Industrial value addition and beneficiation to spur economic development

By Davison Vandira

IN the wake of increased value-addition and beneficiation across the economy’s productive sectors, government has re-affirmed its commitment in strengthening industrial value chains for enhanced economic growth.

Several companies which include Delta Beverages, Varun Beverages, ZimPhos, Surface Wilmar and National Foods are currently expanding operations.

Following a successful financial year in 2021, as evidenced by increased economic activity that culminated in capacity utilisation soaring above 60 percent, with local products congesting shelves, government has set sights on expanding the scope of value addition and beneficiation.

Finance and Economic Development Deputy Minister, Honourable Clemence Chiduwa says value addition and beneficiation is a key element in the implementation of NDS1 hence funding will be availed to see this vision to fruition.

“As government we are very happy with the progress that we have made as a country in incentivising value addition which is key in Zimbabwe’s economic turnaround strategy,” said Hon Chiduwa.

Development economist Titus Mukove is optimistic that the value addition and beneficiation thrust will see the country moving up the ladder with respect to import substitution a key component to Zimbabwe’s development matrix.

He noted: “It is encouraging to note the level of import substitution by companies through spearheading value addition and this will serve foreign currency for other things that we cannot manufacture locally.”

With such increased real economic activity, economists are confident that Zimbabwe will meet the 5% GDP growth by year end.