SMEs Ministry welcomes India, Zimbabwe project
Business Reporter
THE Ministry of Small to Medium Enterprises has welcomed the Indo-Zim project, which was launched in Harare last week. The SME project saw the procurement of around US$4 million worth of high technologies from India for use by small and medium enterprises here. In a telephone interview with Herald Business last week, Small to Medium Enterprises deputy minister Mr Kenneth Mutiwekuziva said he was thankful that the two governments signed a Memorandum of Understanding in 2006 in which India pledged US$5 million to develop SMEs in Zimbabwe.
"I thank the Government for the ‘Look East Policy’ which brought about lucrative and unconditional relationships with the East," the deputy minister said.
"This is clear testimony that the East are an all-weather friend who helped us during our colonial era and continue to help us win our economic war.
"We are happy that all SMEs, from urban areas to rural areas will be boosted since President Mugabe clearly indicated that some of the machines will be installed for rural facility centres.
"Our banks and micro-finance institutions should interact with those from India to learn more about how best they can assist our small to medium enterprises sector like they do in their country. It is my wish that this co-operation be an on-going process as well as a mutually beneficial one," said Mutiwekuziva.
Some of the machines procured have already been installed at the Indo-Zim Technology Centre, which has branches at the Harare Institute of Technology, Bulawayo Polytechnic and Small Enterprises Development Corporation’s factory shells in Chitungwiza.
Speaking at the launch last week, President Mugabe urged SMEs to take full advantage of the project to produce quality and competitive products.
He said that the project would contribute significantly to the building of the country’s industrial base as well as developing technically qualified entrepreneurs to start up businesses.
It was high time SMEs moved in tandem with global trends from being traditional and general businesses to high-tech enterprises that would increase national wealth and reduce the apparent scarcity of foreign currency, President Mugabe said.
Indian was hopeful that the launch of the Indo-Zim Project marked the beginning of continued co-operation between the two countries.
The country expressed India’s wish to have companies from that side investing in Zimbabwe in sectors like power, railways, mining, energy, dairy and agriculture. The plastic, electronics, carpentry, railway and other heavy industries are set to benefit from this project.
Labels: Indo-Zimbabwe Technology Centre, MICRO-FINANCE, SMEs
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Major boost for SMEs
Herald Reporter
PRESIDENT Mugabe yesterday officially launched the Indo-Zimbabwe Project and state-of-the-art equipment worth about US$4 million procured from India for use by small and medium enterprises. Zimbabwe and India signed a Memorandum of Understanding in 2006 in which the latter pledged US$5 million for the development of the small and medium enterprises sector in the country.
Speaking before a gathering that included the Indian Ambassador to Zimbabwe, Mr Venkatesan Ashok, and senior Government officials at the Harare Institute of Technology, President Mugabe hailed the Indian government for its continued support and challenged SMEs to take advantage of the project.
President Mugabe expressed his sincere gratitude and that of the Government of Zimbabwe to the government of India for its continued support in the development of the SMEs sector in Zimbabwe.
The President said India and Zimbabwe enjoyed close and cordial relations dating back to the days of the liberation struggle.
"The machinery which we are launching today is worth more than US$3,8 million. Some of the machines have already been installed here at the Indo-Zim Technology Centre which has branches also housed at the Harare Institute of Technology, Bulawayo Polytechnic and Small Enterprises Development Corporation’s Chitungwiza factory shells," he said.
The Indo-Zimbabwe Project seeks to promote technology transfer by introducing new technologies like computer-numerically-controlled machines and other modern equipment for carpentry and metal fabrication.
India has provided precision high technology machines and measuring instruments for the training and manufacture of tools and dyes including computer-numerically-controlled machines used to impart training skills.
President Mugabe said the machines would be utilised by SMEs as common facility centres. Government plans to install such machines for rural facility centres.
President Mugabe said technological innovation has diversified in the global market and demanded SMEs to provide quality products and services.
He said the Indo-Zimbabwe Project would assist in building the country’s industrial base as well as developing technically qualified entrepreneurs to set up businesses.
"I would like to urge SMEs to take advantage of this project and produce quality and competitive products. It is therefore necessary that SMEs move from traditional and general type of businesses to high-tech enterprises that will increase national wealth and earn the country foreign currency," President Mugabe said.
He challenged SMEs to venture into new territories and pledged Government’s full support. President Mugabe said the equipment and machinery would also benefit large enterprises.
"For example, the plastic industry will certainly benefit since tools and dyes are made locally whilst mining, railway and other heavy industries will also benefit as spare parts and components required are manufactured locally. Local electronics industries are also set to benefit through the manufacture of printed circuit boards and the training of personnel."
