Maravi

(HERALD) No nationalisation: President

No nationalisation: President
From Hebert Zharare in Rome, Italy

President Mugabe yesterday said the Government will not nationalise foreign-owned companies, but will insist on the 51 percent local ownership on all companies according to the country’s indegenisation laws.

The President, who is the Head of State and Government as well as Commander-in-Chief of the Zimbabwe Defence Forces, said this while addressing Italian business representatives at a luncheon hosted by Harare’s embassy here

"We have not nationalised companies. We have many companies that are in the mining, agro-industry and manufacturing sectors. We will not nationalise them because that has not been our policy. We have our indigenisation laws that say for all the companies, at least 51 percent of it must be locally owned.

"This is the law we should apply in respect of all the new investments in the country. We have never offended against this pledge," said the President.

He assured Italian businesspeople that the Government would render whatever assistance to enhance foreign investment.

The President, who is here to attend the Food and Agriculture Organisation’s summit starting today, told the Italians that his office was always open to them.

He paid tribute to Italian businesses for their continued support during a time when some Western nations were vilifying the country and its leadership for implementing the land reform programme.

The land reform programme has economically empowered many Zimbabweans who have become proud owners of land.

"Before the land reform programme, about 70 percent of Zimbabwe’s arable land, was owned by a minority 4 000 whites.

"However, after the rationalisation of the land tenure system in the country, over 300 000 Zimba-bweans now own good farming land.

"Come and invest and make profit. You are aware that some European countries and America have imposed some sanctions on us. As for you, you have defied that because you know what is morally right. It is that understanding that we praise you for.

"During that time when others were imposing sanctions on us, you worked with us as if you were a humanitarian organisation because you wanted to see Zimbabwe grow," he said.

President Mugabe said there was no way the Government would seize their investments because it had no such policies.

He chronicled the history of the land reform programme and how it led to a bilateral dispute between Zimbabwe and Britain.

President Mugabe said his Government took the fast-track route after the British government under former prime minister Tony Blair had reneged on earlier pledges to support the programme by paying compensation for the land.

He said there was nothing wrong with taking land from white former farmers because it was done according to the laws of the land. After the British government had refused to pay for the compensation, President Mugabe said the Government was left with no option but to take the land from former commercial farmers.

He said Italian businesspeople should not fear investing in Zimbabwe because of land reforms.

The President told the delegation that the inclusive Government formed by Zanu-PF and the two MDC formations was working but reiterated that illegal sanctions were hurting the people.

He said it was unfortunate that some countries such as France joined Britain in the imposition of sanctions on the country.

President Mugabe said former French president Jacques Chirac failed to explain why his country was imposing sanctions on Zimbabwe. "He just said it’s unfortunate but we have to work as a group

(European Union)," he said.

The Italian delegation that met the President included the president of their International Chamber, Mr Gianni Simoncini, and his vice, Mr Alessadro Pigato.

Other members of the delegation were from the tourism, dam construction and farming sectors.

These included an old supporter of the liberation struggle in Africa, Mr Dina Forti. Mr Forti — who is now 94 years old — mobilised support for the liberation struggles in Mozambique, Zimbabwe, Zambia and other Southern African countries.

Earlier in the day, President Mugabe met FAO director- general Mr Jacques Diouf at the organisation’s head office. Briefing journalists after the meeting, Agriculture, Mechanisation and Irrigation Development Minister Joseph Made said the two leaders discussed what could be done to ensure food security.

Minister Made said President Mugabe paid tribute to FAO for helping the country raise US$70 million worth of inputs to assist about 700 000 smallholder farmers.

"Water provision is key to unlocking agriculture potential. It is against this background that it was agreed to make sure that no crop was lost after harvesting. About 40 percent of the crop is lost through post-harvesting problems," said Minister Made. He said a specialist had been sent to Zimbabwe assist in minimise post-harvesting crop losses.

An Italian company built Kariba Dam in the 1950s.

The President also attended mass at the Vatican.

Labels: NATIONALISATION

posted by MrK @ 12:09 PM