Zimbabwean authorities aim to reignite the economy through increased trade with the rest of Africa.According to the World Bank, Zimbabwe and Cote d’Ivoire will be among the main beneficiaries of the African Continental Free Trade Area (AfCFTA), which came into effect on January 1.A World Bank report says the two countries, which currently have among the highest trade costs on the continent, could each increase export earnings by 14% by 2035 if AfCFTA reduces non-tariff barriers and other trade costs.AfCFTA is being promoted as an opportunity by the Zimbabwean authorities. The state-owned Herald newspaper wrote in a December 2020 editorial: “At one stage AfCFTA might have been a threat, since we had fallen behind so many on the continent. We have now caught up a lot, even in just over two years of the Second Republic, and it is now an opportunity. We are on the right path and can grow with our continent, playing our part.”Tralac ranks Zimbabwe 20th in Africa in terms of overall performance, which is a combination of commitment and readiness.At 12th, Zimbabwe is ranked ahead of South Africa (27th) in terms of commitment, but is 39th in terms of readiness (SA is first).Zimbabwe has been planning for AfCFTA for some time, hosting a national strategy validation workshop in October 2019. Speaking during the opening session, African Union representative Beatrice Chaytor said Zimbabwe wanted to position itself as a regional logistics and transport hub.Speaking in 2020 at a sectoral planning indaba in Bulawayo, industry and commerce minister Sekai Nzenza told business leaders that revitalising key value chains would position Zimbabwe for greater gains under the AfCFTA. The key value chain targets include the agro-based value chain, pharmaceutical, textiles, leather value chain, bus assembly, SMEs development, tobacco, iron and steel and general engineering.“The ministry has been focusing on a number of strategies and legislative amendments in order to give effect to the Zimbabwe Industrial Development Policy. The priority is to create a favourable operating environment for industry through the ease of doing business,” said Nzenza.
