Published: 10 June 2013

Government has called on local companies to align their capitalisation programmes with the Industrial Development Policy so as to stimulate recovery and growth of the economy

 Acting President Joice Mujuru told guests at the official opening of the Bakers Inn Shepperton Rd facility, that efforts to upgrade and expand operations at company level were in line with the initiatives of the Industrial Development Policy, which among other objectives seeks to re-equip and replace obsolete machinery with new technologies for import substitution and enhanced value addition.

The policy also seeks to increase exports to SADC and Comesa regions. Mujuru said once there was an alignment, the entity can grow while the lives and fortunes of many Zimbabweans who benefit downstream from operations such as Bakers Inn, would be uplifted.

Mujuru added that government was committed to ensuring that there is a conducive policy frame-work for all businesses to thrive. She said: "I urge companies to engage in efforts to increase production of key raw materials in order for industry to keep production costs down", said Mujuru.

"Local manufacturing of basic inputs such as packaging and machinery spares will help keep the production cost down especially in the baking industry" she said.

She said she was aware that industry faces a host of challenges which include lack of long term, low interest finance to recapitalise and fund working capital. “Government will continue to work tirelessly facilitate the availability of funding at reasonable interest rates in order to stimulate recovery and growth."

Speaking at the same occasion Innscor CE John Koumedis said in addition to the two lines which had just been commissioned, the group will have two additional lines at a cost of $15 mln to bring the total bread capacity to $700 000.

He said the group intended to have put eight lines by 2015 bringing the total capacity to 1 mln loaves per day. The new lines which were commissioned increases the bread capacity to over 600 000 loaves daily, pushing the company's supplies to 25% of bread produced in the country.
- Financial Express

You might also want to read this

• Mujuru daughter files for divorce
• Mujuru tells candidates to fund their campaigns
• Mujuru says, 'Elections in shambles'
• Mujuru to win the presidential election on July 30
• Khupe snubbed Mujuru coalition proposal
• Of dark horses, spoilers and kingmakers
• Nkomo pledges to implement devolution of power
• Mujuru rally flops
• Poll surveys dubious, say Mujuru coalition
• Mujuru frets over lack of media coverage