Horticulture Council Pushes for Policy Overhaul

 
Oscar J Jeke- Zim Now Reporter

The Horticultural Development Council has called on Treasury to implement sweeping policy reforms aimed at unlocking Zimbabwe’s full potential in horticulture exports, as Finance Minister Mthuli Ncube prepares to present the 2025 Mid-Term Budget Review.

In a series of statements on its X account, the HDC outlined a number of practical proposals it says are necessary for Zimbabwe to become a US$2 billion horticulture export powerhouse. Chief among its concerns is the current foreign currency retention ratio, which the council says is significantly cutting into exporters’ earnings and stifling reinvestment.

“The current 70:30 retention eats into earnings. Producers need more of their hard-earned dollars to stay competitive and grow,” the Council said, urging a review of the retention framework to allow exporters to retain a larger portion of their foreign currency earnings.

The Council also flagged deteriorating transport infrastructure and cumbersome export procedures as major obstacles to getting Zimbabwean produce to international markets in a timely and efficient manner.

“Better roads and upgraded border posts are essential to get fresh produce to markets faster and in good condition,” the HDC noted, adding that overlapping fees, inspections, and administrative delays have resulted in avoidable losses for exporters.

Currently, horticulture exporters are required to obtain a physical “wet stamp” from the Zimbabwe Revenue Authority in order to move produce to market—a process the HDC says causes frequent delays and spoilage of perishable goods. 

The Council is advocating for the introduction of a single-window export system that would streamline inspections and documentation by integrating National Plant Protection Organisation of Zimbabwe procedures into a unified process.

To stimulate investment, the Council is pushing for the establishment of Special Economic Zones dedicated to horticulture. These zones would offer incentives to both local and foreign investors in production, processing, and exports.

“By dedicating zones for horticulture, we can attract increased investment,” the Council said.

Tax reforms also featured prominently in the proposals. Blueberry growers—one of the country’s fastest-growing horticultural sub-sectors—are reportedly unable to claim back Value Added Tax (VAT) because they are classified as VAT-exempt rather than zero-rated. The HDC says correcting this status would significantly reduce production costs.

The Council is also lobbying for a review of income tax thresholds for farm workers, who have recently been brought into the tax net.

“We urge the Minister to raise the minimum taxable income threshold to give farm workers more take-home pay, ease their cost of living, and incentivise labour across the sector,” the Council said.

Given the sector’s dependence on refrigeration and irrigation, energy costs were also cited as a major challenge. The HDC is calling for horticulture to be classified as a priority sector, allowing growers to access electricity at preferential ZESA tariffs.

With the right policy support, the Council says Zimbabwe can scale up its horticulture exports to contribute more meaningfully to national revenue, employment, and food security.

 The sector has already seen promising growth in recent years, particularly in exports of blueberries, citrus, avocados, and cut flowers.

 

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