ZANU PF POLICIES RUIN GWERU’S INDUSTRIES
Zanu PF’s poor economic policies and corruption have caused the closure of several companies in Gweru, including Zimcast, Radar Castings, Kariba Batteries, Fort Concrete, and David Whitehead. These companies were wiped out due to Zanu PF’s harmful practices and replaced by Chinese companies. However, this change did not bring industrialization but instead led to further decline.
The deindustrialization of Zimbabwe began during the poorly implemented Economic Structural Adjustment Program (ESAP). ESAP was supposed to fix the problems caused by Zanu PF’s attempts to create a one-party state. This effort to establish a one-party state was driven by a desire for excessive power and a flawed belief in socialism, influenced by support from Russia and China during the independence struggle.
Zanu PF’s aspiration for a one-party state is a major reason for Zimbabwe’s deindustrialization. Additionally, corruption has accelerated this process. Corruption has been a problem since the 1980s, with several scandals, including the Paweni scandal in 1982, the National Railways Housing Scandal in 1986, the Air Zimbabwe Fokker Plane Scandal in 1987, the ZISCO Steel Blast Furnace Scandal in 1987, the Willowgate Scandal in 1988, and the ZRP Santana Scandal in 1989. These scandals show how deeply corruption is rooted in the system.
Corruption has a direct impact on deindustrialization. For example, the looting of companies like ZISCO by Zanu PF meant that these companies could not modernize or retool to compete globally. As a result, they lost business to cheaper, modernized imports from countries like China. This inability to compete led to the closure of many local industries.
Foreign investors interested in reviving looted industries face challenges due to Zanu PF’s demands for bribes and control. This discourages investment and prevents economic growth. Between 2013 and 2014, 4,610 companies shut down due to Zanu PF’s corrupt practices, reversing the progress made during the Government of National Unity.
Zanu PF prefers Chinese companies that do not pay taxes or comply with labor and environmental regulations. For instance, Huawei and other Chinese companies have been exempt from paying taxes and have mistreated their employees. This unfair competition makes it impossible for local companies to survive, leading to more closures and further deindustrialization.
The deindustrialization caused by Zanu PF has resulted in low productivity and low rentals, attracting churches to set up in former factories. This is a clear sign of the economic decline caused by Zanu PF’s policies.
The opposition believes that these problems can be fixed if they come to power. They aim to end corruption and create a favorable environment for industrial growth. Only then can Zimbabwe hope to reverse the damaging effects of Zanu PF’s rule and revive its industries.