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ZIMBABWE must establish a one-stop export shop to cut red tape and costs of getting permits for companies intending to export goods to foreign markets if the country is to achieve its target of earning US$6 billion by 2023, Parliament heard on Tuesday.

Zimbabwe’s annual exports have for years been stuck below US$5 billion, a trend the country’s trade promotion body, Zimtrade and government now seek to reverse.

Latest figures from the Reserve Bank of Zimbabwe show that exports amounted to US$4.5bn in 2019, down three percent from 2018.

Zimtrade chief executive, Mr Allan Majuru, told the Parliamentary Portfolio Committee on Foreign Affairs and International Trade that companies currently go through numerous government departments, paying various amounts to get permits required before they can export their goods.

In the process, he said, they have to contend with bottlenecks that have the potential to stop them from venturing outside the country.

“Like what we are doing for investments, we need a one stop shop for exports where everything is done under one roof and even electronically to remove the human interface,” he said, citing an example where one company needed to go to three government departments under the same ministry to get export permits for one product.

The Committee, which is chaired by Honourable Kindness Paradza, was on a familiarisation tour of Zimtrade.

Mr Majuru said some government departments were not keen to remove some licence requirements as they were a source of cash for them, but in the greater scheme of trade, worked to the detriment of the economy.

Zimtrade has an ambitious target to double the country’s export earnings to US$14 billion by 2030 and contends that broadening of the export base through having more processed goods and venturing into new markets will help in achieving the goal. In 1992, the United States, United Kingdom and Germany used to be in the top 10 of the country’s export destinations, the bulk of which were processed goods, Mr Majuru said.

But in 2019, almost 50 percent of exports are going to neighbouring South Africa.

“So, if South Africa sneezes we catch a cold, so we need to diversify our export basket,” Mr Majuru said.

Worryingly, commodities and raw materials make up 85 percent of Zimbabwe’s exports, with the remainder being manufactured goods and horticulture. Mr Majuru said there was high demand in the western world for value added agro-produce from the country such as dried fruits, moringa products and processed avocados, among others.

This calls for a greater push for industrialisation, beneficiation and value addition if the country is to boost export earnings from its exports. Meanwhile, the country’s trade promotion agency is on a drive urging local exporters to take advantage of vast opportunities that exist in Malawi, Namibia and Angola to boost exports and generate the much-needed foreign currency.

ZimTrade has conducted market surveys in the above countries and has been recently disseminating the findings. Export opportunities exist in the horticulture, fast moving consumer goods, furniture, building and construction and services sectors.

ZimTrade’s market surveys specifically covered Lilongwe and Blantyre in Malawi, Northern Namibia (Ongwediva, Ondangwa, Rundu, Oshakati) and Southern Angola (Onjiva, Lubango). Validations were also done for Northern Namibia in Windhoek and in Luanda for Southern Angola. 

Mr Majuru said there was no reason for Zimbabwe not to ramp up exports into Malawi, Angola and Namibia as it enjoys cordial relations with all of them.

The relations are largely cemented by the countries’ common membership in Sadc. Bilateral relations between Zimbabwe, Malawi and Namibia also exist.-New Ziana/Business Reporter