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Farirai Machivenyika Senior Reporter
CHINESE Investments across all sectors have resulted in Zimbabwe’s current economic growth projectile, Zanu PF Secretary for Information and Publicity Cde Christopher Mutsvangwa has said.
A symposium to assess the impact of Chinese investments held on Monday, heard that China had invested over US$2,3 billion between 2019 and this year and creating over 100 000 jobs in the process.
Yesterday, Cde Mutsvangwa outlined how the investments had made positive impact in various sectors of Zimbabwe’s economy.
“The 2005 entry into the leaf tobacco sector by China Tobacco Company, the global cigarette behemoth rescued this crucial foreign currency earning sector from a fatal kiss of death. The vindictive pro-Western banks had pulled the carpet of funding capital from under our feet of myriads of new land reform beneficiaries.
“The leaf tobacco production recovered from 60 million kg in 2006 to over 200 million kg in 2022. And the price yield jumped from $2 per kg before land reform to current $4 average. And the largess is being shared by over 160 000 inclusive of small-scale farm holders who displaced a paltry 4000 large scale white colonial settler farms,” Cde Mutsvangwa said.
In mining, he said Zimbabwe also adopted the Chinese model of small to medium scale enterprises as it restored and legitimised gold production back to the once dispossessed African black majority.
“A lot of appropriate technology for small-scale gold miners is supplied by Chinese factories. Today 60 percent of national gold output of over 30 tonnes is from SME production,” he said.
In the energy sector, Cde Mutsvangwa said the Chinese had funded the Kariba South Hydro-electric Power station expansion and the on-going expansion work at Hwange 7 and 8 Thermal Power Station.
“The most exciting aspect being this is dependable baseload electrical energy that drives heavy demand by revived and growing mining processors and other large-scale industry. Funding is coming from EXIM Bank of China and other policy lenders of the Chinese Government,” he said.
He added that the paradigm game changer was the move into Zimbabwe by world class mining houses like Tsingshan Holdings Group as it re-introduces the Carbon Steel Ecosystem on a massive global scale.
“There are the Afrochine ferrochrome furnaces in Selous, the coke from coal oven batteries at Dinson Colliery in Hwange. The final step is the Manhize Carbon Steel Works. None other than President Mnangagwa recently superintended over the epochal ground breaking ceremony of the already 40 per cent complete construction of the global scale project,” Cde Mutsvangwa said.
The integrated project covers mining, processing and beneficiation, and is hosted by Midlands, Mashonaland East and West provinces, and is expected to create 14 000 direct and indirect jobs.
It is set to initially produce 600 000 tonnes of steel per annum and the output will rise progressively, transforming Zimbabwe into one of the world’s top steel producers.
“The tantalising lithium sector of Zimbabwe has witnessed a record of over US$700 million in mergers and acquisitions by top tier global class lithium processors. The migration from fossil fuelled mobility to electric battery and green energy transportation promises a bonanza to Zimbabwe.
“The combination of steel and lithium sectors will drive a bullish boom in the demand of electric energy, water infrastructure, port, rail and road logistics through Mozambique to world markets and direct to the 300 million consumers,” he said.
Zimbabwe is also cooperating with China in the planning, construction and management of the Special Economic Zones (SEZs) with the Chinese government, through the International Cooperation Centre (ICC) of the National Development and Reform Commission (NDRC), extended training to the Zimbabwe Government officials on the operationalisation and management of these SEZ.
He said the SEZ will mushroom producing world class goods and services made in Zimbabwe for the discerning global market place and create high-quality jobs for locals including the returning Diaspora.
“The citrus and fruit sector are poised to benefit from the huge Chinese market of 1,4 billion mouths. The protein sector is also in tow to benefit as both customs bodies of Zimbabwe and China sign requisite import-export protocols.
“The advent of affordable digital technology from likes of Huawei enabled our population to leapfrog into digital cellular, internet and financial inclusiveness,” he said.
On Monday, China’s ambassador to Zimbabwe, ambassador Guo Shaochun said when the West chose to abandon and humiliate Zimbabwe (through sanctions) China and Chinese enterprises chose to embrace Zimbabwe.
“China’s investment in Zimbabwe has made up for the shortage of funds and technology and other tough challenges faced by Zimbabwe’s economy. In this process, Chinese enterprises have also gained opportunities for development.
Our cooperation is highly complementary and mutually beneficial, which will deliver more tangible benefits to our peoples and support Zimbabwe to take an independent development path suitable to its national reality with more capabilities and confidence.
“No force, no smears can hold back the irreversible strides of China-Zimbabwe cooperation,” he said.
Online Reporter