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VICE President Phelekezela Mphoko says every Zimbabwean should embrace the buy Zimbabwe concept to support the growth of local industries and the economy at large. In a speech read on his behalf by Industry and Commerce Minister Mike Bimha during the Buy Local Summit that ended here yesterday, VP Mphoko said the government would remain supportive of local procurement, which is essential in reversing the influx of cheap imports.
Zimbabwe has increasingly become a consumer market for cheap foreign products, which economists blame for stifling the viability of local industries.
This has resulted in a trade deficit of up to $3,5 billion annually with an average import bill of $7 billion — far beyond the country’s national budget of about $4 billion.
“I urge everyone to embrace the Buy Zimbabwe concept and encourage the Buy Zimbabwe Company to continue with its engagements to achieve a win-win situation,” said VP Mphoko.
He implored the business community to continuously engage the government and proffer suggestions that would contribute towards vibrant economic growth.
Earlier in his contribution, minister Bimha also commended Buy Zimbabwe for its efforts in conscientising the nation to play its role in economic development.
He said while the country was going through a difficult economic patch, it was encouraging that certain firms were regaining grip with their products slowly retaining dominance on the market.
The minister said unless Zimbabweans supported their own firms, the country would continue to export jobs and the much-needed foreign currency, drop capacity utilisation and growth prospects.
“We need to align our consumption patterns with balance of payment.
Let’s understand that local procurement has immediate stimulus effect and multiplier benefit to the entire economy,” said Bimha.
He said the government has lined up a number of measures to promote economic growth and foster import substitution.
The measures include enhancing competitiveness, licensing, manufacturing sector rebates and tariff reviews as well as pre-shipment inspections.
The government is finalising the setting up of a National Competitiveness Commission that will address the ease of doing business.
Pre-shipment inspection services have already started after the government engaged the French firm, Bureau Veritas, on a four year contract.
Bimha said the exercise was going to assist the country to curb an influx of substandard goods and promote quality consumption.
Meanwhile, the minister said the Tripartite Free Trade Area (TFTA) — a grand regional trade integration agreement signed by Heads of State a few weeks ago in Egypt — was an opportunity for Zimbabwean companies to boost their production capacity and tap the expanded market.
Online Reporter