Chronicle Editor
Oliver Kazunga, Senior Business Reporter
THE Lupane Business Association (LBA) is appealing for a Government bailout amounting to at least US$5 000 to increase its capacity to exploit the vast timber resource in the district.
The association is made up of locals who are into furniture manufacturing and also offers training programmes as part of its skills development and capacity building drive.
In an interview after a recent tour of the association’s premises by Finance and Economic Development Minister, Professor Mthuli Ncube in Lupane, LBA chairman Mr Leonard Moyo said they were unable to realise their potential due to funding constraints.
“We need at least US$5 000 to capacitate our operations, which have not been spared from the adverse economic climate the country went through in recent years. So far, we have got five trainers who are training potential entrepreneurs in furniture making.
“But because of the prevailing economic climate, we have scaled down operations as we cannot afford to buy timber for our trainers,” said Mr Moyo.
“Each trainer requires at least US$1 000 to buy two cubes of timber and this is expensive for us and we are appealing to Government to bail us out.”
The organisation has scaled down its operations because of the lack of financial resources to buy timber, which is a key raw material. Ironically, Lupane is home to a rich tick timber resource. Mr Moyo said at its peak the association churned out a number of graduates who are locals but because of lack of resources, a majority of them were not in business.
“Those that we trained we have also equipped with financial management skills through Empretec,” he said.
In his response, Prof Ncube said the association was one of the businesses that Government seeks to support through the National Venture Fund.
“I am impressed with what I have seen here (Lupane Business Association) and as Government we will make sure that this association benefits from the National Venture Fund,” he said.
In the 2020 national budget, Prof Ncube set aside $500 million towards a National Venture Fund aimed at supporting young entrepreneurs with affordable loans for their businesses.
LBA manufacturers products such as base beds, kitchen units, wardrobes, room dividers, chairs, coffee tables, among other household furniture products. — @okazunga
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