He said Zimbabwe was excited about the project as it was poised to mould a new techno brand of SMEs which would contribute significantly towards saving scarce foreign currency. Mr Ashok said his country was aware of the importance Zimbabwe placed to the development of SMEs.
"This project has had a long gestation since 1996, when my government, under the aegis of G-15 co-operation, announced ‘a grant-in-aid’ of US$5 million for the development of SMEs in Zimbabwe. We wish to express appreciation to the Government of Zimbabwe and the Ministry of Small and Medium Enterprises Development for the co-operation extended to us," he said.
Mr Ashok said India and Zimbabwe had long ties as evidenced by the Asian country’s involvement in a number of activities in the country.
He expressed India’s wish to see companies from that country investing in power, railways, mining, energy, dairy and the agriculture sector and hoped the launch of the Indo-Zimbabwe Project would mark the beginning of sustained co-operation between the two countries.
Labels: Indo-Zimbabwe Project, Indo-Zimbabwe Technology Centre, MUGABE, SMEs
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‘Zim has capacity to create opportunities’
Herald Reporter
ZIMBABWEANS should not worry about searching for greener pastures outside the country as they have the capacity to work on their own to create these opportunities, Vice President Joseph Msika, has said. Speaking after touring the Indo-Zim Technology Centre at the Harare Institute of Technology yesterday, Cde Msika said Zimbabweans should take advantage and utilise equipment donated to the institute to economically develop the country. The project seeks to promote technology transfer by introducing new technologies in carpentry and metal fabrication in support of SMEs.
"The people, who are going to benefit from this centre should be committed to the development of the nation by seriously putting these machines to productive use," he said.
The Zimbabwean and Indian governments signed a memorandum of understanding in 1996 with India providing a US$5 million grant for the development of SMEs in the country. The grant has seen the establishment of the technology centre for the manufacturing of tools and components.
The Vice President hailed bilateral relations between the two countries dating back to the days of the liberation struggle, adding that the Indian government should continue supporting the Government in its economic development endeavours through SMEs.
"The Indo-Zim project is further proof of the close and cordial relations that exist between the Government of Zimbabwe and the Government of India (which) is in line with the Government’s Look East policy," he said.
Cde Msika also commended the Indian Embassy in Zimbabwe for working closely with the Government on development issues.
"Unlike other ambassadors from the West who are busy telling lies and destroying the image of the country, ambassadors from the East are working closely with our Government and are assisting developing nations across the world," he said.
He said the Indo-Zim Project seeks to promote technology transfer by introducing new technologies such as computerised machinery and modern equipment in carpentry and metal fabrication.
"This of course complements our Government’s policy to harness the potential of SMEs and empower them to operate as large enterprises. I am sure that this technology will speed up this empowerment process," he said.
He added that machinery worth more than US$3 million has already arrived in the country and was being installed at HIT, Bulawayo Polytechnic, Sedco, Chitungwiza Common Facility Centre and various other centres throughout the country. Cde Msika said 19 Zimbabweans have been trained in India in the fields of tool and die making, tool design and computer controlled technology.
"This training will ensure the smooth transfer of technology, which will contribute to the production of quality products at competitive prices by SMEs.
"Large enterprises are also set to benefit. For example, the plastic industry will benefit tools and dye, which can be made locally, and save foreign currency for the country," he said.
"Mining, railways and other heavy industries will also benefit as spares and components required can be made locally, utilising the high technology machines installed here and in Bulawayo.
"Local electronics industries will also benefit through the manufacture of printed circuit boards."
In a speech read on his behalf by the Deputy Minister of Local Government, Public Works and Urban Development, Cde Morris Sakabuya, the Acting Minister of Higher and Tertiary Education, Cde Ignatius Chombo said HIT was providing the nation with scientific and high level technical human resources.
He said the Indo-Zim Technology Centre is seen as critical in the Government’s efforts towards achieving the Millennium Development Goals by eradication of poverty and hunger through skills development and empowering of the marginalised groups of the society.
"This development is indeed a milestone for the institution and for the entire nation as it seeks to produce dynamic, innovative and entrepreneurial graduates richly endowed with knowledge and practical skills.
"It is our desire to have HIT become the leading institution for the development, incubation, transfer and commercialisation of technology and manpower development for rapid national industrialisation not only in this country, but the Sadc region as a whole," he said.
Cde Chombo said the collaboration arrangements and strategic partnerships between the Ministry of Small to Medium Enterprises Development and his ministry was long-standing.
"We currently collaborate in the Integrated Skills Outreach Programme which focuses on equipping our schools youths and adults with relevant knowledge and practical skills. This will help in wealth creation and productive economic activities such as building, carpentry, welding, piggery and poultry production."
