The SADC market has great advantages that local exporters can take advantage of. Aside from the cost advantages its

logistical proximity presents, SADC region has a population of 277 million with a combined GDP of US$5 billion and a GDP per capita of US$3 343.80. SADC is therefore, a lucrative market and a stepping stone to the African Continental Free Trade Area (AfCFTA).

In a drive to grow Zimbabwe’s exports in the SADC region this year, ZimTrade, the national trade development and promotion organisation, has planned activities which include market surveys and trade promotion events in regional market, as represented in the infographic.

Compared to other trading blocs, SADC is Zimbabwe’s largest trading market, absorbing about 64% of total exports in 2018, with South Africa claiming a dominant share of 52%. This is an unhealthy situation which calls for us to urgently diversify markets within the region to spread risk.

The composition of Zimbabwe’s exports to the region were dominated by minerals (gold, nickel, chromium ores, ferro-alloys, platinum, granite), unmanufactured tobacco, cotton, sugar, cement, raw hides and skins, and wood products. Major imports were machinery,

TRADE DEFICIT REDUCES BY 110%

Disclaimer: ZimTrade strives to compile reliable, research-based information that is passed on to our readers in good faith. However, ZimTrade does not accept any responsibility for the accuracy of the information supplied, nor does it guarantee the status or reliability of any third party included in the Newsletter. Similarly opinions expressed by third parties in abstracts and/or interviews are not necessarily shared by ZimTrade. For more information about ZimTrade and its activities log on to www.tradezimbabwe.com

SEE STORY ON PAGE 2

Portuguese lessonsequipping exporters to take

on export markets.

Published by:

NOT FOR SALE.

April, 2019

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Source: Pexels.com

ZIMBABWE TO FURTHER EXPLORE THE SADC EXPORT MARKET

mineral fuels, vehicles, packaging material, fertilisers, iron & steel, telephone and chemical products among others.

According to ZimStat, Zimbabwe’s exports to the SADC region increased marginally by 4.4% from US$2.5 billion in 2015 to US$2.6 billion in 2018.

ZimTrade is, therefore, urging local companies to work on diversifying export markets and products within the region in order to increase Zimbabwe’s market share as the nation prepares for the implementation of the AfCFTA.

According to ZimStat, Zimbabwe’s trade deficit has decreased significantly from US$228 million in February 2018 to US$22 million in February 2019, which is a 110% decrease within the year.

Upcoming Surveys

Upcoming Fairs

Zambia (Lusaka and Copperbelt) 13 - 24 May 2019; Namibia, Angola and Mozambique.

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TRADE DEFICIT REDUCES BY 110%The report indicates an increase in horticultural exports, a sector that ZimTrade has targeted to increase exports. The horticulture sector’s contribution to total exports increased from 0.3% in 2018 to 0.5% in 2019, with the aggregate value of exports increasing from US$970 914 in February 2018 to US$2 million in February 2019. The increase was attributed to the export of new products such as bambara beans, shelled macadamia nuts, seed potatoes, kale, blueberries and seeds of cowpeas, among others. In addition, the growth in exports of products such as mushrooms, mange tout peas, green tea, carrots, beetroot, dried mixed vegetables, chillies and peaches, among others.

ZimTrade has lined up various projects to grow the horticultural sector and has actively participated in export promotion activities to market these products across the world. This has played a huge role in the increase of exports in the horticultural sector. One of the projects include the Best Model Farm project which seeks to further develop production, improve quality and diversify export products through the development of robust out grower schemes that involve small scale farmers.

Through a memorandum of understanding (MoU) with PUM, a Netherlands based organisation of senior expert consultants, ZimTrade continues to conduct expert missions to assist horticultural farmers. This partnership has facilitated knowledge and skills transfer for the horticultural sector. Since the signing of the MOU in 2016, more than 112 missions have been conducted with most of the beneficiaries being horticultural players. ZimTrade has also undertaken a programmes approach where PUM is assisting the macadamia, flower and berry value chains, as well as mushroom farming and value addition with small scale farmers. The partnership is working on facilitating the horticultural sector to migrate from predominantly air freight to sea freight. This will improve the competitiveness of the sector’s exports since ocean freight is 60% cheaper with less carbon foot print.

