Zimbabwe Scores Trade Surplus Against South Africa


According to external trade reports, Mugabe’s country has recorded a trade surplus against South Africa for the first time in many years.

For a long time, Zimbabwe has always imported more than it exported while trading with South Africa. But recent official data showed that the situation changed, with the nation recording a trade surplus against South Africa.

As culled from Zimbabwe National Statistics Agency (Zim Stat), the country, in the first three months of this year, exported goods worth $504.6 million to South Africa. Whereas it only imported goods worth $476.1 million from the neighbor country.

Read Also: Government Unlocks R17-billion Investment In SA’s Ocean Economy

As such, it was estimated that Mugabe’s nation, after a very long time, recorded a trade surplus of 5.98% against Zuma’s country.

Some experts analysed that the official figures are misleading, citing the smuggling factor. For it’s well known that smuggling is highly common at the borders of Zimbabwe and South Africa.

For instance, Zimbabwe Poultry Association (ZPA), earlier this year, stated that Zimbabwe “imported about 1,5 million kilogrammes of chicken valued at $800 000 from South Africa between January and September last year.” But the records were not captured in official statistics.

Also, an instance where Zimbabwe Revenue Authority intercepted a 400 carton contraband of cooking oil valued at R30 000, was refereed to.

Other experts nonetheless, analysed that certain factors can as well explain Zimbabwe recording a trade surplus against South Africa.

One of such analyst, Tendai Manzvanzvike told Fin24 that “the depreciating rand is a contributing factor because Zimbabweans can now buy the same number of goods with a much lesser amount.”

He reportedly added that “reduced aggregate demand in the country, new requirements for importers, and troubles in the external payment systems also contributed to the lower import figure.”

Check Out: Zuma’s Resignation Will Be The First Step In The Right Direction – AfriBusiness 

Like BuzzSouthAfrica: