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Charity Ruzvidzo Business Reporter
LOCAL companies have the capacity to produce high quality products to meet domestic demand and all they want is consumers’ support. Speaking during a media tour of companies, which is part of the ongoing Buy Zimbabwe campaign sensitisation programme in Bulawayo yesterday, companies’ representatives blamed the media for what they termed “negative coverage”.
Company executives drawn from big firms such as, Lobels, Ingwebu Breweries, Pretoria Portland Cement (PPC), United Refineries Limited (URL) and Arenel, said local industry was producing sufficient quantities but demand was disappointing.
The recent Confederation of Zimbabwe Industries (CZI) report also singled out weak domestic demand as a major bottleneck to the success of local firms.
“Lobels Bread has the capacity to meet local demand. We’ve a market share of 38 percent but we’re aiming at 48 percent by 2015,” said Lobels board member Ephraim Chaoneka.
URL chief executive officer Busisa Moyo said weak demand was making it difficult for local firms to grow as many people still prefer imports.
“Poor quality imports continue to flood the market and consumers rush for these products because of low prices. United Refineries produces good quality products which give customers value for their money,” he said.
Moyo said the company had the potential to meet local demand but the agricultural sector was not providing enough cotton seed.
“We’re using 40 percent of the local produce and import the remainder,” he said.
Biscuits and sweets maker, Arenel, managing director Joshua Lepar implored consumers to support local firms saying high demand for local products will force companies to increase production and create jobs.
“At its peak Arenel can produce 80 tonnes of sweets but it’s producing seven tonnes. We urge locals to support us as this helps create jobs,” he said.
Innotec executive officer Tidings Chaitezvi urged the media to report positively about the achievements of local firms to build business confidence.
“This tour is meant for the media to see production that’s going on at our local companies so that you can report about them positively.
“Often the media reports negatively because they won’t be having first hand information,” said Chaitezvi.
He said a lot was being done to revive Bulawayo companies and those that are operating are doing their best to produce for the local market.
Journalists were joined by representatives from the government on the tour that began with a visit to Lobels plant in Belmont where they were shown the new machinery bought by the company recently and taken through bread production stages.
The team then visited Arenel before going to PPC and URL, ending up at Ingwebu.
The company executives acknowledged that some of their machinery was old and needed replacement, which they said was only possible if consumers buy local products.
The weeklong campaign organised by the Buy Zimbabwe Campaign in collaboration with Innotec continues today with a business conference and awards session at Rainbow Hotel.
The seminar ends tomorrow with an exhibition by local companies at the City Hall.
Online Reporter