Zimbabwe’s Brick Industry Crumbles under Foreign Competition, Workers Fear for Jobs
Harare, Zimbabwe – Zimbabwe’s brick manufacturing sector is facing a crisis as local companies struggle to compete with foreign-owned enterprises, leading to job insecurity and economic hardship for workers, according to interviews and recent reports. The influx of competitors, frequently enough operating with fewer regulatory burdens, is undercutting local producers and exacerbating Zimbabwe’s already fragile economic state.
Willdale Bricks employee Stanley, who requested to be identified by his first name onyl out of fear of reprisal, stated, “Before a foreign buisness sets up its operations, there should be strict rules in place and enforcement to match. But that rarely happens,” adding that some foreign companies aren’t formally registered with authorities. he alleges a double standard in regulatory enforcement,with foreign investors often evading taxes and regulations while local businesses face intense scrutiny. ”We’re expected to comply fully, bank all our earnings, and accept local currency that constantly loses value,” Stanley said.
The challenges extend beyond regulatory discrepancies. Analyst Muzurura notes that foreign companies benefit from superior technology and greater production capacity. This advantage, combined with potentially lower operating costs, allows them to undercut local prices.
Zimbabwe’s plight mirrors similar situations across Africa. A 2018 study by the International Institute for Environment and Growth found Chinese-owned enterprises dominate mining and retail in Zambia, frequently enough driving down prices to the detriment of local entrepreneurs. in Sri Lanka, a 2023 report by the International Collective in Support for Fishworkers detailed how the Chinese-funded Hambantota Port project has negatively impacted local fishermen by encroaching on traditional fishing grounds. Vietnam has also experienced displacement of small producers in the textiles and electronics sectors due to competition from Chinese manufacturing firms, as reported by the Harbin Engineering University’s School of Economics and Management in 2017.
The situation is notably dire in Zimbabwe, where unemployment is high and the economy remains unstable. Both Stanley and another Willdale Bricks employee, Henry, have been forced to seek additional income sources to make ends meet.
“In the past, working at Willdale was something to be proud of. Now, even informal vendors seem better off,” Henry lamented. “We are in a dire state.”