In addition, the processed food sector has reported a positive performance with the sector’s contribution to total exports increasing from 1% in Feb 2018 to 5% in Feb 2019. The actual value of exports in this sector recorded a sharp increase from US$3 million in February 2018 to US$16 million in February 2019. The increase was attributed to the growth in exports of cane or beet sugar in solid form, confectionery sugar, milk, cream and juices from fruits and vegetables.

ZimTrade CEO, Mr. Allan Majuru said, “Exports of consumptive goods such as fruits and vegetables have increased and if complemented by import substitution programs can lead to a decrease in the trade deficit. As ZimTrade we encourage small scale farmers to develop linkages that will enable them to take advantage of export markets.”Imports have also decreased significantly. The total import bill which stood at US$574 million in February 2018 decreased by 36% to US$370 million in February 2019.

ZimTrade continues its drive to energise Zimbabwe’s exports and sight different opportunities for local producers to contribute to the reduction of the trade deficit.

According to ZimStat, Zimbabwe’s trade deficit has decreased significantly from US$228 million in February 2018 to US$22 million in February 2019, which is a 110% decrease within

the year.

*Export figures as at February 2018 and February 2019 respectively.

ZIMBABWE’S IMPORTS AND EXPORTS (2018 V 2019)

ZIMBABWE’S EXPORTS COMPOSITION (2018 V 2019)

2018

2019

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April, 2019

A series of surveys were undertaken by ZimTrade in the Mozambique and Angola markets, where opportunities were discovered in sectors such as clothing and textiles,

agriculture inputs and implements, processed foods and mining supplies among others. As a follow up to these surveys, local companies were facilitated to participate in trade fairs and missions to exploit the identified market opportunities.

Over 100 local companies were facilitated to participate in missions and trade fairs in Mozambique from 2012 to 2018, where total business generated from these is well in excess of USD20 million.

The feedback generated from local companies that participated in the Mozambique missions and trade fairs showed that more business could be generated if communication challenges between the 2 markets were addressed. It was further pointed out by exporters that the cost of translating documents as well as the time taken to engage reliable interpreters was a long and costly process.

Given this feedback, ZimTrade facilitated Portuguese language lessons for 22 company representatives from Harare and Bulawayo. The main objective of this initiative was to create seamless communication between Zimbabwean exporters and potential Portuguese-speaking buyers. Participants were taken through a rigorous set of lessons that took place over a period of one month. The lessons were conducted daily to enable the participants to grasp as many basic concepts of the language as possible.

Participants welcomed the idea of learning a new language and indicated that the novel initiative taken by ZimTrade, was another way of facilitating exporters to access export markets in a practical way. ZimTrade was also encouraged to facilitate companies to learn other languages such as French to assist companies looking to penetrate French-speaking export markets such as the Democratic Republic of Congo (DRC).

Below is a diagram indicating the products with export potential in Mozambique, Angola and DRC. Should you want more information on these markets, get intouch with ZimTrade on offices on +263 242 369330-34 or visit www.tradezimbabwe.com

Wood Cane sugar Fish Seeds Packaging MaterialBlack TeaOranges Starter Batteries

Tobacco, tobacco substitutesPharmaceutical Products Meat and Edible Meat OffalsTextile Articles Sugar and Sugar ConfectionariesFurniture FootwearCottonFertilizers

Malt OrangesCane Sugar Cut Flower Fridges

PORTUGUESE FOR BUSINESS LESSONS Equipping Exporters to Take on Export Markets

Portuguese for business class.

Market Information: Portuguese and FrenchSpeaking Markets

AngolaDemocratic Republic of Congo

Mozambique

Source: ZimTrade

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April, 2019

FocusProduct

Sweet Potatoes

EU MARKETOver the past five (5) years, the consumption of sweet potatoes has doubled in Europe. There is a growing attention in organically produced sweet potatoes, but the volume and export quality are relatively volatile due to the difficulties related to their production. Zimbabwe has an opportunity to develop its exports of sweet potatoes in the EU market considering the rich soils and favorable climatic conditions allowing the sweet potatoes to be organically grown.

TRADE STATISTICS Total imports of sweet potatoes by the European Union (EU) increased by 85% from US$156 million in 2014 to US$289 million in 2018. The rising demand has been influenced by the growing interest in organic, exotic and ethnic food in the EU.

In 2018, the EU accounted for 51.2% of global imports of sweet potatoes. According to Trademap, the value of sweet potatoes imported globally recorded an average annual growth of 66% from 2014 to 2018, increasing from US$338 million to US$562 million. In 2018, the top importers of sweet potatoes in the EU included United Kingdom (149,735 tonnes), Netherlands (126,858 tonnes), Belgium (35,712 tonnes) and Germany (33,481 tonnes).

