Govt urges manufacturers to innovate, raise standards 

Source: Govt urges manufacturers to innovate, raise standards – herald

Nelson Gahadza

Senior Business Reporter

THE Government has challenged Zimbabwean manufacturers to continuously innovate and improve standards to remain competitive in an increasingly demanding global market, as the country seeks to consolidate gains made in promoting locally produced goods.

Finance, Economic Development and Investment Promotion Deputy Minister David Kudakwashe Mnangagwa, speaking at the Buy Zimbabwe ZimBrands 2026 Awards last Friday, said the Government was encouraged by the growing dominance of local products on retail shelves despite competition from imports, counterfeit goods and smuggled products.

“We now have 66 percent, that’s two-thirds of the products in all stores being Zimbabwean,” he said. “We understand how much of a feat that is, given where we have come from. Zimbabwe is a dollarised economy. Being competitive against imports, against counterfeit goods, against smuggled goods, and still being able to fill the shelves with two-thirds of our products is something to be proud of as Zimbabweans.”

Deputy Minister Mnangagwa said the Government’s focus was not only on economic growth, but also on ensuring meaningful economic development through industrialisation.

“From a Minister of Finance point of view, working in collaboration with the Minister of Industry, our main job, apart from making sure that there’s economic growth, is to ensure that there’s economic development as well,” he said.

He noted that industrial capacity utilisation had improved to about 56 to 57 percent since 2019, reflecting growing productivity within local industries.

Deputy Minister Mnangagwa said under the National Development Strategy 2, the government was targeting manufacturing to contribute 25 percent to gross domestic product from the current 18 percent, while manufactured goods should account for at least 18 percent of exports.

“This is a very deliberate plan by the Government. What we would want as Government is to make sure that the confidence and trust deficit that might exist closes,” he said.

Speaking at the awards ceremony, the Deputy Minister of Industry and Commerce, Rajeshkumar Modi, said local industries needed to adapt to changing consumer preferences, technological shifts and growing regional competition to sustain the momentum achieved under the Buy Zimbabwe campaign.

“Zimbabwean brands must therefore continue to innovate, improve standards, and remain responsive to market demands,” he said.

He noted that the country has recorded significant progress in increasing the presence of local products on supermarket shelves, with locally produced goods now accounting for more than 60 percent of shelf space, up from around 10 percent in previous years.

“We are encouraged by the progress that has been made in promoting local products. The increase in shelf space occupied by local goods, from around 10 percent to over 60 percent, is a remarkable achievement,” Mr Modi said.

He added that it reflects growing confidence in Zimbabwean products and shows that local industries are capable of competing effectively.

The deputy minister said industrialisation remained central to the Government’s economic agenda under the National Development Strategy 2 and Vision 2030, with authorities committed to creating a conducive environment for manufacturing growth and investment.

He said industries were critical in job creation and stimulating economic activity.

“Industries play a vital role in our economy because they create jobs. People get jobs, they get money, they spend money and that cycle starts to improve the economy and the livelihood for the people,” Deputy Minister Modi said.

He noted that supporting locally manufactured goods was also essential in reducing imports and preserving scarce foreign currency.

“Supporting our local products is very common in everything in the world. Everybody says they must support local products, so that we can save much more of the foreign currency and create more jobs,” he said.

The deputy minister also urged companies to position themselves to benefit from opportunities arising under the African Continental Free Trade Area (AfCFTA), saying access to wider export markets would depend on product quality and competitiveness.

“The global economy is evolving rapidly, driven by technology, changing consumer preferences, and increased competition,” he said.

“The African Continental Free Trade Area provides a major opportunity for our industries to access wider markets. To benefit fully, our businesses must continue improving product quality.”

Buy Zimbabwe chief executive Mr Munyaradzi Hwengwere said the country’s next challenge was increasing genuine local content in products to meet AfCFTA requirements and improve industrial competitiveness.

“Being able to build what is a Zimbabwean product, because that’s the challenge that we have,” Mr Hwengwere said.

He noted that products seeking access to AfCFTA markets were required to demonstrate at least 40 percent local content.

“The next frontier is the greater use of Zimbabwean insignia, but to attach that insignia to a local content threshold, so that we know that the Zimbabwean product is multiplied from the farmer all the way to the retailer,” he said.

Mr Hwengwere said Zimbabwe had made notable progress in food production but remained weak in higher-value manufacturing sectors such as electricals, vehicle assembly and mining consumables.

“We have done very well at foodstuff, but if you go to the higher value chain, we’re not doing well,” he said.

“If you look at mining, mining is growing, but only 12 percent of the mining consumables are made in Zimbabwe.”

He added that strengthening local content systems and introducing QR-coded insignia would help combat counterfeit products and build consumer confidence.

Meanwhile, research firm Topline Research Solutions said affordability, quality and product availability remained the main factors influencing consumer preferences for brands.

General manager Mr Patson Gasura said the company conducted a nationwide survey covering 1 610 households across Zimbabwe’s 10 provinces ahead of the awards ceremony.

He said more than 90 percent of the award winners aligned with brands most preferred by consumers.

“Price is the number one consideration by a significant 76 percent of Zimbabweans,” he said.

“Then you also have product quality. Almost 70 percent of the consumers say you’ve got to meet the quality bill.”

The survey covered 37 product and service categories and measured the brands consumers used most regularly in their households.

However, the awards saw several leading local brands emerging victorious across different sectors, with Seedco, ProFeeds, Windmill, Nyaradzo, Old Mutual, Cimas and CBZ taking top honours in agriculture and financial services categories.

In the FMCG sector, Zimgold, Pearlenta, Bakers Inn, Cerevita, Proton and Spuds were among the major winners, while Coca-Cola, Mazoe, Pfuko and Revive dominated the beverages categories.

Other notable winners included Black Label, Viceroy and Chicken Inn, while Pick n Pay and N Richards Wholesalers scooped retail awards.

Econet won both telecommunications categories, Dynamos FC emerged as the leading football team and Delta Corporation was named the Most Preferred FMCG company.

Innscor Africa Zimbabwe capped the awards by winning the prestigious ZimBrands Company of the Year Award.