Ministerial Statement on the state of co-operatives in Zimbabwe

In the National Assembly
Thursday 21st July 2016

MINISTERIAL STATEMENT

STATE OF CO-OPERATIVES IN ZIMBABWE

THE MINISTER SMALL AND MEDIUM ENTERPRISES AND CO-OPERATIVE DEVELOPMENT (HON. NYONI): Thank you Mr. Speaker Sir, I wish to make a Ministerial Statement on the state of co-operatives in Zimbabwe. Co-operatives in Zimbabwe fall under seven categories and these are: the housing co-operatives, fishing, manufacturing, agriculture, services which includes transport and catering, savings and credit co-operatives and mining cooperatives.

 

Mr. Speaker Sir, I will begin with the housing co-operatives. The first housing co-operative, Kugarika Kushinga was launched in 1989. The housing cooperatives are the largest sector contributing 83% of registered cooperatives in the country. Between 2010 and 2015, the housing cooperatives built 99 840 houses for themselves; 46 267 of which are at various stages of completion.

 

The following cooperatives have received their title deeds in Harare alone: Mupedzanhamo in Glen Norah with 800 members, Three Stars in GlenView with 40 members, Kambuzuma in Kambuzuma with 101 members, Mufakose in Budiriro 1 with 70 members, Sunshine in Crowborough with 71 members, Rutendo in Budiriro with 43 members and New Generation in Dzivarasekwa with 15 members.

Zimbabwe is being ranked as number 1 in housing cooperative development in the whole of Africa with over 4 000 registered housing cooperatives whose membership is over half a million nationwide. This is according to the International Cooperative Alliance Report of 2015. Malawi, South Africa and Uganda have visited Zimbabwe to learn from our experience.

 

Fishing Cooperatives

 

There are 127 Fishing Cooperatives.

 

Province

Cooperatives in the transport sector

Mashonaland West

62

Matabeleland North

26

Masvingo

4

Matabeleland South

5

Manicaland

5

Midlands

5

Total

127

 

Their contribution into the food basked is as follows:

Estimates of catches of Fishing Cooperatives under National Parks and Wildlife per month

Area

No. of Cooperatives

Approximate catches per cooperative

Chivero

24 (bream)

600 kgs

Darwendale

20 (bream)

90 kgs

Kariba

14 (kapenta)

2,475 tonnes

 

4 (bream)

4,500 tonnes

Binga

26 (bream 7 tiger)

1,800 tonnes

Manufacturer Success Stories

The cooperatives have not been very much affected by the economic environment as prospective clients shy away from formal shops in town where prices are relatively higher than those charged by cooperatives.

Table below shows estimates of income of cooperatives at Siya So Mbare January – December 2013

Name

Jan-Dec 2015 US$

Welders – Metal Fabrication

196 560

Chieziya – Welding and Furniture

Making

 

Tin Smith – Metal Containers

140 400

Gumtree – Carpentry and Welding

234 000

Roadside – Three legged post,

buckles and coffin handles

458 000

Carpenters – beds, wardrobes,

kitchen units and dressing tables

196 000

Simukai Tailoring – uniforms and

worksuits

63 040

Tisunungureiwo – plastic recycling

for buckets and cups

321 000

Kuzvitonga Leather Works – shoes

and belts

193 440

Best Multi-purpose – grinding

mills and schools furniture

369 400

GROSS TOTALS

2 384 000

Arts and Craft Cooperative

There are 57 arts and craft cooperatives registered since 2009. They are involved in stone and wood carving patterns baskets and tie and dye. They are spread country wide as follows:-

Province

No. of registered Arts and Craft Cooperatives

Harare

10

Mashonaland West

8

Matabeleland North

2

Matabeleland South

2

Bulawayo

2

Mashonaland Central

5

Mashonaland East

2

Midlands

10

Manicaland

16

Total

57

Transport Cooperatives

Background

The Ministry has registered 19 transport cooperatives in Mashonaland West, Bulawayo, Harare and Manicaland as shown below:

Province

No. of registered Arts and Craft Cooperatives

Bulawayo

7

Harare

5

Manicaland

6

Mashonaland West

1

Total

19

 

Transport cooperatives run taxis, buses, trucks and combies.

 

Success stories

Transport Cooperatives especially Rixi Taxis run a fleet of 20 taxis.

- Tinzweiwo Buses and Liza Trans are cooperating Harare- Gaborone and Francistown routes in Botswana.

- Tshova Mubaiwa Transport Cooperative is doing well in Bulawayo.

 

Agricultural Cooperatives

There are 194 registered agricultural cooperatives since 2009 and these are spread across the country as shown in the table below:

 

Province

Registered Cooperatives in the agricultural sector

Harare

05

Masvingo

15

Mashonaland West

08

Matabeleland North

05

Matabeleland South

29

Bulawayo

12

Mashonaland Central

21

Mashonaland East

34

Midlands

31

Manicaland

34

Total

194

They are in piggery, cattle ranching and fattening, tobacco farming, goats and chicken raring, marketing and supply of agricultural produce. Let me give you another example of how much the Hurungwe Co- operative Union has delivered to the GMB. Their largest contribution was in 2013 and they were my pride. Their total alone was over 500,000 tonnes.

 

The Hurungwe Co-operative Union Maize Deliveries to the GMB Depots.

Name of depot

Tonnage (tonnes)

 

2013

2014

2015

Karoi

174,106

67,498

15,765

Mkwichi

66,968

4,442

-

Vuti

105,109

10,882

30,675

Lions Den

51,006

-

-

Magunje

124,081

6,851

53,525

Collection Point

10,657

-

-

Mudzimu

2,224

-

27,085

Mhangura

618

-

-

Total

534,791

89,673

127,050

 

In the early 1980s, Government constructed 360 warehouses. 70 of them have been registered under the Central Association of Agricultural Co-operatives (CACU) to give loans to its members. These warehouses are being used by co-operatives to store their wares.

 

Savings and Credit Co-operatives (SACCOs)

Since 2009, two hundred and fifty-four Savings and Credit Co- operatives have been registered as follows:

 

Province

No of Registered SACCOs

Harare

65

Mashonaland West

5

Matabeleland North

66

Matabeleland South

14

Bulawayo

                        8

Mashonaland Central

14

Mashonaland East

20

Midlands

42

Manicaland

20

Total

254

 

The Ministry is encouraging every SME cluster and co-operative to form SACCOs to on-lend to their members. For instance, CACO has mobilized and bought agricultural inputs worth US$348,798 for its members.

 

Mining

There are 92 mining cooperatives, mainly in gold and chrome mining in five provinces.

 

Province

No of Registered Mining Co- operatives

Mashonaland West

20

Matabeleland South

5

Mashonaland Central

5

Manicaland

20

Midlands

42

Total

92

 

Mining co-operatives have made a major contribution to the country’s gold and chrome production.

In conclusion, the world over, co-operatives have been found to be an economic model for the future. It strengthens principles and value based work ethics. To strengthen co-operatives, the Ministry offers pre- registration and post registration training and support. Once a year, in July, Zimbabwe co-operatives observe International Co-operative Day to which co-operatives come from all over the country to showcase their work and achievements. This year this event will be held on 23rd July, 2016 at the Harare Agricultural Showground. The Hon. Vice President

E.D Mnangagwa, will be the guest of honour. Hon. Members, you are all invited to attend this very important occasion. I thank you.

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