Zimbabwean products entering the EU market enjoy free access under the interim Economic Partnership Agreement ratified under the Eastern and Southern Africa countries. Local producers of sweet potatoes can fully utilise the duty-free quota- free access to the EU market for all qualifying products.

Zimbabwe sweet potato producers should meet the EU import requirements and standards if they are to penetrate the market. The requirements include food and health standards as well as packaging and labelling. ZimTrade, the countries export development and promotion organization, can assist farmers with market information and product specification in line with EU market and buyer trends. If you are interested in exporting sweet potato contact ZimTrade on +263 242 369330-34 or visit www.tradezimbabwe.com

The sweet potato (Ipomoea batatas) is a dicotyledonous plant that belongs to the bindweed or morning glory family, Convolvulaceae. Its large, starchy and sweet tasting. The product is high in vitamins, is said to improve blood sugar regulation as well as a source of iron, magnesium and potassium.

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KENYA

Kenya International Trade Exhibition1-3 August 2019E-mail: info@kicc.co.keWebsite: kicc.co.ke

MOZAMBIQUE

Maputo International Trade Fair (FACIM)25 August to 1 September 2019Tel: +258 21 427 151

SOUTH AFRICA

Africa’s Big Seven23-25 June 2019Tel: +27 11 266 3000E-mail: QuintonMollentze@dmgevents.comWebsite: www.africabig7.com

Source Africa12-14 June 2019Tel: +2710 599 6156Email: carla.daly@za.messefrankfurt.comWebsite: https://sourceafrica.co.za

ZAMBIA

Caminex4-6 June 2019Tel: +27 11 835 1565/ +2710 003 3059Email: carlys@specialised.com

Zambia Agricultural & Commercial Show31 July- 5 August 2019Tel: +260 977 76076/ +260211253415Email: acsz@iconnect.zm

GetIn Touch

ANGOLA

Luanda International Trade Fair10-14 July 2019Tel: (+244) 924 901 280 E-mail: geral@eventosarena.co.aogeral@filda.co.aoWebsite: www.filda.co.ao

ALGERIA

Algiers International Fair18-23 June 2019Tel: +213 2121 0123/25Email: FIA2019@safex.dz; dc@safex.dzWebsite: www.safex.dz; www.fia.safex.dz

BOTSWANA

Trade Up North30 July 2019Tel: +267 3922 153/ +267 7418 1955E-mail: info@tradeupnorth.co.bwWebsite: www.tradeupnorth.co.bw

Electra Mining Africa10-12 September 2019Tel: +267 397 5555Website: www.electramining.co.bw

Botswana Global Expo29 October- 1 November 2019Tel: +267 363 3300Email: info@globalexpo.co.bwWebsite: www.globalexpo.co.bw

DRC

DRC Mining Week19-21 June 2019Tel: (+27) 21 700 3500/ (+27) 21 700 3588E-mail: Kudakwashe.Tsingano@spintelligent.com

CHINA

China-Africa Economic Trade Expo18-20 June 2019Tel: +86 731 8528 1285/ +86 1867 0771 231Email: quanjuan1990@126.com/ wangnamei@tdb.gov.cn

ITALY

MACFRUT8-10 May 2019Contact Person: Valentina PiracciniTel: +39 0547 317 435 ext 212Email: valentina.piraccini@macfrut.comWebsite: www.macfrut.com

RUSSIA

Printech18-21 June 2019Contact Person: Ms. Yekaterina KivaTel: +7 499 750 0828 Email: Ekaterina.kiva@ite-russia.ruWebsite: www.printech-expo.ru

RosUpack18-21 June 2019Contact Person: Ms. Yekaterina KivaTel: +7 499 750 0828Email: Ekaterina.kiva@ite-russia.ruWebsite: www.rosupack.com

AFRICA INTERNATIONAL

188 Sam Nujoma StreetAvondaleP. O. Box 2738Harare, Zimbabwe

Tel: +263 (4) 369330-41

48 Josiah Tongogara StreetP. O. Box 3090Bulawayo, Zimbabwe

Tel: +263 (9) 66151/62378ZimTradeAlerts

ZimTrade Zimbabwe

www.tradezimbabwe.com

info@zimtrade.co.zw

HEAD OFFICE REGIONAL OFFICE ONLINE