Chronicle Editor
Pride Mahlangu, Business Reporter
THE Malawian market is ripe for Zimbabwean exports and local firms should tap into that country’s US$3 billion import spending, ZimTrade has said.
The national trade development and promotion agency recently conducted a market survey in Malawi, which showed good export opportunities for fast moving consumer goods, construction, furniture, household products, agricultural inputs and implements. Taking advantage of Malawi’s proximity and growing economy mainly on the supply sectors, local companies can grow national export earnings to about US$6 billion, said ZimTrade.
At the moment Lilongwe enjoys a trade surplus of about US$31 million against Zimbabwe. ZimTrade said its market survey has shown that Malawi’s retail sector was estimated at US$2 billion with more than 70 percent of that amount traded in the informal sector, which have less requirements than formal trade, making it a viable route to market Zimbabwean businesses.
Apart from the established retail sector that can accommodate local products, Zimbabwean enterprises can take advantage of the positive perception that some local brands have created in the Malawian market.
ZimTrade said Zimbabwean products were regarded as of high quality and positive feedback was received on some products such as biscuits.
“Buyers in the market implored that Zimbabwean suppliers should be consistent in supplying products as sometimes products run out, leaving retailers without products on the shelves,” said ZimTrade.
“This in turn creates gaps for competing products from South Africa and other countries from the region and beyond.
“Potential buyers indicated willingness to take products straight from the manufacturers or through distributors such as Brands Africa, Innscor, Pelletron (Zimbabwean) and Seven Seven (Malawian).”
ZimTrade also urged local businesses to take advantage of existing bilateral trade agreements between the two countries to increase exports with ease.
This comes as ZimTrade recently completed a market survey in Malawi, whose major objective was to explore products and services with market potential in Malawi as well as establish contact the potential buyers. The export promotion and development organisation intends to conduct two additional market surveys that will be scheduled for Northern Namibia and Southern Angola from 11-22 November 2019. The surveys will seek opportunities for Zimbabwean products in the building and construction, fast moving consumer goods and the horticulture sector. — @pridesinstinctz
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