Industry and Commerce Minister Nqobizitha Mangaliso Ndhlovu has challenged the mining industry to reverse the US$2.5 billion import bill on manufactured goods, describing the current 85% procurement leakage as a “huge opportunity” for industrialisation and job creation, Mining Zimbabwe can report.
By Rudairo Mapuranga
US$30 Billion Opportunity
Addressing delegates at the Mine Entra Suppliers and Energy Symposium in Bulawayo, Minister Ndhlovu emphasised that local content must move beyond rhetoric to tangible action if Zimbabwe is to achieve its Vision 2030 of becoming an empowered and prosperous upper-middle-income economy.
Citing economic data showing the manufacturing sector contributing 16.8% to GDP and mining approximately 16%, Minister Ndhlovu projected a combined US$30 billion opportunity if the two sectors forged stronger linkages.
“Currently, we are still around US$16-17 billion combined,” he stated. “A US$30 billion opportunity is a combination of strategic economic synergies that we need to forge together, which we view as an accelerator to Vision 2030.”
The Procurement Challenge
The Minister highlighted that mining industry procurement stands at approximately US$3.4 billion annually, with only about US$410 million being spent on locally manufactured products. This means 85% of the value is leaking to foreign economies.
“For me, this is a huge opportunity because 85% is going somewhere. It’s creating employment opportunities elsewhere,” Ndhlovu said. “Economies there are investing in advanced technologies, and we are importing those technologies. I’m not too sure if we’re investing enough in upgrading those technologies.”
Citing President Mnangagwa’s recent call, he noted that Zimbabwe spends US$2.5 billion on imported manufactured products that could be produced locally.
“Why would we spend so much money outside the country, exporting jobs, exporting technologies, and opportunities in areas where we have the capacity to produce locally?” he questioned.
Digital Platform to Connect Buyers and Suppliers
To address the visibility gap preventing local procurement, Minister Ndhlovu announced that the Ministry, in partnership with Buy Zimbabwe, has developed a digital platform to list locally manufactured products.
“This platform will be available to those who want to procure, to know what products are available, where, who is selling what, and at what price,” he explained. “As that product comes into your production processes, into your mine, if you are buying higher local content thresholds, it also automatically upgrades your local content as a company.”
He added that discussions with Treasury are ongoing to establish appropriate incentives for companies supporting local production.
New Industrial Policy Underway
The Minister revealed that a comprehensive Industrial Development Policy will be launched by President Mnangagwa next Wednesday. The policy features a dedicated pillar on mines and mineral beneficiation, representing what he described as “the first time in a long time we have an industrial development policy that is very elaborate in the linkages between the mining sector and the manufacturing sector.”
Green Energy Transition and Policy Blind Spots
Turning to global shifts, Ndhlovu noted that geopolitical changes—particularly the US leadership transition—have affected the platinum group metals sector by reversing aggressive electric vehicle policies that had hurt catalytic converter demand. He urged Zimbabwe to invest in “industries of the future” rather than passively waiting for global trends.
The Minister also flagged policy blind spots, citing a manufacturer’s concern that importing steel sheets attracts duty, while importing complete hammer mills is duty-free.
“These are blind spots. When we put policies, some of these areas get missed, and we need to have these conversations going forward,” he said.
