Online Reporter
Oliver Kazunga
Senior Reporter
The Government has launched an industrialisation drive aimed at substituting over US$4 billion worth of imports through increased domestic production, in a major policy designed to expand local production, create jobs and strengthen economic self-reliance.
The initiative is anchored on the yet-to-be-launched Zimbabwe National Industrial Development Policy 2 (ZNIDP2) (2026–2030), which sets out a comprehensive framework to transform the economy from one reliant on exporting raw materials and importing finished goods into a competitive manufacturing and export-led economy.
Addressing stakeholders at a policy engagement meeting in Harare yesterday, Industry and Commerce Minister Mangaliso Ndlovu said the new framework marks a decisive phase in Zimbabwe’s industrialisation journey.
“A central reality recognised by ZNIDP 2 is that Zimbabwe has more than US$4 billion worth of imports that can be competitively substituted through domestic production,” he said.
“This represents not a challenge, but an opportunity to expand local industry, create employment, strengthen domestic supply chains and retain value within our borders.”
Under the Second Republic led by President Mnangagwa, the country has adopted deliberate strategies to boost production to save foreign currency and grow local jobs.
Minister Ndlovu said the Local Content Strategy would be central to achieving this target, ensuring that local enterprises participate meaningfully in major economic projects and procurement systems.
“That opportunity is precisely where the Local Content Strategy becomes critical since it is the practical implementation lever of industrialisation as it seeks to prioritise local production in procurement systems, encourage sourcing from domestic suppliers and ensure that Zimbabwean enterprises participate meaningfully in major projects and investments,” he said.
The country has, in recent years, faced a significant outflow of value through imports of finished goods and limited participation of local firms in large-scale investments, particularly in sectors such as mining, infrastructure and energy.
The Local Content Strategy is designed to address this gap by leveraging Government procurement and major private sector projects to prioritise locally produced goods and services.
By strengthening domestic supply chains and increasing the role of local enterprises, the strategy is expected to drive industrial growth, create employment and retain value within the economy, while supporting the broader US$4 billion import substitution target under the country’s industrialisation agenda.
As part of the implementation plan, the Government has established a Local Content Steering Committee and introduced new monitoring tools to track localisation levels across the economy.
“In addition, we have developed the ‘Made in Zimbabwe’ catalogue, which clearly profiles locally manufactured products across all sectors of the economy.
“This initiative is intended to guide ministries, departments and agencies in their procurement decisions, thereby promoting local industry participation and strengthening domestic value chains,” said Minister Ndlovu.
In this context, the Government has also developed a digital monitoring system to improve accountability and ensure compliance with local content requirements.
The strategy, said Minister Ndlovu, ensures that industrialisation is not abstract; it is measurable, practical and embedded in everyday economic activity.
He added that the success of the programme would depend on collaboration between the Government and the private sector, particularly in scaling up production and investment.
“As Government, we have facilitated the policy formulation process. We have consulted widely. We have secured approvals.
“Most importantly, we have prepared a detailed, time-bound implementation matrix to guide execution, monitor progress and ensure accountability,” Minister Ndlovu said.
Against this backdrop, the minister said the country’s industrialisation agenda has now entered a transformation phase focused on industrial deepening, value addition, beneficiation and competitiveness under ZNIDP 2.
This comes at a time when the country’s manufacturing sector capacity utilisation has risen to 57 percent in the first quarter of the year, compared to 47,7 percent in the same period last year.
Minister Ndlovu recently said the rise in manufacturing sector capacity utilisation signals growing industrial momentum anchored on macro-economic stability.
“Zimbabwe’s industrialisation agenda is a national journey. That journey began with stabilisation under ZNIDP 1 (2019-2023), moved into reconstruction under the Zimbabwe Industrial Reconstruction and Growth Plan (2024-2025), and now enters a transformative phase under ZNIDP 2 (2026-2030),” he said.
Therefore, the Government is calling on the private sector to take the lead in driving production expansion and innovation.
Government believes the import substitution strategy will significantly reduce the import bill while strengthening domestic value chains across manufacturing, agriculture and mining-linked industries.
The policy shift is expected to position the country as a more self-reliant and competitive industrial economy over the coming decade.
