Zimbabwe Newspapers (Zimpapers) expects improved profits in 2014 from its recapitalization efforts. The company has upgraded systems and machinery through a three-pronged recapitalization program begun in 2013. It has also diversified into broadcasting, digital media, and mobile news. Group finance director Adolf Majome said the new capital investments and revenue streams should yield a targeted $2 million profit for the current year, a significant improvement over 2013. At its AGM, shareholders approved financial reports and confirmed changes to the board of directors.

1. News Update as @ 1530 hours, Friday 27 June 2014
Feedback: bh24admin@zimpapers.co.zwEmail: bh24feedback@zimpapers.co.zw
By Tawanda Musarurwa
• Group to record improved profits
on enhanced capital structure
Zimbabwe's largest news media house
Zimbabwe Newspapers (1980) Limit-
ed'sre-capitalisationeffortsarenearing
full circle and the company expects an
improved profitability in FY2014.
Group chief executive Justin Mutasa
told the company's 86th AGM this
afternoon that the "company is now
almost fully capitalised".
Zimpapers commenced its re-capi-
talisation programme in FY2013 and
expects to start yielding benefits from
theprocessinthecurrentfinancialyear.
In an interview on the sidelines of
the AGM, group finance director Adolf
Majome said the new systems should
be fully operational in the second half
of the year.
"The three-pronged re-capitalisation
programme which began last year has
resulted in upgrades in the system side
through the implementation of the 4C
Plus, the newspaper printing press and
the printing press for the commercial
division. What remains now are down-
stream adjustments to complement
what we have already put in place,"
he said. Majome said the revitalisation
of the commercial division will allow
the company to recover a market that
were being lost to players in the region,
mainly South Africa.
In addition to the re-capitalisation, the
group has been introducing a number
of new products that will markedly
change its capital structure.
Zimpapers has been moving to
become a key player in broadcasting
with the introduction of StarFM and the
impending establishment of a new tel-
evision station.
It has also diversified into digital with
products such as BH24 and mobile
news that have broadened the compa-
ny's revenue streams. "With the new
revenue streams we are expecting
improved profitability and our targeted
profit in the current financial year is $2
million," said Majome.
Meanwhile, the AGM saw the compa-
ny's shareholders adopting financial
statements and reports of the direc-
tors and auditors for the year ended
December 31, 2013, and confirmation
of the resignation of Dr Paul Chimedza,
Dr Munyaradzi Kereke, Retired Briga-
dier Epmarcus Kanhanga, Chakanyuka
Karase, Alexander Kanengoni and
Joseph Mandizha.
These have been duly replaced by
George Manyere, Terence Hussein,
Felix Moyo, Rejoice Nharaunda, Kar-
ren Dube, Doreen Sibanda and Bishop
Manhanga. Dr Charles Utete has been
confirmed as the chairman of the com-
pany's board of directors. •
Zimpapers recapitalisation nears completion
Mr Mutasa

2. BH24

3. By Lynn Murahwa
Cottco Group Limited has recorded a
significant $6,9 million profit less than
it recorded the prior year and is now
expecting to start seeing profits in two
years.
Head of finance Dacyl-Ray Rambane-
pasi told an AGM yesterday that the
group recorded a significantly less
profit than they had in the previous
year. "Cottco’s profit after tax from
continued operations declined by 484
percent from $9,6 million to $2, 7 mil-
lion recorded in the previous year," she
said. She added that although operat-
ing profits were beneath prior year, a
$2,6 million profit has been recorded.
"Our operating profits though lower
than what we achieved last year we
have got a profit after tax of $2,6
million, this is because the business
has posted a profit on the disposal of
Seedco and Olivine of $37 million," she
said.
Collins Chihuri, the group's managing
director, said they are putting in efforts
to reduce the future level of losses but
are only expecting to witness a profit in
2016. ”We have made a loss and we
are working hard to reduce the level
of the loss and at best it will be break
even. We will not be in a profit zone
this time around but in 2016 we have
got to be in profitable territory" said
Chihuri. According to Chihuri the group
has proudly contributed $31 million
towards national funding. ”If we look at
overall national funding this year as an
industry we have put in a minimum of
about $31 million compared to the $24
million in the previous season, so there
has been a fair share of funding from
ginners this season" he said. Financial
statements show that sales volumes
for the company decreased 77 percent
to $35 million recorded for the year
ended March 2014 from $150 million
recorded in the prior period
"Our sales volumes are down as a
result of the national crop production
and our share of it which both declined
in the year under review. The decline
by 67 percent was mostly driven by
that particular decline" said Rambane-
pasi. According to Rambanepasi the
strengthening of the international lint
pricesdidnotimprovethegroup'ssales
volumes. ”As expected volumes are
down meaning our revenue has come
down despite the firming of lint prices.
Lint prices on the international market
improved from 80 cents per pound last
year and the business itself achieved
an average of 89 cents per pound. As
a result we are seeing declining operat-
ing margins from the cotton business,
" she said.
The group's financials show their debt
as at March 2014 reduced 66 per-
cent from $126 million in the previous
period to $41,6 million. •
3 NEWS
Cottco expects profitability in 2016

