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STATUTORY Instrument 64 of 2016 which removes several products from the Open General Import Licence has been met with stiff resistance from sections of society but we believe it is a noble intervention that with time will yield positive results as far as the growth of local industry is concerned.

While in the interim it may prove unpopular as it discourages the importation of certain products, the manufacturing sector should seize this God-sent opportunity to raise its capacity utilisation levels and meet the demand that will be necessitated by the gradual disappearance of imports from the market.

Some businesses argue, with reason, that most of the products on the list are not available locally and cheaper to procure outside our borders but we believe that it is possible to produce things like camphor cream, coffee creamers, petroleum jellies, potato crisps and bottled water to the satisfaction of the local market while those who prefer imports will have to fork out a little more to do so.

There is a wide range of goods that have been literally banned from the local market with importers having to obtain special licences to bring them into the country. Goods categorised as builders’ ware like wheelbarrows (flat pan and concrete pan wheelbarrows), structures and parts of structures of iron or steel (bridges and bridges section, lock gates, towers, lattice masts, roofs, roofing frameworks, doors, windows and their frames and threshold for doors, shutters, balustrade, pillars and columns) and plates, rods, angles, shapes section and tubes prepared for use in structures of iron and steelware, are on the list of the restricted products.

The SI also controls the importation of plastic pipes and fittings, flat-rolled products of iron or non-alloy steel (of a width of 600mm or more), clad plated or coated and corrugated steel roofing sheets. The long list also includes furniture, baked beans and potato crisps, cereals, bottled water, mayonnaise, salad cream, peanut butter, jams, maheu, canned fruits and vegetables, pizza base, yoghurts, flavoured milks, dairy juice blends, ice-creams, cultured milk and cheese.

Importation of second hand tyres (all re-treaded or used pneumatic tyres of rubber), baler and binder twine, fertilizers (urea and ammonium nitrate), compounds and blends, tile adhesive and tylon, shoe polish, synthetic hair products are also in the list of products whose importation has been banned. The list further includes the following: flash doors, beds, wardrobes, dining room suites, office furniture and tissue wading.

Woven fabrics of cotton (containing 85 percent or more by weight of cotton, weighing not more than 200g per square metre classified under the headings 5208 and 5209 of the customs tariff) have also been banned. We are certain a lot of research went into compiling the list with the Ministry of Industry and Commerce going out of its way to ensure that the banned products can be produced locally. The challenge now is to capacitate the manufacturing sector so that it produces quality products that match or are superior to imports and competitively priced.

The cost of doing business is very high in Zimbabwe and there are several factors that contribute to this. Industry has always cried foul about major cost drivers such as utility charges, fuel, taxes etc. Sanctions also affect business with local firms unable to do business with their counterparts in countries such as the United States and most European Union member states. Zimbabwean companies also find it hard to access cheap financing due to the country’s high risk perception.

The Government is working hard to improve the ease of doing business by removing the impediments to a conducive investment climate and cracking down on corruption. It is also implementing reforms suggested by the International Monetary Fund and World Bank. The country’s external debt, estimated at about $10 billion, will be cleared soon to unlock fresh lines of credit with major creditors such as AfDB, IMF and WB agreeing on a repayment plan of about $1,8 billion after which Zimbabwe will negotiate for access to low interest rates, long term lines of credit for retooling of industry and infrastructure development.

This will send the right signals to investors and improve the country’s credit rating. The country therefore appears on track for a major economic turnaround but just needs to put a few fundamentals in place to achieve the desired results. These include addressing the contentious issue of a high cost environment which is militating against the drive to improve the capacity utilisation of local industry.

The current ban on certain imports will soon be forgotten if the manufacturing sector comes to the party and floods the market. It is possible and can be done. Imported cooking oil has virtually been wiped off the market and other industries should follow suit. We just need to exercise a bit of patience with our industries and understand that they need our unwavering support to get back on their feet.