exports story.jpgPlayers in the export industry are calling upon government to come up with a workable export recovery strategy aimed at solving the looming trade deficit for the economy.

This comes after statistics in the 2011 national budget showed the country is importing more than it is exporting.

Concern is being raised about the country’s trade deficit which has resulted in the economy becoming a net importer of goods and services, amid fears that the situation might result in further depressed revenue inflows.

Statistics in the 2011 national budget show that the country’s current account  deficit is set to widen from US$927 million last year to US$1,4 billion this year.

 

Stakeholders are worried that failure to solve production challenges  affecting the manufacturing sector will  adversely affect  efforts to facilitate a turnaround of export volumes.

Although the figures show that the overall balance of payment position is however expected to improve from a deficit of US$1,9 billion in 2009 to US$460 million by year end, the commitment by private sector and government to ensure an urgent recovery of exports is under the spotlight.

A stakeholder in the export industry, Mr. Alfred Kankulu says government and the private sector should focus on mobilising funds to purchase new machinery as well ensuring that the local industry can meet the requirements of local and external markets.

 

“We are  definitely concerned with the current depression, but it means we need to revise our efforts  to sustain key economic requirements,” he said.

While the mining and agriculture sectors of the economy are expected to play a crucial role on export earnings, stakeholders are also lobbying relevant authorities to introduce a financial rescue package for companies.

An industrialist, Mr. Calvin Mufunganzira, says industry should focus on value addition of primary goods to reduce the dependency on processed commodities from the external markets.

 

“Value addition is the way to go otherwise without that the industry we will continue to suffer,” added Mr. Mufunganzira.

 

The full scale recovery of the economy in  registering double digit growth  rates  as well as stable  operating conditions depend on adequate funding, but with the country becoming a net importer, there is need to control the influx of foreign goods, while promoting exports.