Bulawayo, (New Ziana)–The Zimbabwe government is accelerating efforts to transform the rural economy from a primary producer of raw materials into a value-adding industrial base, a Cabinet Minister has said.
The Minister of Lands and Rural Development Vangelis Haritatos said this on Monday while addressing delegates at the 2026 Rural Industrialisation and Economic Empowerment Indaba held at the Zimbabwe International Exhibition and Conference (ZICES), under the theme: “From policy to production: Leveraging Economic Empowerment for Accelerated Rural Industrialisation.”
The Indaba was held on the sidelines of the 66th edition of the Zimbabwe International Trade Fair (ZITF 2026) which runs from April 20 to 25 at the ZICES under the theme “Connected Economies, Competitive Industries.”
The event also focuses on industrial innovation, regional trade, and economic growth, featuring a Rural Industrialisation Conference and high-level business network.
Haritatos spoke about a decisive policy shift toward implementation, saying the country should now convert strategy into tangible output.
“We are moving from policy to production. The time for talking is over, the time for action is now. Land remains the bedrock of our development, but it is no longer enough to produce. We must process, package and profit within our borders,” he said.
He said the country’s agricultural sector had recorded significant growth over the past six years, with gross value rising from US$5.2 billion in 2019 to US$10.3 billion in 2025.
Haritatos however stressed that future gains would be driven less by volumes and more by value addition and beneficiation.
“To unlock real wealth, we must move beyond measuring success in tonnage. The focus now is on how much value we can extract from what we produce,” he said.
He said tobacco was one of the country’s top export earners but noted a stark disparity between revenue from raw exports and processed products.
“At auction floors, tobacco fetches between US$4 and US$6 per kilogram. Yet when processed into cigarettes, that value rises to around US$40 per kilogram, and premium cigars can reach as much as US$6 667 per kilogram,” he explained.
Zimbabwe produced 352 million kilograms of tobacco last year, generating approximately US$1 billion while this year, output is projected at 400 million kilograms, with expected earnings of US$1.2 billion.
However, Haritatos argued that significantly higher revenues could be realised through local processing and manufacturing.
“We are exporting jobs and industrial opportunities by sending out raw materials. Rural industrialisation is about retaining that value within our communities,” he said.
Haritatos said the government strategy was anchored in key policy frameworks, including the National Development Strategy 2 (NDS 2), the Zimbabwe National Industry Policy 2, and the Agriculture and Food Systems Rural Transformation Strategy 2.
Central to the push is the scaling up of Rural Development 8.0, a model designed to establish industrial hubs and aggregation centres across the country to integrate farmers, small-scale producers, private investors and Government agencies into cohesive value chains.
“We are building ecosystems where rural production feeds directly into industrial processes. This is about creating jobs, boosting incomes and ensuring that development reaches every corner of Zimbabwe,” said Haritatos.
The Rural Industrialisation Indaba brought together policymakers, business leaders, development partners and rural entrepreneurs to explore pathways for inclusive growth.
Participants highlighted the need for infrastructure development, access to finance, and skills training to support the transition.
Rural industrialisation has increasingly become a focal point of Zimbabwe’s economic agenda, particularly as the country seeks to reduce urban migration and stimulate growth in underserved areas.
By decentralising industry and promoting localised production, authorities aim to create resilient rural economies capable of sustaining livelihoods.
Haritatos also explained that success would depend on strong collaboration between the public and private sectors.
“Government cannot do this alone. We need partnerships that bring capital, technology and innovation into rural areas. Together, we can transform our villages into centres of production and prosperity,” he said.
New Ziana
