A taskforce has been set up to inspect all retail shops operating in the country to establish their compliance with the Indigenisation and Economic Empowerment Act on reserved sectors of the economy.

Appearing before the Parliamentary Thematic Committee on Indigenisation and Empowerment this morning, officials from the National Indigenisation and Economic Empowerment Board said they had received 1 311 compliance applications to date, with 578 certificates issued thus far.

The applications are in line with a May 17, 2013 Government Gazette regulation making it mandatory for all local and foreign firms in reserved sectors to apply for indigenisation compliance certificates by January 1, 2014.

"With a view to enforcing compliance, a team comprising officers from NIEEB, our parent ministry (Youth, Indigenisation and Economic Empowerment), the ZRP (Zimbabwe Republic Police), local authorities and other key stakeholders will carry out an inspection of retail shops starting with Harare and spreading to all cities in the country," said NIEEB chief executive officer, Wilson Gwatiringa.

According to the regulations, sectors reserved for indigenous Zimbabweans include agriculture (primary production of food and cash crops), transportation, retail and wholesale trade, barbershops, hairdressing and beauty salons, employment and estate agencies and grain milling.

Other sectors are bakeries, tobacco grading, processing and packaging, advertising agencies, milk processing and provision of local arts and craft, marketing and distribution.

The regulations state that any person, including locals, who operates a business in reserved sectors without an indigenisation compliance certificate from January 1, 2014, will be guilty of an offence and liable to a fine and/or to imprisonment for a period not exceeding three months.

Tags: Indigenisation,