Business

State promoting textile plants – Sampa

TEDDY KUYELA, Parliament
DEPUTY Minister of Commerce, Trade and Industry Miles Sampa says government has started promoting the establishment of textile factories to create wealth and jobs for the locals.
Mr Sampa said there are currently two factories operating in the country but that these are not enough to promote the export of essential goods and services to other countries.
“Mr Speaker, only two textile factories by the names of Sakiza and Kariba are operating in the country but we have started promoting the establishment of more industries so that we can create wealth and jobs for our people,” he said.
Mr Sampa said this in response to a question from Mpongwe Member of Parliament (MP) Gabriel Namulambe (PF) who wanted to know how many textile factories were operational in Zambia as of August 2015.
Mr Namulambe also wanted to know how much tax, in percentage points, the Zambia Revenue Authority (ZRA) collected between September 2011 and June 2015 from the textile factories and imported second-hand clothes.
In response, Mr Sampa said ZRA collected 1.04 percent from the textile factories and 0.56 percent from the imported used clothes.
Mr Sampa said Government has since started promoting cotton production and establishment of textile factories to help promote jobs and wealth for Zambians.
He said the government is also considering investing in the Mulungushi Textiles to reduce on the importation of goods and services.
Mr Sampa said the investors who expressed interest to take over the operations of the company did not qualify.
He said government is concerned with the low contribution of the manufacturing industry to the country’s gross domestic product and the formal workforce.
Mr Sampa also reaffirmed government’s commitment to dialogue with all key stakeholders in addressing the various challenges affecting the growth of the manufacturing industry in the country.



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