Reviving the industrial sector, key to economic growth

Increasing capacity utilization of local industries is clearly a very important move that the country should undertake to boost the economy. It is pleasing and encouraging that Industry and Commerce Minister, Mike Bimha, recently noted that the countries' manufacturing industries were on a recovering path.

There are quite a number of fundamental economic growth enablers with infrastructure and agriculture sector being the major ones. Firstly, there is need for all farmers, who include communal, A1 and A2 farmers, to be productive on their farms in order to prop up the agro-based industries.

It is heartening that this year the Government managed to pay its farmers in time well before the first rains. This positive move will help to ensure that farmers purchase their farming inputs early before the 2015-16 farming season kick start. In addition, most communal farmers received farming inputs distributed under the Presidential Input Scheme on time. Small scale farmers who recently received tractors and irrigation equipment from the First Lady, Dr Amai Grace Mugabe, should make full utilization of the equipment in order to produce more crops which will help to enable revitalization of agro-based industries.

Revitalizing the industrial sector is in tandem with the five year economic blue print Zim-Asset. Zim-Asset advocates for the creation of employment on both farms and the manufacturing sector. Good quality production on farms will enhance food security and nutrition cluster of the blue print, Zim-Asset.

Secondly, an enabling infrastructure can spur and support the economic engine of the industrial sector. There is really need for the Government to ensure that major roads are upgraded and expanded while railway lines and locomotives are rehabilitated to allow smooth transportation of industrial goods. Efficient transport is a critical component of economic development as it links factors of production together in a web of relationships between producers and consumers in order to create a more efficient production matrix.

Infrastructure development is a big enabler of economic growth. It is necessary for the Government to pay the $15 million subscription fee for the country to access about $1 billion for infrastructure development from the African Trade Insurance Agency. It's a fact that a country with well developed infrastructure is conducive for business.

Energy is very important for developing any economy. The most direct role that energy plays is that of being an input to production. As a result, a situation without electricity leads to serious reduction in production.

Better electricity-related infrastructure can raise the efficiency and durability of machinery in industries. Furthermore, economic growth and development are closely linked to technological advancement. Hence, there is really need for sufficient electricity to fuel the activities of the industrial sector.

Good infrastructure in a nation entices both local and foreign investors. As it stands, there are foreign investors who are promising to assist in reviving different sectors of the economy. To start with, Africa's richest man from Nigeria, Mr Aliko Dangote, is intending to invest in Zimbabwe through cement manufacturing, power generation and coal mining. It is also inspiring that Zimbabwe and Russia have entered into a joint venture worth $3 billion platinum project in Darwendale.

It is imperative to note that major investment incentives in the country will be realized under value addition and beneficiation cluster of Zim-Asset.

Therefore, by restoring the industrial sector the country should be geared for more and more investors, thereby boosting the Gross Domestic Product of the nation.