Locals urged to form conglomerates

Forces, said the people should form companies that will grow into conglomerates.
“Our people should come together and form companies that are wholly owned by Zimbabweans because even proceeds from the 49 percent will end up in the country of origin with nothing going towards developing the country. Much of it is externalised.

“We have a lot of engineers and professionals who know how best to run companies. They should come together and form companies and not wait to work for foreigners. You go to Zimplats, it is black engineers who are working there, so what is stopping them from running those businesses,” he said.
President Mugabe was speaking at Murombedzi Growth Point to members of the Zvimba chieftainship who were discussing a proposal to create additional chieftainship in the district.

He advised the Gushungo clan to solve the issue amicably in conformity with the Traditional Leaders Act.
The President said although the Indigenisation and Economic Empowerment Policy guaranteed 51 percent equity to locals in all foreign owned companies, the remaining 49 percent was still too large and would ultimately benefit foreigners.

President Mugabe said people should approach banks for capital to start their businesses.
He said the country was losing a lot of money through foreign owned companies.

Cde Mugabe said people empowered through indigenisation should strive to maintain or surpass production.
The President gave an example of coffee plantations that he said should not be turned into maize fields.

The meeting was aimed at brainstorming on the feasibility of creating more chiefs in Zvimba following geographical transformations spawned by the land reform programme.
The area under Chief Zvimba is now too big to effectively administer.

The President said it was up to the Gushungo clan to agree on how many chiefs could be added in consultation with the Ministry of Local Government, Rural and Urban Development.
He said the chieftainship should not be a source of squabbles.

Local Government Minister Ignatius Chombo narrated the skewed land ownership structure in Zvimba that saw 399 white farmers occupying 86 percent of the land.

The Land Reform Programme addressed the imbalance and released more land to Zvimba people, meaning Raffingora, Mutorashanga and Banket were now under Chief Zvimba.
Mashonaland West Governor and Resident Minister Faber Chidarikire, said the issue should be resolved timeously.