Where to invest in Zimbabwe in 2019

Your favourite small business forum has not been active in the past few months covering opportunities in the country. We would like to apologise as we have been busy with the compilation of an SA book for entrepreneurs. We are glad its now complete and will now focus on opportunities in the country and the region.

Despite the negative vibe economically, is it all gloom and doom for our members? Not really, there are pockets of investment which look promising and you need to carefully study and monitor them. We still remain hopeful that a political settlement is not far away. Economic developments will eventually lead to a negotiated settlement and when this happens, Zimbabwe will roar again like it did between 2009 and 2013.

Where are the pockets of opportunities?

1. Mining: Where is the most money in Zimbabwe? It is obviously in mining for well established companies and small scale mining. Opportunities abound in gold and chrome mining especially in areas such as Midlands, Mashonaland West and Mashonaland Central. New gold deposits are being found every month especially by small scale miners. The mining value chain includes inputs for the mining sector such as equipment and processing chemicals-huge gap with massive opportunities and selling of mineral outputs. Some enterprising Zimbabweans are involved precious minerals mining and trading in Mozambique.
2. Farming in Mozambique and Malawi: A Zimbabwean based in South Africa supplied Pick and Pay with mushrooms worth in 2018 and became the biggest local supplier of mushrooms with a R11 million worth of produce. A significant number of Zimbos are investing in agricultural activities in Malawi, Mozambique and South Africa. When our forum visited Tete we witnessed a white Zimbabwean with a flourishing piggery project along the Zambezi River. Some of our members are carrying out farming operations in Malawians that allow them access to lucrative European export markets. We also witnessed a Zimbabwean farmer who is growing Zimbabweans vegetables such as rape, tsunga and mutikiti in Durban and he is enjoying brisk business in the tourist city.
3. Agriculture: You do not necessarily need to own a farm in order to benefit from farming opportunities (Dr Strive Masiyiwa). There are a lot of mechanisation opportunities in the farming sector. Study how borehole companies are benefiting from sinking boreholes in urban areas and farming regions. To diasporans with free funds, the best opportunity is the export of tractors to Zimbabwe. Zimbabwe needs more tractors and other farming mechanisation inputs.
4. Chinese Products Imports: Our country is going to rely on imports for a very long time. Consider buying Chinese products such as clothing, shoes, stationery, electrical appliances from China for resale to SADC countries such as Malawi, Namibia, Botswana, Zambia and Lesotho. Some time back on our forum we featured an interesting business model of entrepreneurs buying goods from Chinese Factory Shops in Joburg for sale in neighbouring countries. This model is responsible for half of the clothes now being sold in areas such as Harare, Gweru, Mutare and Bulawayo. Look for the write up on our Facebook or Whatsapp pages.
5. Public Transport Buses: Zimbabwe will continue to face fuel problems and the reason is simple-we just do not have enough foreign currency! The hiring of private buses by the government is a great initiative and we expect this model to be expanded in the coming months as a stop gap measure to alleviate transport problems.
6. Privatisation: The government has earmarked certain loss parastatals for privatisation. The process is going to take some time but we do expect a couple of parastatals to go under the hammer. Do not be left out of privatisation opportunities-great investment opportunity.
7. Chimoio Imports: Traffic from Zimbabwe to Chimio is on the increase with Zimbabweans sourcing goods such as second hand clothes bales and cellphones. Chimoio is now essentially the cellphone capital of Zimbabwe with cheap cellphones sold in bulk. An investment tour of the town is worthwhile. Some have found markets for Zim products such as mazoe drinks, cerelac, fruit and veges. Go to Roadport and watch closely products exported to Mozambique. 
8. Runner Opportunities: We mention once more that most of the new opportunities in Zimbabwe are import based. New opportunities are emerging for those who transport goods from foreign countries to Zimbabwe. Missing are reputable registered companies that transport goods for a fee. There are a lot of individuals involved in the malayitsha business operating on an individual basis. Visit areas such as Mbare and Machipisa and watch buses from Musina loaded with 99% goods and 1% passengers. Its not surprising to see a full bus with 4 passengers with the rest of the space filled with imported goods.
9. 4^th Industrialisation Opportunities: The 4^th industrialisation is upon us and those in the developing world can agree that there are new opportunities related to this area. In Zimbabwe its going to take a couple of years but early opportunities exist on the entertainment sector. Refer to our Facebook page for reference.
10. Bitcoin Mining: The Bitcoin came with a big bang and promised huge rewards for early adopters. The sharp rise in 2017 that saw its value shooting through the roof to a value of $20.000 was sweet news for investors. However it didn’t take long for the bull run to come to an abrupt end sending the value tumbling down. It is now trading at a value below $4.000 and  this has reduced interest amongst Zimbabweans. However there are opportunities in Bitcoin mining and we have covered this comprehensively on our forums.

Where to exercise caution

Avoid forex trading at all costs-it is producing no meaningful returns, instead the only people benefiting from its trade are trainers and forex brokers! Exercise caution before you consider this option-it’s the fastest way to lose money and thousands have learnt the hard way.

Avoid the partnership route when venturing into new business ventures you have little knowledge of. Being a first timer in any business is high risk, partnering with someone you have little knowledge of means you have multiplied your risks by 100%. A lot of fraudsters are using the partnership route to defraud first time entrepreneurs.

First time to start a business and rent commercial properties? In Zimbabwe the peak spending period is usually from September to December. Seasoned entrepreneurs usually close their operations during the non peak period and then chase them off their premises when the festive season approaches. Take this into consideration when venturing into businesses such a bottlestores and pubs, retail shops and clothing business. Kukama mombe wakabata ma binocular!

We wish you the best in 2019. To join some of our best forums in mining, agriculture, poultry and Mozambique do contact our admin Catherine Shava on +263776196313. Do not forget our business tour to Malawi coming in April.