Retailers reject CZI push for import licences on textiles

Ivan Zhakata

Herald Correspondent

THE Confederation of Zimbabwe Retailers has rejected a proposal by the Confederation of Zimbabwe Industries to introduce an import and export licence regime on textiles and clothing, warning the move would raise costs, weaken competitiveness and hurt consumers.

This comes after CZI submitted its request to the Ministry of Industry and Commerce on May 20, 2025, arguing that tighter import controls would help protect local manufacturers.

But CZR president Dr Denford Mutashu said the plan would have the opposite effect, disadvantaging formal businesses while giving smugglers and informal traders an unfair edge.

“We strongly oppose the proposed import permit intervention because it will increase costs and undermine the competitiveness of our products,” he said.

“This proposal contradicts the Government’s ease of doing business agenda, as it introduces a bureaucratic hurdle that does not promote business growth.”

Dr Mutashu said the licence system would prolong ordering cycles and disrupt supply chains, leaving customers to shoulder higher costs.

He also criticised the exclusion of retailers and wholesalers from the May 15, 2025, consultative meeting that shaped the CZI position paper.

“A key decision which affects the viability of the industry was made without engaging us,” Dr Mutashu said.

While acknowledging recent investment by David Whitehead Textiles in Kadoma and Chegutu, Dr Mutashu said local firms still lacked the capacity to meet demand for key fabrics such as lycra t-shirting, stretch denim and twill with spandex — which make up the bulk of retailers’ offerings.

He further dismissed claims that licences were needed to collect data on imports.

“All import records are already available through ZIMRA and the Ministry of Finance,” Dr Mutashu said.

CZR is instead calling for regular multi-sectoral consultations, stronger partnerships between manufacturers and retailers , and fiscal incentives to revive the cotton-to-clothing value chain.

“The African Continental Free Trade Area is opening markets across the continent,” Dr Mutashu said.

“We must prepare our industries for that reality, not weigh them down with restrictive import measures.”

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