Siphakeme .Mnindwa
Nqobile Bhebhe, [email protected]
BULAWAYO’S manufacturing sector is experiencing a significant resurgence, driven by substantial capital investments from leading companies such as Treger Group, Edgars Stores’ Carousel Manufacturing, Arenel, Datlabs, and Innscor Africa Limited.
These investments, focused on retooling and enhancing production efficiencies, are paying off, with companies reporting increased capacity utilisation, job retention, and export growth.
The re-industrialisation drive is a key pillar of the Government’s National Development Strategy (NDS), which aims to achieve an upper-middle-income economy by 2030.
Permanent Secretary for Presidential Affairs and Devolution, Engineer Tafadzwa Muguti, recently visited top companies in Bulawayo and noted that the Government’s business-friendly policies and incentives were yielding positive results.
As a result, Bulawayo is slowly regaining lost ground after years of failed attempts to reverse de-industrialisation and bring about sustainable business viability.
Treger Group, a shining example of Bulawayo’s manufacturing potential, has invested US$4,5 million in modernising its production plants.
Treger Group managing director, Mr Fitzpatrick Mawovera, stated: “We aim to be one of the leading manufacturers not only in Zimbabwe but in the region.”
He, however, appealed for Government intervention to regulate cheap imports and the informal sector, which provides unfair competition.
“However, there are issues that we would want authorities to look into. Cheap imports are coming into the country. We need that space to be regulated. The informal sector is growing and is unregulated, providing unfair competition,” he said.
Mr Mawovera appealed for further Government intervention in the rollout of industrial incentives to accelerate the retooling drive.
“We also want companies to be incentivised to employ bigger numbers and have access to cheaper loans to further retool factories,” he said.
The Treger Group has become the largest manufacturer of household, industrial and hardware appliances in Africa through its different divisions.
The group is one of the largest manufacturers of window frames, door frames, wheelbarrows, geysers, kitchen furniture, and painted and galvanised hardware to the building and allied industries. Its products are of high quality and conform to the Standards Association of Zimbabwe (SAZ) standards.
The company also exports to several countries in Southern Africa and beyond.
Carousel Manufacturing, another major player, has seen production units growing to 2 500 daily, up from less than 200 units a few years ago, following a US$1 million capital investment.
Director, Menfree Tanyanyiwa attributed the growth to an aggressive retooling exercise aimed at increasing capacity, efficiency, and product quality.
“We have been interacting with customers in the retail sector for the last eight or so years, and recently we went on a very aggressive re-tooling exercise, mainly aimed at increasing capacity, improving efficiency, and improving the quality of our product. That exercise is still ongoing,” he said.
“We still have a few more pieces of machinery that we want to acquire, and we are hoping that in the first half of the year, funds permitting, we will be able to source it.
“We are currently pursuing the Reserve Bank of Zimbabwe facility, and we are hoping to use the funds to acquire the last pieces of the machinery.”
On production, Mr Tanyanyiwa said the broader aim is to get back to 1999 levels when the firm used to produce 100 000 units a month, and expressed confidence in reaching the volumes. In terms of employment levels, the bulk of approximately 700 workers are females constituting 60 percent.
He indicated that upgrading the laundry machine was being prioritised at an estimated cost of US$260 000, and the cutting room solution at US$250 000.
President Mnangagwa’s commissioning of the new Baker’s Inn factory in the Belmont industrial area last year, where Innscor Group invested nearly US$30 million, is a testament to the Government’s efforts to revive Bulawayo’s industrial sector.
Eng Muguti noted that Edgars, which had downsized to about 30 employees, now employs 700 people in its Bulawayo plant, demonstrating the effectiveness of the Government’s policies.
“As we know, Bulawayo used to be the hub of industrial activity. One of the things we have seen is that Government policies are working,” he said.
Bulawayo’s de-industrialisation, exacerbated by Western sanctions, has been reversed, with several companies reviving operations and increasing production.
The Government’s assistance in retooling and diversifying operating models has led to significant job creation and economic growth.
The Ministry of Industry and Commerce’s allocation of ZWG509 million for implementation of the Zimbabwe Industrial Reconstruction and Growth Plan (2024-2025) will further enhance re-industrialisation programmes.
