President Edgar Lungu has directed the Minister of Commerce, Trade and Industry Christopher Yaluma to ensure chain stores in the country prioritise local agricultural products in their localities. Yaluma is now expected to issue a statutory instrument – SI to implement the directive.
President Lungu emphasized that under the country’s current circumstances of COVID- 19 pandemic, only products that cannot be sourced from locals should be imported while efforts to produce more products locally within the country must be heightened.
In his third address to the national on COVID- 19 on April 24, 2020 monitored by the Zambian Business Times – ZBT, the Zambian president said the current situation should give Zambia an open window of opportunity for local farmers to produce and sell their products to chain stores that for a long time have denied them business and opted to import foreign products.
“I hope that once this is actualised, even after COVID-19, our farmers will continue trading with these chain stores. I encourage citizens to form cooperatives to ensure they meet quality and safety demand,” he added.
Lungu also highlighted that Zambia being a developing country is likely to be more economically hit economically, hence has instructed the Minister of Finance to pursue other options such as consolidating available resources in various empowerment funds to be disbursed to small businesses, women groups, youths and the most vulnerable that have been hit the hardest.
He said the Ministry should create a COVID- 19 economic recovery fund that will help existing businesses, especially affected small and medium size enterprises – SMEs to remain stable during this period and beyond adding that the K10 billion loan facility which is under the Bank of Zambia – BOZ could be part of the resources identified to this fund but that should identify other sources of funding to help beef up this fund so that many businesses benefit.
In order to create new businesses aimed at taking advantage of the void that has been created by reduced imports into Zambia because of COVID-19 lockdowns, Lungu further directed the Citizen Economic Empowerment Commission – CEEC to look at proposals for new bankable businesses that can be funded.
The Ministry of Agriculture is also instructed to encourage and support farmers to grow winter maize and engage in other agricultural activities to ensure the creation of new businesses during this period.
“Food security will be the biggest problem post COVID -19. I am directing the minister of agriculture and the minister of national development planning to collaborate with the private sector and develop partnerships to grow food for both domestic consumption and export markets. My government will help provide both financial and logistical support towards the programme,” President Lungu added.
In addition, the Ministry of National Development Planning is directed to draft a new climate change action plan to secure food production in Zambia in light of recent negative impacts of climate change.
All these directives will need implementation, so there is need to track the issuance of supporting legislation and regulation. One of the identified weaknesses of the Zambian government and its civil service is the slow pace of implementation as well as lack of follow through to monitor and hold respective officers accountable for failure to realize the targeted benefits.
