THE business community has been urged to prepare for stiffer competition as the African Continental Trade Agreement (AfCFTA) comes into effect next year.
Speaking on the sidelines of the 12th Annual Conference of Speakers of African National and Regional Parliaments in Midrand, South Africa, David Munowenyu, who was representing Zimbabwe’s business community trading in Zimbabwe and South Africa, said imported products that were not competitive in the local market due to customs duties will suddenly become more attractive to the consumers, while new markets will also be opened.
“As you are aware, AfCFTA dictates that 90% of all tariffs will be removed by 2025. This means that businesses will face higher competition in the domestic market from new entrants starting next year,” he said.
“It is against this background that we urge players in business to buckle up and employ cost competitiveness across all sectors to defend business’ market share against current and future threats.”
Munowenyu added that a reactionary approach to the AfCFTA would be catastrophic for any business, potentially leading to poorly planned, emergent strategies that businesses will employ at the last minute as they see competitors making aggressive forays into their markets.
“Zimbabwe is a very peaceful country, endowed with many minerals as well as many resort places, naturally this will attract many investors from other countries which means that the local businessperson must be strategic to survive,” he said.
“Our agriculture is on the rebound, meaning that we will be food secure and it’s all the more reason for investors to flock to Zimbabwe,” Munowenyu, who has invested in emergency services as well as energy sectors, added.
The 12th Annual Conference of Speakers of African National and Regional Parliaments is running under the theme Educate an African Fit for the 21st Century: Building Resilient Education Systems for Increased Access to Inclusive, Lifelong, Quality and Relevant Learning in Africa.
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This is a clarion call to action towards empowering every African through capacity building based on access to relevant knowledge.
Pan African Parliament (PAP) president Fortune Charumbira, Zimbabwe’s ambassador to South Africa, David Hamadziripi, Finance, Economic Development and Investment Promotion deputy minister Kudakwashe Mnangagwa and Speaker of Parliament Jacob Mudenda were in attendance at the conference.
Vice-President Kembo Mohadi was the guest of honour.
It provided a platform for networking with other businesspeople from all regions and discuss various issues of trade and economic cooperation which include the energy sector, mining, health and infrastructure.
