20th Cabinet decisions matrix

Source: 20th Cabinet decisions matrix | The Herald June 12, 2019

Minister Mutsvangwa

1.0 Update on Cyclone Idai

Cabinet received its weekly update report from the Minister of Local Government, Public Works and National Housing, chairperson of the Cabinet Committee on Environment, Disaster Prevention and Management. Government and the UN have now come up with modalities to coordinate the various agencies providing humanitarian assistance to the cyclone-affected areas.

Furthermore, Government presented information and evidence of what transpired during the Cyclone Idai disaster to the ECOSOC delegation. The information gathered would be presented to the UN and cooperating partners from 24 to 26 June, 2019.

The meeting with the ECOSOC delegation noted that the current drought was exacerbating the food security of Zimbabwe. It was accordingly agreed that there should be a composite appeal which includes the drought and Cyclone Idai.

Cabinet has agreed to waive the usual procurement requirements in order to ensure that the permanent rehabilitation of roads and bridges can be completed before the onset of the summer season.

2.0 Zimbabwe National Industrial Development Policy (ZNIDP) 2019-2023

Cabinet considered and approved the Zimbabwe National Industrial Development Policy (ZNIDP) (2019-2023) as presented by the Minister of Industry and Commerce. The Industrial Policy is guided by the principles of value addition and beneficiation; export-led industrialisation; promotion of sustainable industrial development; gender mainstreaming; and modernisation as well as upgrading of industrial equipment and machinery.

The policy aims to attain the following:

a manufacturing sector annual growth rate of at least two percent per annum;

a 30 percent contribution to the national gross domestic savings;

a manufacturing value added growth of 16 percent per year;

a merchandise export growth rate of 10 percent per year; and

increased employment in the manufacturing sector to 20 percent by 2023.

Attainment of the goals of the Industrial Policy will be predicated on the following:

facilitation of financing for industrial development;

embracing the fourth industrial revolution;

establishment of industrial clusters;

pursuing the concept of Specific Economic Zones;

mainstreaming the devolution agenda into industrialisation;

fostering industrial competitiveness;

providing of fiscal incentives for the manufacturing sector; and

providing industrial skills training.

3.0 The Zimbabwe Local Content Strategy

Cabinet considered and approved the Zimbabwe Local Content Strategy which was presented by the Minister of Industry and Commerce. The Zimbabwe Local Content Strategy, which is a component of the country’s Industrialisation Policy, aims to promote local value addition and linkages through the utilisation of domestic resources. The critical strategic actions will include preferential local procurement, capacitation of local suppliers and capacitating research and development institutions; establishment of plants for the transfer of technological know-how.

More specifically, the Zimbabwe Local Content Strategy will help to:

increase local content levels in prioritised sectors from the current levels of approximately 25 percent to around 80 percent by 2023;

increase capacity utilisation in prioritised sectors from the current levels of approximately 40 percent to around 75 percent by 2023 and;

increase manufactured exports in prioritised sectors by 5 percent per annum.

4.0 Establishment of Gold Service Centres

Cabinet received and approved a proposal for the establishment of four gold centres as presented by the Minister of Mines and Mining Development. The Gold Service Centres will be established as follows: one in Silobela (Midlands); one in Mt Darwin (Mashonaland Central); Shamva (Mashonaland Central) and another in Penhalonga (Manicaland).

The centres will be operational by 1st October, 2019. Fidelity Printers and Refiners will provide the initial capital for the establishment of the gold buying centres, and also fund the capacitation of miners supplying the gold centres.

This should result in the application of better mining methods and increased recoveries. This development will result in gold centres being brought closer to the gold miners, thus facilitating increase in gold deliveries to the Fidelity Printers and Refiners.

5.0 Fuel Supply Situation

Cabinet was informed by the Minister of Higher and Tertiary Education, Science and Technology Development as Acting Minister of Energy and Power Development that the Fuel Supply Situation continued to register steady improvement.

6.0 Proposal for the Establishment of a Foreign Service Training Institute

Cabinet considered and approved a proposal by the Minister of Foreign Affairs and International Trade for the establishment of the Zimbabwe Foreign Service Institute. The Zimbabwe Foreign Service Institute will provide the training of a professional Foreign Service corps capable of articulating and executing Zimbabwe’s foreign policy, while effectively managing the external environment and acting as a think-tank for Government.

7.0 Upward Review of the Maize Producer Price

Cabinet considered and approved that the GMB Maize Producer Price of US$242 per metric tonne be payable to farmers in RTGS dollars based on the prevailing foreign currency interbank market rate. In this case, therefore, the maize producer floor price is thus reviewed upward from the current $726 to $1 400 per metric tonne based on the interbank market rate of US$1: $5,5. The review of the maize producer price does not translate into an upward adjustment in the retail price of mealie-meal since the GMB sells the maize to millers at a Government subsidised price.

Cabinet is appealing to business people not to increase prices as the GMB buying price has no impact on the selling price of mealie-meal

8.0 The AU/UN Wildlife Summit: Victoria Falls: 24-25 June, 2019

Cabinet received a report from the Minister of Environment, Tourism and Hospitality Industry on the AU/UN Wildlife Summit scheduled to take place from 24 to 25 June, 2019 in Victoria Falls. One of the key objectives of the summit is to boost investments in tourism and other wildlife-based economic sectors in order to ensure sustainable livelihoods for people in the countries represented.

The summit will also seek to come up with strategies to achieve desirable outcomes at the CITES event scheduled for the 2nd half of this year.