business associations.

“When we talk about industrialisation and Government policy, let’s look at business as one unit and get input from yourselves. But Government can’t come and legislate for that, but we think it should come from yourselves.

“You can stay as you’re but I‘m only saying we’re having problems with having a multiplicity of representation. As Government we believe in oneness and with one voice we hear you better than when you’re fragmented,” he said.