GOVERNMENT has set aside ZiG550 million to support the recently launched Zimbabwe Industrial Reconstruction and Growth Plan (ZIRGP) which addresses growth opportunities in the manufacturing sector by reducing production costs.

Speaking at a breakfast meeting in Harare yesterday, Industry and Commerce deputy minister Rajeshkumar Modi said his ministry chaired the Moving Up the Value Chain and Structural Transformation thematic area under NDS1, which sought to enhance the performance of the manufacturing sector by focusing on value addition and beneficiation of agricultural and mineral commodities.

Modi said the ZIRGP was prioritising 10 critical value chains, six of which were agro-based that included cotton, dairy and sugar, all integral to the country’s economic recovery and industrialisation efforts.

“In particular, we have prioritised 10 value chains, six of which are agro-based: cotton, dairy, fertiliser, leather, soya and sugar. These value chains are pivotal to achieving structural transformation and industrialisation, which are critical drivers of our economic recovery and our ambition to become an upper-middle-income society by 2030,” he said.

Modi revealed that the 2025 national budget has allocated ZiG$550,9 million to support ZIRGP's implementation, reflecting government’s dedication to fostering industrial growth.

He said an additional ZiG$100 million had been designated for industrial development finance, facilitating retooling and working capital for new projects.

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On climate change, Modi called on the manufacturing sector to adopt sustainable practices, emphasising the importance of a circular economy to enhance resource efficiency and minimise waste.

“We live in a world where climate change is no longer a distant threat, but current reality. As we strive to grow the manufacturing and commercial sectors, the resilience of these sectors is crucial, especially in today's unpredictable and dynamic business environment,” he said.