Cde Chombo added that his ministry accepts the responsibility of training and developing skills in SMEs, hence, the decision to have HIT at the forefront of implementing the Indo-Zim Technology Centre project.
Cde Chombo said HIT’s training philosophy of integrated solutions for Zimbabwe’s industrial growth is based on the provision of trained, skilled and innovative manpower.
The Technology Centre will have three strategic units, namely, the Technical Training Centre, the Common Facility Centre (Production Unit) and the Small Medium Enterprises Services Institute.
The Minister of Small to Medium enterprises Development, Cde Sithembiso Nyoni, said the technology centre would see a revolution of the SMEs sector.
She said that besides the machines to be installed at HIT, Bulawayo Polytechnic and Sedco factory shells in Chitungwiza there were 34 other machines that would be distributed to growth points in the country.
"The installation of these machines will establish a techno-brand in the country that would benefit SMEs in the country and other SMEs from the region," she said.
The Acting Indian Ambassador to Zimbabwe, Mr Vijay Mehta emphasized his government’s commitment and importance that it attaches to the expeditious implementation of the project.
Mr Mehta said the machines sent from India would help in upgrading SMEs in Zimbabwe through the introduction of latest manufacturing technologies, which are currently not available in southern Africa, except South Africa.
"Zimbabwe could become a regional centre for high technology areas covering tool and die making and computerised technology in the Sadc."
Ambassador Mehta added that the project will also result in enormous benefit and large savings in foreign exchange for the country in many ways while mining, railways and other heavy industries will also benefit.
He added that over 500 youths could be trained annually at institutions of higher learning while another 200 youths, mostly school dropouts, could be trained in carpentry through Vocational Training Centres.
He added that the project would contribute significantly to the Government’s efforts to turnaround the economy.
Labels: Indo-Zimbabwe Technology Centre, SMEs
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SMEs sector development gets boost
Business Reporter
MACHINERY worth over US$2,5 million has started arriving in the country as part of the US$5 million grant from the Government of India for the development of the Small and Medium Enterprises sector in Zimbabwe.
At least 22 containers carrying 607 machines valued at US$2,8 million have already been shipped from India while five containers with 29 machines, worth over US$1 million have already been delivered to the Harare Institute of Technology.
One more container with 14 machines already in Harare is likely to be delivered to HIT by next week.
This follows the signing of a Memorandum of Understanding between the Minister of Small and Medium Enterprises Mrs Sithembiso Nyoni and Indian Ambassador to Zimbabwe Mr Ajit Kumar in June last year for development of the SME sector in Zimbabwe.
The MoU was meant to further strengthen the bilateral relations between the two countries and enhance the South-South cooperation. A few more containers are expected to follow while more sophisticated equipment such as computers will soon be sent by air.
The Government of India will also provide 40 computers and related equipment for Small and Medium Enterprises Service Institute and three vehicles will also be provided under the MoU.
In a statement Mr Kumar said the Government of India hopes that with the cooperation of the Zimbabwean Government in making available the facilities required for the successful completion of the Indo-Zim Project on SMEs, it will be possible to implement the project on schedule.
"The Government of India is very keen to start the work of installing the machinery as early as possible so that the Small and Medium Enterprises sector can play its rightful role in employment generation and contribute to the economic turnaround of the country for the benefit of the local people," he said.
Under the MoU, an "Indo-Zimbabwe Technology Centre will be established at HIT which shall also include a Small and Medium Enterprises Service Institute and an ‘India Technology Centre’ will be set up in Bulawayo at the Bulawayo Polytechnic."
The training programme at IZTC would include mould and die making, tool design, computer numerically controlled technology and CAD-CAM. The IZTC would assist Zimbabwe in developing technically qualified entrepreneurs for setting up small and medium enterprises.
The Government of India is providing at its cost, a cooperation package that would involve project planning, project coordination, supply, installation and commissioning of machining and equipment. The project will also infuse new technology such as CNC machining technology in the areas of manufacturing and machining.
An independent website will also be set up under the agreement and the website will carry information about the SME sector in Zimbabwe, Government policies and a detailed list of SMEs. The website will also interlink all the important trade bodies in Zimbabwe, such as Confederation of Zimbabwe Industries, Zimbabwe Investment Centre, Chamber of Commerce and the Small Enterprises Development Cooperation among others.
The website will benefit SMEs by enlisting them in various Government Departments and providing opportunities for procurement by Government agencies without middlemen. It will also facilitate contact with customers and organisations all over the world, especially in neighbouring countries for increasing business and trade opportunities.
Labels: INDIA, Indo-Zimbabwe Technology Centre, SMEs, THE HERALD
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