Govt to improve railway network says Mujuru

Vice President Joice Mujuru says the government remains committed to improving the railway network by rehabilitating 400 kilometres of railway track to facilitate the movement of heavy goods and raw materials in and out of the country.

The rehabilitation includes the installation of the signalling system throughout the whole network and procurement of more locomotives and wagons to align the National Railways of Zimbabwe to the objectives of the ZIM ASSET economic blue print.

In a speech read on her behalf at the official opening of the International Federation of Freight Associations for the Region Africa Middle East (RAME) conference in Victoria Falls, Vice President Mujuru said the rehabilitation of railway infrastructure will also relieve current pressure on the road network, adding that road increases transportation costs and erodes economic viability of the sector.

"Goods that would otherwise be transported more conveniently by rail are being moved long distances by road. In the case of Zimbabwe, most road transporters are foreign owned implying that there is a net outflow of capital on this account, while the local transport sub sector, notably rail transport operate below capacity.

"This has got to be reversed immediately in order to stem the current liquidity crunch in the money market," she said.

Transport and Infrastructural Development Minister Obert Mpofu emphasized the need for a sound transport infrastructure as it plays a vital role in attracting investment and doing business through improved access to regional and international markets.

"An efficient transport system contributes enormously towards reduced business costs, hence its importance towards increased trade competitiveness and trade capacity.

"This is particularly the case with Zimbabwe given its geographic centrality in Southern Africa where it is a major conduit to some important economic corridors," Dr Mpofu said.

RAME chairperson Basil Peterson said there is a need to put more emphasis on training as this is a crucial for the growth of the sector and urged his counterparts to work with government to promote relationships which will result in the creation of a conducive business environment.

"You can now walk away from the responsibility of changing rules of the game between the state and the industry," Mr Peterson said.

The three-day event is being attended by various experts in freight movement from across the region and is held annually.

This year's conference is running under the theme: 'Networking For Successful Interregional Trade Through Partnerships.'