Online Reporter
Sikhulekelani Moyo, Zimpapers Business Hub
THE Government continues to invest in measures to plug revenue leakages at Zimbabwe’s ports of entry, the most recent being the installation of cargo scanners to improve the efficiency of customs processes, a senior official said.
This was said by the Ministry of Finance, Economic Development and Investment Promotion Permanent Secretary, George Guvamatanga, at the recent Shipping and Forwarding Agents’ Association of Zimbabwe (Sfaaz)19th Annual Conference held in Bulawayo.
In a speech read on his behalf by the ministry`s acting deputy director, revenue and tax policy, Ms Memory Madondo, Mr Guvamatanga said the Government had invested and would continue to invest in modernising customs processes by adopting technology and digitisation to minimise delays, lower demurrage costs, improve customs operational efficiencies and enhance revenue collection.
Zimbabwe faces significant border revenue leakage, estimated to be billions of dollars annually, due to smuggling, corruption and gaps in border management systems.
This loss of revenue impacts the country’s ability to fund essential services and development.
“The Government has procured cargo scanners to ensure expedited clearances at the border. Currently, our major border posts are equipped with scanners,” Mr Guvamatanga said.
In 2017, the Government introduced the Electronic Cargo Tracking System (ECTS), to plug revenue leakages through the smuggling of commodities.
Mr Guvamatanga said the Zimbabwe Revenue Authority (Zimra)’s selectivity tools allow low-risk cargo to move faster, while high-risk consignments undergo a physical examination.
In this way, compliance is encouraged without overburdening traders.
“Countries must work together to create frameworks that promote trade while safeguarding revenue.
“This includes sharing best practices, harmonising regulations, and establishing Mutual Recognition Agreements (MRA),” said Mr Guvamatanga.
“In this regard, the MRA between Zimbabwe and Zambia is now at an advanced stage.”
Zimra, in 2024, launched an E-Tariff system, which simplifies processes, increases transparency and promotes efficiency.
These digital platforms streamline tariff classification, duty calculation and payment, leading to faster customs clearance, reduced compliance costs and better planning for businesses involved in international trade.
In his presentation during the same event, Zimbabwe Anti-Corruption Commission (Zacc) chairperson, Mr Michael Reza said Sfaaz played a critical role in promoting trade, handling about 95 percent of Zimbabwe’s commercial imports and exports.
He said the association played a crucial role in revenue collection, hence the need to uphold integrity.
“It is a point of bother that there is rampant and systemic corruption within your sector. Some Sfaaz members have become conduits for smuggling, under invoicing and false declarations, undermining our economy and depriving the nation of the much-needed revenue,” said Mr Reza.
Sfaaz chairman, Mr Assan Mtembo said their association had a zero tolerance to corruption, working hand in hand with Zacc, Zimra and the police.
He said it was not only Sfaaz members, who are found on the other side of the law, saying that they do legitimate business.
“Smuggling not only happens at the border. Through the border, we can talk of evasion, where people undervalue the invoices, but the major challenge we are facing is falsification of documentation and smuggling, which happens not through the registered points of entry,” said Mr Mtembo.
He said he had seen Zacc increasing roadblocks along the way.
