Zimbabwe targets 5% annual manufacturing growth by 2030

THE Zimbabwe National Industrial Development Policy (ZNIDP) II is targeting annual manufacturing sector growth of at least five percent and an increase in the industry's contribution to gross domestic product (GDP) from US$7 billion to US$12 billion by 2030, a senior Government official has said.

The remarks were made during a high-level stakeholder breakfast meeting on the ZNIDP II (2026–2030) and the Consumer Protection Policy (2026–2030) held in Bulawayo on Wednesday.

Speaking at the meeting, Ministry of Industry and Commerce economist Mr Stevenson Dlamini said the new industrial policy is aligned with regional and international development frameworks aimed at accelerating industrialisation and economic transformation.

These include the United Nations Sustainable Development Goal 9, the African Union Agenda 2063, the African Continental Free Trade Area (AfCFTA), COMESA's Industrialisation Strategy 2017–2026 and the SADC Industrialisation Strategy and Roadmap 2015–2063.

At national level, the policy is anchored on Zimbabwe's National Development Strategy 2 (NDS2).

"The specific objectives that underlie the ZNIDP II are to create growth in the manufacturing sector, increasing the manufacturing growth rate from an average of 2,2 percent to over five percent annually by 2030," said Mr Dlamini.

"The second objective is to increase the contribution of manufacturing to GDP. The contribution to GDP must grow from US$7 billion to US$12 billion by 2030."

Cabinet last month approved the ZNIDP II, which will guide Zimbabwe's industrialisation agenda over the next five years in line with NDS2 targets.

The policy builds on the progress achieved under ZNIDP I (2019–2023) and the Zimbabwe Industrial Reconstruction and Growth Plan (ZIRGP 2024–2025).

Authorities say the policy seeks to promote sustainable and diversified industrial growth, improve productivity and strengthen competitiveness through accelerated investment in the industrial sector.

ZNIDP II is anchored on six key enablers, including increasing electricity generation capacity to more than 4 000MW by 2030, rehabilitation of rail and road infrastructure to reduce logistics costs, ICT-driven industrialisation and improved water infrastructure through dam construction and system upgrades.

The policy also focuses on diversified industrial financing through blended finance and public-private partnerships (PPPs), as well as streamlined commerce ecosystems to strengthen supply chains, market access and consumer protection.

Government is targeting an increase in industrial capacity utilisation from 51 percent to 60 percent by 2030, while manufactured exports are expected to rise from US$400 million to US$1 billion.

The manufacturing volume index is also projected to increase from 149,4 percent to 180 percent over the same period.

Mr Dlamini said the policy's six pillars include deepening industrialisation and value chain optimisation through mapping priority value chains, reducing import leakages and strengthening local procurement systems.

The policy further prioritises leveraging Zimbabwe's mining and agricultural advantages through beneficiation programmes, tax incentives and special economic zones for strategic minerals such as gold and lithium.

Spatial development and rural industrialisation are also key focus areas, with plans for provincial industrial strategies, industrial parks and aggregation of village-based production.

Digital transformation and artificial intelligence integration are expected to support industrial growth by reducing regulatory costs, promoting automation and supporting the growth of e-commerce, robotics and big data technologies.

Government also intends to strengthen linkages between industry and small-to-medium enterprises (SMEs) through mentorship, technology transfer, industrial clusters and local content development.

A target has been set for 60 percent of Government procurement to come from domestic suppliers.

Meanwhile, Mr Dlamini presented the proposed 10-year Local Content Strategy (2026–2035), which aims to raise local resource utilisation in manufacturing from 30 percent to 75 percent by 2035.

The strategy also seeks to increase industrial capacity utilisation to 75 percent while targeting 16 priority sectors including pharmaceuticals, textiles, dairy, leather, fertilisers, steel, automotives, furniture and lithium.

Key interventions under the strategy include preferential procurement under the Public Procurement and Disposal of Public Assets Act, fiscal incentives and enhanced opportunities for women, youth and persons with disabilities.

The strategy further promotes skills development, green industry initiatives and "make local, buy local, consume local" campaigns.

Government projects that the strategy will create more than 50 000 jobs by 2035, increase industrial output by over 25 percent and sustain GDP growth of five percent.

"Success depends on anti-smuggling measures, infrastructure, skills transfer, macroeconomic stability and strong agriculture-mining-manufacturing linkages," said Mr Dlamini.