29 Jul 2014

The enactment of Industrial Development Act of 2006 has yielded several outcomes for the Ministry of Trade and Industry.

The Minister of Finance and Development Planning, Mr Kenneth Matambo, on behalf of the minister of trade, told Parliament that these included full decentralisation of the issuance of industrial licenses for small and medium scale manufacturing companies to Local Authorities, thereby taking services to the people.

He further said other outcomes were the introduction of an indefinite license requiring investors to only pay annual fees and being able to continue with business operations, rather than having to renew the licenses.

Also, he said, it resulted with exempt from licensing procedures for micro and small enterprises. “”The enterprises are only registered as per agreed guidelines,” said Mr Matambo.

He further stated that the enactment has led to the reservation of certain activities for citizens or companies wholly owned by citizens  thereby promoting citizen economic empowerment, and promotion of joint-ventures between citizens and non-citizens for manufacturing enterprises that fall within the medium to large scale categories, provided that the citizen partner holds majority shares.

“A total of 192 companies have set up in rural areas since the commencement of implementation of the Industrial Development Act,” he noted.

Shoshong MP Mr Phillip Makgalemele had asked the minister to state the outcomes realized following the enactment of the Act, the number of industries set up in rural areas, and strategies envisaged in future aimed at boosting industrialization in the rural areas. ENDS