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Dumisani Nsingo, Senior Business Reporter
GROWING fencing and security products manufacturer and supplier, Star Fencing has set sights on investing in the acquisition of state-of-the-art barbed and razor wire manufacturing machinery as part of its efforts to expand its business operations.
Star Fencing director Mr Samson Mugari said the company was looking forward to purchasing machinery for the manufacturing of barbed wire and razor wire this year, in a bid to increase the number of products it offers in its line of production.
“We are looking at procuring barbed wire as well as a razor wire manufacturing machinery early next year. The barbed wire manufacturing machine will cost us around US$16 000 and the razor wire producing machine is also estimated to cost around that region. Presently we aren’t manufacturing the two products but only supply them,” he said.
The Bulawayo-based company is into manufacturing of sliding gates, security and verandah bars, steel palisades, security screenings and carports and Jojo tanks.
Mr Mugari said the company had managed to grab a substantial niche market in the Matabeleland region despite the highly competitiveness of the fencing industry, which has seen the emergence of backyard players over the years.
“Business hasn’t been that bad this year as we have managed to keep the company’s going concern despite the numerous economic challenges prevailing in the country. We continue to ward off competition from bigger players and the ever-growing number of backyard enterprises through offering high quality products and advertising on both mainstream and social mediums to improve our brand visibility, which is part of our marketing strategy. Of course, currency instability continues to affect us as a business but we are quite optimistic the economy will be on the rebound soon,” he said.
Fencing products may witness a rise in demand due to the growing need for improving the appearances and value of the property.
Accelerating institutional construction spending is anticipated to favour the fencing industry growth. The increase in Government spending for enhancing parks, public places, and Government premises is further predicted to drive the demand.
Star Fencing has over the years been contracted by various institutions for the supply and erecting of fencing and security systems.
“The increase in the number of unlicensed contractors that use inferior products may act as a challenge for market expansion. The rise in the price of materials used, such as iron, aluminium, and wood, may restrict the industry growth over the next years,” said Mr Mugari.
Star Fencing was incorporated in 2005 and employs 14 people.
Bongani Ndlovu