4. BH24

5. 5 NEWS
By Tawanda Musarurwa
Bottled water and soft drinks manu-
facturer Schweppes Zimbabwe says
its export business is now active and
the company has lined up the Angolan
and Democratic Republic of Congo as it
spreads its wings into SADC.
Managing director Charles Msipa said
the company had decided to focus
on the regional markets due to the
depressed demand on the local mar-
ket.
“Because demand on the local mar-
ket is subdued, we have since re-in-
tensified our focus on exports into the
region and we are having good export
business in Zambia and Botswana.
“We are currently cultivating Angola
and Democratic Republic of Congo to
try and penetrate those two markets
because we only started exporting in
January this year,” he said.
Msipa, who is also the president of the
Confederation of Zimbabwe Industries
(CZI), was speaking to journalists
on the sidelines of a breakfast meet
hosted by the Africa Leadership and
Management Academy (ALMA).
The expansion in the region should
result in Schweppes adding to its bot-
tom line, and in the long run will result
in utilisation of excess production
capacity, making it one of the most
efficient manufacturers in the country.
Msipa said Schweppes had decided to
stop exports at a time when the local
market was vibrant, but that has since
waned.
“We did not prioritise exporting at first
because we were getting the US dollar
from the local economy, and because
the local market was very competitive
markets in terms of what the custom-
ers were expecting on pricing,” he said.
Although the local manufacturing sec-
tor's average capacity utilisation has
declined to below 40 percent, accord-
ing to CZI figures, the beverages sector
has been faring significantly better. •
Schweppes eyes Angola, DRC markets

6. AdM-DI156506-
BH24

7. 7 NEWS
ZB Financial Holdings disposes of two properties
By Lynn Murahwa
Two ZB Financial Holdings companies
have been let go by the group after low
performance with no hope of clear sign
of turning profits.
Addressing the group’s AGM Non-Ex-
ecutive Director Tendai Mafunda said
they decided to let go of ZB Securities
and ZB Asset Management Company
as they were consistently recording
losses.
“Management recently decided to dis-
pose the group’s stock broking unit, ZB
Securities and the asset management
unit ZB Asset Management Company.
Both Companies have been posting
losses for some time and a return to
profitability did not appear eminent for
either company” he said.
He added that management has taken
vital actions to cut costs.
“Management has embarked on a vig-
orous cost cutting exercise while also
attending to areas that enhance reve-
nue inflows” he said. He said that the
group has been faced with liquidity lim-
itations resulting in constrained busi-
ness output. “Liquidity has remained a
major challenge during the first half of
the year, consequently business output
has generally been constrained” said
Mafunda.
The group saw a slight increase in its
balance sheet as well as trading reve-
nue, however a decline in overall out-
turn.
“The group’s balance sheet has
increased marginally by 2 percent as at
the end of May 2014 from the levels
achieved as at 31 December 2013.
“Trading revenue increased by 3 per-
cent however a depressed outturn on
the equity portfolio has had a signifi-
cant negative impact on overall outturn
to date with the result that the group is
operating at slightly below breakeven
levelafteraccountingfortheunrealised
loss on investments” he said.
Mafunda said there has been marginal
management in costs and currently
performance is below targets.
“Costs have been managed at 2 per-
cent below the 2013 levels and our
performance as a group so far is below
the operational targets.” said Mafunda.
•

8. BH24

9. SPECIALISTS IN DRIVESHAFTS AND PROPSHAFTS, STEERING RACKS, BALL JOINTS, DRAGLINKS,
TIE ROD ENDS, CV JOINTS, TRANSMISSIONS, UNIVERSAL JOINTS, FLANGES, BEARINGS,
BUSHES, YOKES, GENERAL ENGINEERING, BELL SPARES, AIR BRAKES AND PNUEMATICS, SUPPLY
AND SERVICE EXCHANGE FOR COMPLETE AXLES, ENGINES AND GEARBOXES.
NATIONAL PROPSHAFTS CENTRE
No. 17033 CEDORA ROAD, P.O. BOX GT 1244,
GRANITESIDE, HARARE, ZIMBABWE.
Website: www.propshaftscenter.co.zw
TEL: 770638-43, 086 4406 8386
CELL: 0772 470665, 0712 204396,
086 44068386, 0712 749578
Email: sales@nationalpropshafts.co.zw
MUTARE PROPSHAFTS CENTRE
12 A RIVERSIDE DRIVE
P.O.BOX 1869, MUTARE, ZIMBABWE
Website: www.propshaftscenter.co.zw
Tel: 66084, 086 4406 8385, Fax: 68597
Cell: 0712 204396,
0772 715388, 0773 782502
Email: sales@mpc.co.zw, mpc@mweb.co.zw
BELL DIFFS
COMPRESSORS UNIVERSAL JOINTS
TA 1919 PUMPS, WATER PLATES &
DOUBLE BOSH PUMPS
MT643 TRANSMISSIONS
STEERING COUPLINGS
FOOT BRAKE & VALVESCENTRE BEARINGS
PROPSHAFTS SPARES
SPIDER BEARINGS
BOOSTERS
PROPSHAFT COUPLINGS
PROPSHAFTS & DRIVE SHAFTS
TRACK RODS &
DRAGLINKS
BH24

