Friday, August 13, 2010

Economy- Industry

Zimbabwe has a substantial and diverse manufacturing base, which is partly a legacy of the international sanctions imposed over the five years prior to Independence. Industry accounted for only 14% of GDP in 2000, Manufacturing was at its lowest level in 15 years in 2000 due to civil unrest . Food and beverages, mineral procesing , chemical and petroleum products, and textiles account for the majority of the value added by manufacturing. Lower level of cosumer demand because of high prices have affected producers of many household goods , clothing, footwear, drink,and tobacco products.  
The Zimbabwe Iron and Steel Corporation (ZISCO) was operating at 30%in 1996,and supplied 60% of local need.The Zimchem chemical refinery processes a range of chemical products , Cement is produced in large quantities . Zimabwe also has a substamntioal cottom and textile industry.The textiles industry has lost some 17,000 jobs in recent years to foreign competition from south Africa, which used subsidies, export incentives , and tariff protection to support its textile industry. The gold mining industry faced collapse and closure in 2000 because of a lack of foreign exchange. Gold output dropped by half in that year, and 46,000 jobs were in peril. The tobacco industry was  .in danger of foreclosuredue to farms repatiation . As of 2002, the dire condition of economy was damaging the operation and viability of the manufacturing , construction, and mining sectors, in addition to agriculture. In 2000, manufacturing contracted at least 10.5%.  .