
MINISTER of Commerce, Trade and Industry Felix Mutati says Government is targeting to attract more investments worth about US$1 billion from China to increase Zambia’s capacity to produce finished and value-added products in order to compete favourably on the international market.
Mr Mutati said Government will take advantage of President Banda’s visit to China to entice about 10 companies to multi-facility economic zones that are being created in Zambia.
President Banda is next week scheduled to lead a delegation of ministers and business people to China at the invitation of that country’s President, Hu Jintao.
Mr Mutati was speaking during the launch of the Zambia Export Catalogue under the auspices of the Zambia Development Agency (ZDA) and Market Access, Trade and Enabling Policies Project (MATEP), a project under the USAID.
“When we travel to China, we are targeting to attract investments worth about a billion dollars. We want to attract 10 companies to enter the multi-facility economic zones. We are taking Zambia to a competitive level,” he said.
He said while in China, the government delegation is also expected to conclude deals in the energy and tourism sectors, among others.
Mr Mutati said China also has a contract with the ZDA to market Zambian products hence the need to increase production capacity of value added products, which can be floated on the world’s biggest market.
“We expect to conclude a major bio-fuel investment deal, two medium-sized hydro-electric plants and hotel development in Livingstone. And beside, these deals, there is already a contract with ZDA to market products because information has been the missing link in increasing our exports,” he said.
Mr Mutati has, however, urged Zambian entrepreneurs to take advantage of the regional market in countries such as the Democratic Republic of Congo (DRC) and Angola, among others, to export agricultural produce.
He said Zambia will soon conclude negotiating bilateral trade agreements with the DRC government to make that country one of Zambia’s biggest markets.
Mr Mutati disclosed that ZDA has funds available for Small and Medium Entrepreneurs (SMEs) wishing to expand as part of the export strategy.
Speaking earlier, ZDA director of exports Glyne Michelo observed that the export-led policies by Government have contributed to enhancing the performance of Zambia’s non-traditional exports which have expanded from US$68 million in 1987 to over US$1 billion in 2009.
Mr Michelo said Zambia’s export revenues in 2009 reached nearly US$4 billion, 70 percent of which constituted revenues from the export of mining products.
“Our non-traditional export revenues only represented 30 percent of our total export revenues but have been growing at a sustained level over five years at growth rates in excess of 18 percent per annum. We are beginning to remarkably reduce our dependence on copper,” he said.
He said the ZDA has so far recorded a total of 18 projects and investment pledges amounting to over US$648 million and that over two thousand jobs will be created once the investments materialise.
Mr Michelo said the catalogue is an added instrument of the ZDA to provide the business community with the desired information to help improve Zambia’s exports.
“It (Catalogue) is made to be a reference for would-be investors, exporters and importers. It is a torch-bearer in making informed choices.
It is an invitation to exporters, importers, administrators and anyone who has a bearing on export trade to provide us with information that would help us improve our exports,” he said.
[Zambia Daily Mail]