Business / Economy
Welshman Ncube's Zimbabwe Industrial Development Policy
22 Apr 2011 at 06:30hrs | Views
THE planned Zimbabwe Industrial Development Policy (ZIDP) for 2011-2015 should help restore the manufacturing sector's contribution to the gross domestic product (GDP) to 30% from the current 15%, the Minister of Industry and International Trade, Welshman Ncube, said Wednesday
If the plan is successful, the manufacturing sector's contribution to exports should also rise from 26% to 50% by 2015.
Government has identified four priority sectors as the pillars and engine for the ZIDP ' agro-processing (Food and beverages, Clothing and Textiles, Wood and Furniture); the fertiliser industry; pharmaceuticals; and the metals and electrical sector
These are sectors which can be developed without the need for massive amounts of capital resources, but which can be partly re-capitalised from the country's own resources, including the remainder of the Special Drawing Rights (SDRs) and local lines of credit being offered by local financial institutions
A Council for Technology Upgrades will be established to coordinate the crucial role of modernising industry's plant and equipment and to improve on its systems and quality of products in line with international best practice.
Government would review the import tariffs structure on the customs duty and Vat on industrial raw materials and packaging to level the playing field for locally produced goods.
Sources of funding and the modalities for the operationalisation of the institution will be completed within the first six months of the policy coming into force.
Welshman Ncube said, "We cannot talk of an industrial policy without talking of an agriculture policy because the two are intertwined. This includes other sectors that are key to the economy such as mining. We also need to improve on availability of statistics because business is all about numbers.
"If we are to move towards creating a vibrant, self sustaining competitive economy we have to create an environment that enables our goods to be competitive internationally."
If the plan is successful, the manufacturing sector's contribution to exports should also rise from 26% to 50% by 2015.
Government has identified four priority sectors as the pillars and engine for the ZIDP ' agro-processing (Food and beverages, Clothing and Textiles, Wood and Furniture); the fertiliser industry; pharmaceuticals; and the metals and electrical sector
These are sectors which can be developed without the need for massive amounts of capital resources, but which can be partly re-capitalised from the country's own resources, including the remainder of the Special Drawing Rights (SDRs) and local lines of credit being offered by local financial institutions
A Council for Technology Upgrades will be established to coordinate the crucial role of modernising industry's plant and equipment and to improve on its systems and quality of products in line with international best practice.
Government would review the import tariffs structure on the customs duty and Vat on industrial raw materials and packaging to level the playing field for locally produced goods.
Sources of funding and the modalities for the operationalisation of the institution will be completed within the first six months of the policy coming into force.
Welshman Ncube said, "We cannot talk of an industrial policy without talking of an agriculture policy because the two are intertwined. This includes other sectors that are key to the economy such as mining. We also need to improve on availability of statistics because business is all about numbers.
"If we are to move towards creating a vibrant, self sustaining competitive economy we have to create an environment that enables our goods to be competitive internationally."
Source - Byo24News
