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Trade & Industry
lar area of interest is the recycling of waste and the
production of steel suitable for manufacturing equip-
ment.
Opportunities are available in the following priority
areas, which also attract fiscal incentives:
•$gro processing including fertili]ers, soil condition-
ers, pesticides, and herbicides
•3rocessing of food, beverages, and forest products
•Cotton \arn, fabric, and garments
•/eather and leather products
•:ood and wood products, paper products, and
packaging
•3rocessing of metals including the smelting and
refining of copper
•Machiner\, iron, and steel products
•Electrical and electronic products including ,CT
and transport equipment
•3rocessing and polishing of gemstones and Mewelr\
making
•3lastic, glass, and rubber products
•3harmaceuticals and related products
•3rofessional medical and scientific products and
measuring devices
•Chemicals and petrochemicals
•Cement and e[plosives
Processed and refined food and
bev
erag
es
One of the most successful subsectors in the manu-
facturing industry, food processing and refining, cov-
ers both large and small-scale industries. The pre-
mier export earner in this sector is the sugar industry,
with other important industries involved in grain mill-
ing (both maize and wheat), carbonated soft drink
production, clear and opaque beer brewing, and the
production of cooking oil. The growing and process-
ing of oilseed is becoming increasingly important,
and the production of seed oil has been stepped up in
light of the current high demand on the local market.
Fresh produce currently being processed includes to-
matoes, beans, pineapples, sweet corn, onions, and
mangoes, among others. The production of tropical
fruit juice through the processing of locally grown
tangerines, mangoes, pineapples, oranges, papaya,
guavas, and bananas are other potentially lucrative
opportunities. Such products have penetrated re-
gional markets, such as Zimbabwe, Democratic Re-
public of Congo (DRC), South Africa, and even some
European markets.
Small-scale agro-processing is considered a prior-
ity in regards to supplying the domestic market, with
farmers able to increase the value of their produce by
processing at the farm level. While large-scale pro-
cessing facilities are usually limited to urban centers,
small-scale industries are able to provide services
and employment in rural areas.
The downstream processing of livestock has great
potential, particularly in the beef and dairy subsec-
tors. There are also indications that fish processing
could gain momentum, provided refrigeration and
storage facilities are expanded. This could also be a
possibility if such processes such as canning are fur-
ther developed in order to add value to fish products.
The processing of grocery items such as cold meats,
biscuits, canned food, jam, and cheese is also largely
underexploited.
Textil
es and Cl
othing
Cotton is grown, ginned, and spun in Zambia at
industrial sites boasting state-of-the-art spinning,
weaving, and processing factories and warehouses.
Products include: cotton, yarn, and grey cloth of
world-class quality, as well as garments.
Cottonseed is exported to COMESA member coun-
tries such as Namibia, Malawi, Zimbabwe, and DRC,
as well as the SADC countries of South Africa and
Botswana. Cotton, on the other hand, is exported
to the SADC region, the European Union, and the
People’s Republic of China.
The textile industry in Zambia has historically been
one of the principal contributors to economic growth
in the manufacturing sector, producing internationally
competitive products from abundant raw material.
However, the competition brought on by the liberal-
ized economy has seen the industry dwindle in size.
Nevertheless, as a labor-intensive industry, the pro-
duction of textiles and clothing has the potential to
contribute greatly to the Zambian economy by way
of creating employment opportunities and increasing
export earnings.
Mineral
Processing
Government incentives support new businesses that
process copper rather than exporting raw copper
bars.
The small-scale cutting and polishing of gemstones
as well as local jewelry manufacturing are gaining
ground since the establishment of the gemstone ex-
change and a number of government initiatives sup-
porting mineral sector diversification.
