Zimbabwe Defence Industries broke - Zimbabwe Situation

Zimbabwe Defence Industries broke

via Zimbabwe Defence Industries broke March 21, 2014 Zimbabwe Independent

THE bankrupt state-owned Zimbabwe Defence Industries (ZDI), a company that manufactures and supplies army uniforms, field equipment and ammunition for both the domestic and international markets, is now buying and selling scrap metal to keep afloat amid reports the majority of its workforce has been sent on forced leave.

ZDI was recently under siege from employees who had reportedly gone for seven months without salaries. Those still reporting for duty allege they are being forced work at the company farm. In an interview this week, ZDI managing director retired colonel Tshinga Dube said the company has been forced to diversify in order to survive.

“We are now buying and selling scrap metal from Ziscosteel (NewZim Steel), National Railways (of Zimbabwe) and other companies that have huge piles of scrap metal lying around in order to keep afloat,” he said.

Dube also confirmed his firm has been failing to pay its workers, but is in the process of rectifying the problem which is currently affecting the majority of companies in Zimbabwe.

“It is not true that we have not paid our workers for seven months, but there was a time when we could not pay them,” Dube said. “We have a backlog of three months and we have started disbursing some funds although the money is not enough.

“We are in serious problems because our main client, Zimbabwe Defence Forces, has not been buying weapons and our products are a bit expensive on the international market.”

He also said apart from suffering from the effects of sanctions, the company was also feeling the pinch of the prevailing liquidity challenges and high import duties levied on raw materials.

Problems bedevilling ZDI come amid reports that the company owns a 40% stake in the diamond mining company, Anjin Investments — a joint venture between Zimbabwe and China and one of the companies operating in the country’s Marange diamond fields. — Staff Writer.

 

COMMENTS

WORDPRESS: 10
  • comment-avatar
    Insider 4 years

    Could Tshinga DUBE be asked to explain what happens to the money which he obtains from selling off “redundant” army/police weaponry to at least two firearms dealers based in South Africa. They in turn sell it on to numerous customers throughout the world! I have no doubt some of these probably fall into “terrorist organisations! Maybe he should use some of this money to pay the wages of his employees. In fact it goes towards his “Pension”. From what I hear the SA authorities are aware of this little scam and turn a blind eye. Maybe they get a cut of the proceeds.

  • comment-avatar
    roving ambassador. 4 years

    they also got cheated by a Chinese agent when they tried to sell arms to the Tamil ,years ago. the Chinaman ran away with the money.
    They never learn, theGreat leader fell into the same trap. the Chinaman bought him a house and kept it as his own.
    There is not a single company that Zanu took over that has been a success.

  • comment-avatar
    jobolinko 4 years

    Dog eat Dog life until when?

  • comment-avatar
    Charles Chamunorwa 4 years

    We don’t need this ZDI company. How can the Zimbabwe Defence Forces waste tax payers money buying weapons when there is no war?

  • comment-avatar
    Daniel 4 years

    What government run company is not bankrupt??

  • comment-avatar
    gonzo 4 years

    pity they dont buy the goverment and sell them on

    • comment-avatar
      roving ambassador. 4 years

      THEY HAVE AREADY sold it to the Chinese.

  • comment-avatar
    NBS 4 years

    Are we surprised?

  • comment-avatar
    Yes 4 years

    “Problems bedevilling ZDI come amid reports that the company owns a 40% stake in the diamond mining company, Anjin Investments — a joint venture between Zimbabwe and China and one of the companies operating in the country’s Marange diamond fields” so where is the money really going obviously into the pockets of individuals nxa