Government scales up manufacturing industries revival efforts Minister Mangaliso Ndlovu

Michael Magoronga, Midlands Correspondent

GOVERNMENT has scaled up efforts to revive the country’s manufacturing industries, resulting in a number of deals being signed and some companies re-opening, Industry and Commerce Minister, Nqobizitha Mangaliso Ndlovu has said.

In an interview, Minister Ndlovu said industry revival was a key pillar as the country moves to attain a middle income economy status by 2030.

While efforts are being directed at re-opening factories across the country, the minister said increased focus was being given to Kwekwe companies, given their strategic role in the overall economy.

“We cannot ignore the fact that Kwekwe is an industrial hub, our focus is on the companies. We have not forgotten the people of Kwekwe,” he said.

Right in the heart of the country, Kwekwe is home to Ziscosteel, Lancashire steel, Zimchem Refineries, Zimasco, Olikem, Steelmakers and Africa Chrome Fields, to name but a few.

The minister said significant progress has been made towards the resuscitation of Zisco, which he said was on top of the list as it was an anchor company for many downstream industry operations.

“The opening of Ziscosteel is in the pipeline, but already the opening of ZimCoke points to a brighter future ahead. Government remains committed to the reopening of the country’s industries as witnessed by a number of companies that have started operations in the last couple of months,” said Minister Ndlovu.

“If anything, Government is more committed to the reopening of the country’s industries than ever before. The reopening of Ziscosteel has started as you are aware that ZimCoke have started the renovations of a coking plant within Ziscosteel and in no time operations will begin. That alone, spells the beginning of Ziscosteel’s reopening.”

Hopes are high that a deal penned in 2017, between Government and R and F, a Chinese firm to resuscitate operations at the defunct Redcliff-based steel giant in a $1billion deal, will materialize.

ZimCoke, which bought a coking plant within former steel giant in a $130 million deal, is expected to commence operations in September.

About 1 000 direct and indirect employees are expected to benefit from the company’s reopening. 

Minister Ndlovu said Government has adopted a holistic approach in the company’s revival strategy.

“Look at ZimCoke, if it opens, it also means that Zimchem, which relies on the company for raw materials, will be up and running. Zimchem has not been functioning due to lack of resources but the coming in of ZimCoke breathes life in Zimchem,” he said.

Besides Zimchem, the company has also committed to assisting Redcliff Council, which has been hit hard with a perennial water shortage, in the construction of a water treatment plant.

“That is the holistic approach that Government is taking where one company benefits the other and so on. Look at how many companies have benefited from the opening of one company,” said Minster Ndlovu.

He said although the Lancashire Steel deal had been temporarily put on hold, Government remains optimistic that a much more solid deal was going to come out.

“For now yes we have suspended the Lancashire deal after the investor failed to follow proper Government procedure. But that is not going to stop any other investor to come on board, that is if the Indian investors do not put their house in order,” he said.

Formerly the largest integrated steel producer north of the Limpopo, Zisco ceased operations at the height of economic challenges in 2008 resulting in more than 5 000 people losing jobs.

Minister Ndlovu said Government was making progress in the reopening of the regional giant.

You Might Also Like

Comments