Procure locally  manufactured goods, Govt depts urged

Thu, 23 Feb 2017 11:40:19 +0000

 

By BUUMBA CHIMBULU

GOVERNMENT is working towards ensuring that local suppliers have a fair market share by mandating all public sector departments to procure locally manufactured goods for all contracts valued at K3 million or less.

Government has also announced that it was revising the Citizen Economic Empowerment Commission (CEEC) Act to support local manufacturers.

Minister of Commerce, Trade and Industry Margaret Mwanakatwe said Government had issued a directive that all public sector departments should procure locally manufactured goods as a way to support local manufactures.

She was speaking at the public private roundtable meeting on local procurement and supplier’s development organised by the Private Enterprise Programme Zambia in Lusaka recently.

“This action is purely intended to assist local firms build their capacity to supply the required goods and services in line with Government’s aspirations to increase citizen’s participation in the economy,” she said.

Ms Mwanakatwe said Government believed that a well-developed local supplier system had the potential to contribute significantly to industrialisation through value addition.

She said engaging in value addition would enable Zambia move from being a net importer to net exporter.

Ms Mwanakatwe also revealed that Government was revising the CEEC Act to ensure that local manufactures benefitted accordingly.

The minister was responding to concerns raise by the Zambia Association of Manufactures (ZAM) president Rosetta Chabala that the Act needed to be revised for it to serve its intended purposes.

“The Act is being revised and I hope that I can share that with you and you can share your input to give it a push it requires,” she said.

Ms Mwanakatwe also observed that the Procurement Act was a huge elephant which ignored the value chain in many aspects.

Meanwhile, business linkages champion forum chairman Jackson Sikamo said consuming local products lessened import bill and improved Zambia’s balance of payments.

And Ms Chabala emphasised the need to revise the CEEC Act and ensure that it served its intended purposes.

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