adminOliver Kazunga Senior Business Reporter
BULAWAYO-based electrical engineering firm, Leaford Electric Rewinds, is looking forward to tapping into the regional export market to boost its operations.
The company produces components such as industrial welding machines, current transformers, voltage transformers as well as power distribution transformers.
In an interview, the company’s technical director Orphan Bhiza said their products were also suitably designed for the regional market.
“We are anticipating penetrating the export market in Zambia and Malawi. Since 2010, we have been participating at trade showcases such as the Zimbabwe International Trade Fair and Mine Entra where we have managed to get enquiries from Zambia and Malawi which we are now following up.
“Our sales team was recently in Malawi making follow-ups on enquiries made during this year’s trade fair and because of the recently held elections in that country progress in that regard was slowed down. In Zambia, we are also making follow-ups,” he said.
As a result of the subdued domestic economic environment, the engineering company has not been able to meet some of its obligations.
Bhiza said Leaford has also not been able to secure tenders from large organisations such as Zesa, a development that was impacting negatively on the viability of the firm.
He said Small and Medium Enterprises and Co-operative Development Minister Sithembiso Nyoni had briefed them during a tour of the company on Friday that government recently made it a policy that 25 percent of state enterprises and parastatals’ tenders should be awarded to SMEs to promote their growth.
In a separate interview, Leaford engineering manager Sifiso Ncube said their company has the capacity to supply transformers to the country’s power utility, Zesa.
“We have the capacity to supply our products to big corporates like Zesa but the challenge we have is that our tender application to Zesa has been turned down.
“We don’t know Zesa’s criteria when awarding the tenders. We also think that if tenders continue to be awarded to companies that source raw materials outside the country that also contributes to externalisation of money circulating in the economy. Doing so means that we are actually supporting other economies. In the case of our company, we manufacture using as much locally sourced raw materials,” he said.
The indigenous engineering firm which employs 16 workers requires about $500,000 working capital to boost its operations.
Online Reporter