The Confederation of Zimbabwe Industries has described the Government’s sweeping review last week of levies, licences and permits for the agriculture sector as a turning point for farmers and agro-processors.
The most influential business member organisation said the reductions would ease costs, improve competitiveness and restore confidence in the regulatory environment.
CZI said a total of 96 regulations affecting livestock farming, livestock processing, dairy farming, dairy processing and stockfeed manufacturing were assessed, with 34 regulations eliminated and another 40 percent reduced by at least half.
“This is one of the most significant reforms we have seen in years,” the industry body said.
“For dairy farming, nine regulations were eliminated, while seven were cut significantly. In livestock farming, 45 percent of regulations were scrapped, immediately lifting a huge burden on producers.”
According to the CZI document, only 17 regulations were left unchanged, while one regulation, on somatic cell count testing, saw a modest increase. In several cases, compliance costs were slashed by as much as 99 percent.
The review found that Zimbabwe National Water Authority (Zinwa) accounted for the highest number of eliminations at 10, followed by local authorities with eight and the Environmental Management Agency (EMA) with seven.
The report also highlighted that at least 12 regulations that previously charged more than US$400 each were struck off, while levies based on turnover were capped to avoid punishing large firms.
“Removing disproportionate charges was critical,” CZI stressed.
“The size of a company does not automatically mean higher enforcement costs, and the new system finally reflects that reality.”
Finance, Economic Development and Investment Promotion Minister Professor Mthuli Ncube, in his press release, said the changes were part of the Government’s broader ease of doing business reforms.
“Farmers and processors have long raised concerns over overlapping inspections and costly permits,” he said.
“By cutting these levies, we are supporting productivity, boosting investment and aligning our policies with Vision 2030.”
Economist Dr Tawanda Mazingi said the reforms were a timely boost to the sector’s competitiveness.
“Agriculture underpins food security and exports. Through reducing regulatory costs, the Government is giving producers space to reinvest in capacity and technology. This has strong multiplier effects across the economy, from rural jobs to downstream manufacturing,” he said.
He added that the overhaul could improve Zimbabwe’s attractiveness to regional investors.
“It’s a signal that the country is serious about rationalising its cost structures, which has been a key concern for foreign partners,” Dr Mazingi noted.
For smallholder farmers in particular, the elimination of costly local authority permits and licensing fees is expected to unlock much-needed capital.
Agronomist Rudo Chaterera said the changes would have practical benefits on the ground.
“Previously, farmers were spending hundreds of dollars just to comply, money that could have gone into buying seed, feed, or veterinary products. With these savings, we will see higher productivity and better adoption of modern farming techniques,” she said.
Ms Chaterera added that livestock and dairy farmers stood to gain the most, given that nearly half of their regulations were either eliminated or reduced.
While the reform has been broadly welcomed, some in the business community urged vigilance to ensure consistent enforcement. “Policy pronouncements are encouraging, but uniform application at the agency level is what will determine success,” CZI noted.
Nonetheless, the industry body praised the Government for engaging stakeholders throughout the review process.
“The collaborative approach was crucial. It ensures buy-in from the private sector and lays the groundwork for future reforms,” CZI said.
The overhaul comes at a time when Zimbabwe is working to boost milk output, strengthen its livestock industry and expand agro-processing exports. Both Government and industry say the reforms could be a catalyst for growth.
Minister Ncube said: “The review removes unnecessary hurdles and will help position Zimbabwean agriculture for global competitiveness.”
CZI concluded in its report: “This reform is not an end but a beginning. Continued attention to infrastructure, energy supply and access to finance will be key to sustaining the momentum.” – Herald
