HARARE: Zimbabwe imported $2,51 billion worth of goods between January and June this year, representing a 13,3 percent decline on 2015. The decline in the value of imports comes after Government recently introduced legislation to restrict the importation of certain products. Latest trade statistics show that Zimbabwe imported a total of $2,51 billion worth of goods in the first half of the year compared to $2,95 billion imported last year.The value of exports over the same period also declined in the first half of this year to $1,126 billion from the $1,233 billion the prior year.
Trade balance, the statistics show, stood at a negative $1,403 billion in the half year against a negative $1,684 billion in the same period last year. The country imported goods worth about $6 billion last year while it exported only $3,5 million, leaving it with an unsustainable negative trade balance.
Zimbabwe relies on imported products for the bulk of goods consumed in the country at a time local industrial capacity is at low ebb. The domestic industry is finding it difficult to raise production or where production is happening, to compete with cheaper foreign products. This is because the equipment and machinery used by local firms and manufacturing industry is either too old or outdated, making them highly inefficient, resulting in high cost of production or product prices. According to the Confederation of Zimbabwe Industries 2015 manufacturing survey report, average capacity utilisation is at a lowly 34 percent.
