‘Zim ca­pac­ity util­i­sa­tion to reach 50pc by 2021’

Chronicle (Zimbabwe) - - Business -

CA­PAC­ITY util­i­sa­tion lev­els in the man­u­fac­tur­ing sec­tor are ex­pected to grow by at least 50 per­cent by year 2021 through im­ple­ment­ing strate­gies in the In­dus­trial De­vel­op­ment Pol­icy (IDP) 2017-2021, per­ma­nent sec­re­tary in the Min­istry of In­dus­try and Com­merce Abi­gail Shon­hiwa, has said.

The IDP, which is ex­pected to be launched next year to re­place the 2012- 2016 doc­u­ment, is ex­pected to come up with a num­ber of strate­gies to boost in­dus­trial de­vel­op­ment.

Mrs Shon­hiwa said the 2017-2021 IDP is a doc­u­ment, which was de­vel­oped us­ing the last doc­u­ment, which did not fully meet its tar­geted pro­jec­tions.

“The man­u­fac­tur­ing sec­tor’s con­tri­bu­tion is ex­pected to in­crease to at least 18 per­cent by 2021, ca­pac­ity util­i­sa­tion is ex­pected to in­crease to at least 50 per­cent and an­nual growth rate in the man­u­fac­tur­ing sec­tor is ex­pected to grow to at least 1,5 per­cent dur­ing the life­span of this pol­icy.

“The pol­icy is ex­pected to fa­cil­i­tate de­vel­op­ment of the Zim­bab­wean in­dus­try to be­come a sig­nif­i­cant con­trib­u­tor to GDP, ex­ports and Gov­ern­ment rev­enues and cre­ate op­por­tu­ni­ties that at­tract both lo­cal and for­eign di­rect in­vest­ments in the dif­fer­ent sec­tors of the econ­omy,” she said.

Mrs Shon­hiwa added that the in­dus­trial de­vel­op­ment pol­icy frame­work is ex­pected to re­vive and give a new lease of life to the Zim­bab­wean in­dus­try.

“You will note from the con­sul­ta­tion’s pre­sen­ta­tion that this time around the pol­icy tar­gets have been made as re­al­is­tic as pos­si­ble given that the pol­icy tar­gets set in IDP 2012-2016 were to a large ex­tent not met be­cause most of them were too am­bi­tious and had not been set within the con­text of the cur­rent eco­nomic en­vi­ron­ment.

“The goal this time is to set achiev­able tar­gets tak­ing into cog­ni­sance the pre­vail­ing en­vi­ron­ment,” she said.

The 2017-2021 IDP is still un­der con­sul­ta­tion with towns such as Masvingo, Gweru and Bu­l­awayo hav­ing been con­sulted while other con­sul­ta­tions will be done in few weeks.

“The con­sul­ta­tion held re­vealed that chal­lenges cur­rently be­ing faced are sim­i­lar across all sec­tors, which re­quire so­lu­tions such in­no­va­tive ways of get­ting af­ford­able fi­nanc­ing for tar­geted in­dus­tries and syn­chro­niza­tion of Gov­ern­ment de­part­ments,” she said.

The pol­icy is also ex­pected to shield the lo­cal in­dus­try from un­fair com­pe­ti­tion.

“The other goal is to con­tinue pur­su­ing some pro­vi­sions within the cur­rent IDP whose im­ple­men­ta­tion had be­gun but could not be im­ple­mented within its life span be­cause of var­i­ous fac­tors.

Lead con­sul­tant on the IDP, Dr Gib­son Chigu­mira said the pol­icy is ex­pected to im­prove the per­for­mance of the man­u­fac­tur­ing sec­tor which is cur­rently be­low that of other sec­tors of the econ­omy. — BH24

Newspapers in English

Newspapers from Zimbabwe

© PressReader. All rights reserved.