Local companies should be competitive: CZI

Tapiwa Mufukwa |  10 months ago | business

The Confederation of Zimbabwe Industries (CZI) says following the suspension of duty on basic commodities by government, local companies should up their game and be competitive so as to remain in business. 

In an interview with Capitalk 100.4 FM news, CZI president Mr. Kurayi Matsheza said the recent move by government will surely affect the local industry and has potential to sweep away progress that had been accomplished in reviving production in the country. 

Chairman of the board at Buy Zimbabwe Mr. Munyaradzi Hwengwere, shared the same sentiments, arguing that relaxation of import duties without supporting the local companies will bring unintended negative consequences. 

He said local companies with high local content should be incentivized because in RTGS terms and without arbitrage, Zimbabwe can easily be more competitive in the region and beyond.  

Meanwhile, products that will be imported duty-free are rice, flour, margarine, salt, milk powder, infants’ milk formula, tea (flavoured or not), petroleum jelly, toothpaste, bath soap, laundry bar, and washing powder. 

Consumers have welcomed Government’s decision to suspend duty on basic commodities to cushion Zimbabweans from price shocks occasioned by geopolitical developments in Europe and local speculative behaviour, which caused price increases and artificial shortages.