Wednesday, September 05, 2012

NCC highlights need for local contractors

NCC highlights need for local contractors
By Kabanda Chulu
Tue 04 Sep. 2012, 19:40 CAT

THERE is a need to build capacity of local contractors if they are to compete effectively against foreign investors, says National Council for Construction (NCC) executive director Sylvester Mashamba.

In an interview in Lusaka, Dr Mashamba said the construction industry had remained among the biggest growth sectors of the Zambian economy, recording an average growth rate of over 17 per cent per annum over the last decade.

"But if the industry is doing well, who is benefiting because most Zambian
contractors and consultants will tell you they have not benefited since most works are given to foreigners. We need to build capacity so that in subsequent years we should be in a position to do most jobs being done by foreigners," Dr Mashamba said.

"Literally speaking, the industry is doing well but we have lost opportunities to provide for policies to build capacity on those successes hence the consequences are that most works are done by foreigners but in our (NCC) strategic plan, we have deliberate policies aimed at training certain contractors who we feel in the next three to five years, if supported continuously in terms of being given works, should be to able to build on financial resources and purchase equipment and plant machinery."

He said the 20 per cent mandatory requirement that should be given to local contractors in any road contract was commendable but required strict implementation.

"Ideas to promote local industry have been there for many years; for example, in 1969, KK (Kenneth Kaunda) pronounced that works amounting to K100,000 then would be reserved for Zambians and we did well but somehow we lost it and allowed foreign contractors to come in," Dr Mashamba said.

"As much as we support the 20 per cent requirement, what is key is implementation because even under the NCC Act, provisions are there to protect local industry but people tend to deliberately avoid implementation."

He also challenged Zambian contractors to rise to the occasion and execute quality works.

"We should not fail to implement laws aimed at promoting local contractors so that in the coming years we should point and say here are Zambians who have been promoted otherwise we shall have a situation where we have good pronouncements with no action," Dr Mashamba said.

"But also, there is this perception that tends to make clients think that giving works to foreigners is better because locals do not offer assurance of time, costs and quality of work."

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