Zimpapers Logo

Tinashe Makichi Business Reporter
The Zimbabwe Investment Authority is pursuing a Special Economic Zone (SEZ) status for its land in Beitbridge.

The investment authority had previously been scouting for partners to construct an industrial park on the land, but with the coming in of special economic zones, new ideas have been mooted.

ZIA chief executive Richard Mbaiwa, told The Herald Business that ZIA is looking for a SEZ status for the land, which is 5km from the Zimbabwe/South African border.

“We are still pursuing the SEZ status for our Beitbridge land and we think it is strategic. It is a project that is in our plans and it remains on the radar,” said Mr Mbaiwa.

The Beitbridge Industrial Park project was started in 1998 by the then EPZ Authority, which later merged with Zimbabwe Investment Authority to form ZIA.

Pre-feasibility studies done for the project are now outdated and requires redress as the authority awaits finalisation of the SEZ framework.

According to the scope of the project, the development of the park is to be done in four phases covering a total of 42 hectares.

First phase covering 10 hectares has been partly developed and some of the structures are being leased out to tenants.

ZIA, however, has been looking for investors to resuscitate development of the remainder of the project.

Plans have been developed and approved for current structures. ZIA is, however, willing to consider an alternative usage of the property.

ZIA is a statutory body mandated to promote and facilitate both foreign direct and domestic investment.

It was established by the ZIA Act Chapter 14:30 of 2006 pursuant to its objectives of promoting and facilitating investment, the authority developed an industrial Park in Beitbridge in 1998.

Meanwhile Government has so far identified three SEZs pilot projects, which are Bulawayo, Sunway City in Harare and the Victoria Falls.

In Bulawayo, the target is to create an industrial economic zone covering the beef and leather industry, cotton and textile, steel and foundry as well as the rehabilitation of the National Railways of Zimbabwe.

In addition, a tourism hub is targeted for the corridor stretching from Victoria Falls- Gwayi–Binga–Kariba, while Victoria Falls is targeted as a financial hub and Sunway City as a technology hub.

Incentives offered by the Government under the Special Economic Zones Act, include a rate of 15 percent tax on specialised expatriate staff and duty-free imports for capital equipment to be used in the designated areas.

In addition, inputs that include raw materials and intermediate products imported for use by companies set up in the SEZs will be imported duty-free.