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Bulawayo firms frozen out in BCC tenders

by Staff reporter
2 hrs ago | 53 Views
BULAWAYO councillors have expressed concern over the growing number of council tenders being awarded to companies from outside the city, warning that the trend is undermining local businesses and weakening the urban economy.

The concerns were raised during a recent finance and development committee meeting, where councillors called for urgent interventions to ensure that small and medium enterprises (SMEs) in Bulawayo benefit more from public procurement opportunities.

According to council minutes, councillor Mxolisi Mahlangu said the city needed a "deliberate effort" to educate and equip local SMEs with the knowledge required to successfully compete for tenders.

"He highlighted that the circulation flow of money within the city was critical, this would make the city economically viable," the minutes read.

Councillor Dumisani Nkomo proposed that council should establish clear timelines for implementing recommendations aimed at improving local participation in procurement processes, while also emphasising the need to engage the Procurement Regulatory Authority of Zimbabwe (PRAZ).

Another councillor, Meli Thobeka Moyo, supported the call for stronger local inclusion in procurement processes.

Finance and development committee chairperson councillor Mpumelelo Moyo said awarding tenders to firms from outside Bulawayo was "hindering economic progress in the City of Bulawayo".

The committee also heard that many local businesses were struggling to navigate the electronic Government Procurement (eGP) system, which is now used for all public procurement processes.

The eGP platform is a web-based system designed to automate and centralise the public procurement cycle.

Council chamber secretary Sikhangele Zhou said local companies needed targeted training and capacity-building initiatives to improve their competitiveness and ability to access tender opportunities.

"Local businesses had to be accustomed to using this system as most of them had indicated challenges in operating the system," she said.

Officials further recommended collaboration with organisations such as the Bulawayo Progressive Residents Association, which has previously supported efforts to assist local firms in accessing procurement opportunities.

Bulawayo's business community continues to face liquidity constraints, company closures and a shrinking industrial base, with stakeholders increasingly calling for procurement policies that prioritise local economic development and ensure money circulates within the city's economy.

Source - Southern Eye
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