ZITF A Ceremonial Event Or a Platform For Real Business

By Shingirai Vambe

The Zimbabwe International Trade Fair, a stalwart of the country’s economic calendar for over 60 years, has long been a platform for local and international businesses to converge and network. However, this year’s event in Bulawayo has highlighted the struggles faced by businesses in the country. Despite the presence of foreign countries such as the US, EU, and China, the fair was dominated by government stands, including the governing party’s, which has consistently scooped awards.

Bulawayo Mayor David Coltart noted that while the presence of government stands was necessary, there was a need to attract larger companies to make the fair a true representation of trade. The economic landscape in Zimbabwe has changed dramatically, with many businesses struggling to pay rentals and salaries. The rise of artificial intelligence has exacerbated the shutdown of companies, leading to retrenchments and austerity measures.

The city’s mayor emphasized the need for predictability, serious investors, and a focus on monetary policy, sanctity of contracts, dispute resolution, and rule of law. The mining and extractive industry has grown significantly over the past decade, but other sectors must be included to create a full economic circle. The Zimbabwe National Chamber of Commerce (ZNCC) must work on outlining the economic landscape, predictability and attracting serious investors.

Effort to get a comment from ZNCC CEO, Chris Mugaga were fruitless, he did not respond to the question sent on his mobile phone.

Economist Gift Mugano weighed in on the trade fair’s effectiveness, stating that the event needs to be more than just a ceremonial gathering. “I push ZITF to be a parastatal, so that fees are subsidized,” he said. “Imagine 3% only managed to sign business during the Trade Fair period, this is insignificant.”

Mugano highlighted that the high fees charged to exhibitors, including exorbitant costs for accommodation, are deterrents to genuine businesses. “Though private, these fees are enough as starting capital for a lucrative business entrepreneur,” he noted. He proposed that the trade fair should adopt a match-making symposium model, similar to China’s approach, to facilitate meaningful connections between businesses.

The results of this year’s trade fair were underwhelming, with 40% of exhibitors failing to sign any deals. Mugano attributed this to the lack of value added to the event, saying, “You might get lost, without value.” He also criticized the presence of local authorities and universities, which he said were more focused on tourism and souvenirs than showcasing productive capabilities.

The trade fair’s inability to deliver meaningful business deals raises questions about its relevance and effectiveness. As the event comes to a close, questions remain about the state of the economy and the ability of businesses to thrive in the current environment. With many companies struggling to stay afloat, can the trade fair truly showcase the potential of Zimbabwe’s economy?

“We have lots of Government stands and parastatals, Local Authorities and Universities. what will they be exhibiting? councils are failing to deliver to the rate payers, they can’t even collect refuse. considering the costs associated with the 1 week event, only to displaying their vision and mission statements at such an event and forum, shows our way of thinking,” added Mugano.

“They are going for T&S and holiday to Bulawayo in the name of ZITF,” explained Mungano.

Coltart further added, the annual exhibition is an important occasion that must be taken seriously, investor driven in an enabling environment, positive results will be seen.

Meanwhile, Professor Gift Mugano has expressed concerns over the letters written by controversial businessman Wicknell Chivayo to Eco Bank. Mugano described the letters as being in bad taste and questioned the oversight of the Reserve Bank of Zimbabwe (RBZ), suggesting signs of lawlessness in the country.

Mugano’s concerns highlight the need for transparency and accountability in financial dealings. The involvement of multiple banks and the RBZ’s oversight role are crucial in maintaining the integrity of the financial system. The controversy surrounding Chivayo’s letters raises questions about the stability and security of the financial sector.

“The situation warrants close monitoring to ensure that any irregularities are addressed promptly and transparently. Mugano’s concerns serve as a reminder of the importance of upholding the rule of law and ensuring that the financial system serves the interests of the people, not just a select few,” said Mugano.

Chivhayo was seen in Bulawayo with the President, Emmerson Mnangagwa during the ZITF, flanked with high security detail and government officials.

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