The Sunday News
Judith Phiri, Business Reporter
THE Zimbabwe National Chamber of Commerce (ZNCC) has called on Government to protect local industry from cheap imports which are flooding the local market.
The cheap imports are said to be affecting most of the sectors of the economy that include packaging, clothing and manufacturing, among others. Captains of industry who attended the ZNCC Matabeleland Chapter annual pre-budget consultation workshop held in Bulawayo on Thursday said Government needs to do more.
Covid-19
In an interview on the sidelines of the workshop, ZNCC Matabeleland Chapter chairman, Mr Mackenzie Dongo said there was need to make sure that all imports are taxed.
“We need to protect our local industries since we are coming from the Covid-19 pandemic effects and we are rebuilding our economy. We need to make sure that all imports are taxed because these products are flooding the local market, hence affecting industries that are producing some of these products locally,” said Mr Dongo.
He said there was need for the government to introduce punitive measures to curtail cheap imports flooding the market and rendering local products uncompetitive. Mr Dongo said there was need to put more emphasis on raw materials so that local manufacturing companies can be supported.
ZNCC Matabeleland Chapter vice president Mr Louis Herbst said for the 2023 National Budget, Treasury should consider setting aside a certain percentage of the funds for the revitalisation of Bulawayo industries to advance the city’s Gross Domestic Product.
“Treasury should allocate a certain percentage of the National Budget towards the resuscitation of industries in Bulawayo for it to be able to regain its former industrial hub status,” said Mr Herbst.
He said there was need to decentralise and have funding that specifically caters for industry resuscitation and retooling in Matabeleland. Mr Herbet said access to such funding would create employment and a number of opportunities within the region.
Gross Domestic Product
Looking at the tax regime and its implications on economic development, tax consultant, Dr Peter Mgodi said certain taxes were unfair. He said that, coupled with the Tax Refund System was causing delay in cash flows, thus negatively affecting business operations.
“It then seems like that taxation is biased towards maximising revenue rather than being fair.”
With the Zimbabwean economy projected to grow by 4.6 percent this year, resuscitation of Bulawayo’s mainstream industries remains critical in promoting the growth of the economy.
