Martin Muleya
Manicaland Province, once a thriving industrial hub in eastern Zimbabwe it has experienced massive deindustrialization over the past two decades.
The region which was home to a diverse range of industries including textiles, furniture and food processing has seen a significant decline in industrial activity.
The causes of this decline are multifaceted. One major factor is the poor management of the economy characterized by high inflation, foreign currency shortage and power outages. These challenges have made it difficult for businesses to operate efficiently, leading to factory closures and job losses.
In an interview with journalists on the sidelines of a Ministry of Industry and Commerce 2024 Strategic Planning workshop at a local hotel yesterday, Manicaland Minister of State Misheck Mugadza who was represented by Director Economic affairs and Investment Munyaradzi Rubaya explained that the province was experiencing massive deindustrialization, attributing this feat to economic sanctions.
“As a province we are experiencing massive deindustrialization from the 1990s up to early 2020s mainly due to economic sanctions and a myriad of other challenges. But the main cause of deindustrialization was economic sanctions after the land reform programme. We have seen major industries closing down such as Karina textiles, Mutare Board and Paper Mills among others,” said Mugadza.
He said that what was pleasing was that the province had a massive appetite of investors with an aching desire to invest in value addition sector. Mugadza highlighted that already Mega market had set up a US$25 million flour processing plant.
Plans are afoot to establish an Avocado Processing Plant (AVACO) in the province.
The lack of investment in infrastructure and technology has hindered the growth of industries in Manicaland. Outdated machinery and equipment have made it difficult for businesses to increase productivity and become competitive.
“The major challenge is we still need to work on some of our legislation especially the by-laws so that they are more investor friendly. As a province we are taking steps to improve the investment climate. We have already set up an investment committee that includes local authorities and various players in the investment proceeds to come together and assist our investors. We are working very closely with our local authorities so that they relook into some of their processes especially issuing permits for construction among others,” added Mugadza.
Speaking at the same occasion the Minister of Industry and Commerce Mangaliso Ndlovu who was represented by his deputy Raj Modi reiterated that the Zimbabwe Industrial Reconstruction and Growth Plan (ZIRGP) 2024-2025 will address the immediate challenges in the manufacturing and commercial sectors while laying a solid foundation for accelerated industrial development.
“It is imperative that we closely monitor the multifaceted environment within which our industries operate. This includes a thorough understanding of not only the domestic macro-economic landscape but also the dynamic global developments that impact our economic activities.
“Our Ministry must continue fostering robust collaborations with various Ministries, Departments and Agencies (MDAs) the private sector and academia. By cultivating innovative strategies and climate-smart solutions we can effectively address the intricate macroeconomic challenges confronting our industries on the domestic front,” explained Ndlovu.
The effects of deindustrialization in Manicaland province have been far-reaching. Thousands workers have lost their jobs, leading to widespread unemployment and poverty.
While the road to recovery will be long and challenging, there is hope for the resurgence of industry in Manicaland. With the right support and investment, the region can once again thrive as a hub of industrial activity.
The five day strategic workshop is being held under the theme ‘Moving the economy up the value chains and structural Transformation’.