10. The equities market lost for a third
consecutive day in today's trades,
going down 0.68 percent on the back
of losses in a couple of heavyweights.
The industrial index closed the week
lower at 187.08 points after shedding
1.29 points. Three counters traded in
the negative territory.
Giant telecoms, Econet traded 3.10
cents lower at 66.90 cents, while
Edgars lost 0.70 cents to trade at
12.30 cents. Meikles eased 0.11 cents
to 19.99 cents. On the upside, Fidelity
Life led the movers as it gained 2 cents
to close at 10 cents whilst cement pro-
ducer Lafarge and TA Holdings added
a cent each to trade at 63 cents and 8
cents respectively.
Willdale went up 0.02 cents to 0.10
cents and Mash was marginally up by
0.01 cents to 2.42 cents. The industrial
index retreated 0.32 points (or 0.17
percent) compared to week ending 20
June 2014.
The value of trades was improved
slightly at $774K, on the back of trades
in Delta, Dairiboard and Econet. The
mining index was flat at 61.71 points
as Bindura, Falgold, Hwange and
Riozim all maintained previous trading
levels. On a week-on-week basis the
mining index added 2.71 points (or
4.59 percent). — BH24 Reporter •
10 ZSE REVIEW
Equities end week in the red

11. It is good that Government is now
looking at how companies come up
with their pricing models to come up
with policies that will curb imports and
help revive the industry.
The Minister of Industry and Com-
merce told delegates at the Zimba-
bwe National Chamber of Commerce
congress yesterday that Cabinet had
tasked him to carry out a comprehen-
sive study into what constitutes the
cost of production across all sectors.
The study will also include how com-
panies in the region arrive at their own
price structures.
Although the high production cost fac-
tor has always been there for every-
one to see, nothing has been done.
Until now. That Government is going
to act on it gives a boost of confidence
to business and the consumers them-
selves.
Among some of the positives from
the economic reforms implemented in
2009 was the gradual return to profit-
ability by local firms dependant on the
domestic market.
However, the negative was, they could
not meet demand and had to import to
fillinthedeficituntilZimbabwebecame
a net importer of goods ranging from
food stuffs to detergents.
Hence the need to protect local indus-
tries. While Zimbabwe was reeling
under the recession, the South African
and other regional economies were
steaming ahead unhindered and ben-
efiting from the commodity shortages
that characterised Zimbabwe. They
could even afford to subsidise their
companies so that they can export to
Zimbabwe cheaply.
Price differentials between regional
markets and Zimbabwe include costs
such as transport, insurance and
reasonable mark-ups which make it
cheaper for people to shop from other
markets, particularly South Africa. This
also means that the local business sec-
tor will have to be competitive enough
to stay in business, a situation which is
very unlikely given the situation.
Now to continue exposing local com-
panies, with their attended high cost
and inefficient production structures,
to highly efficient and low cost regional
competition is tantamount to perpetu-
ating the decade long de-industrialisa-
tion.
As Government works on finding out
how prices are being arrived at, it is
crucial to also find out how it can be
solved. We know that the problems
contributing to the high costs of pro-
duction range from shortage of elec-
tricity, water, and raw materials which
have to be imported from the same
countries competing with local com-
panies. We also know that revival of
the agricultural sector and reduction of
import duty on raw material will help
cut down the cost.
Once production is up, we need to sat-
isfy demand so that the country desists
from relying on imports. Imports
should only compliment our own prod-
ucts.
Zimbabwe needs a vibrant export mar-
ket so that companies get more from
their produce.
The study is way overdue so it should
be carried out with haste so that we
find a solution as soon as possible.
Though this Government initiative is
exactly what industry needs, it remains
to be seen how the industry itself will
react. •
11 BH24 COMMENT
Imports restoration key to improving economy

12. BH24

13. Cabinet says it has noted the down-
grading of South Africa by rating
agencies, and says government will
focus on implementing the National
Development Plan to deal with the
challenges.
Briefing journalists at the Imbizo
Centre in Parliament on Thursday,
Communications Minister Faith Muth-
ambi, who led the briefing following
the Cabinet meeting of 25 June, said
government was alive to the growth
challenges that the country faces.
“Government has prioritized the
accelerated implementation of the
National Development Plan, with
reforms that are aimed at unlocking
South Africa’s growth potential.
“Government is committed to
improving the regulatory environ-
ment, reducing skills shortages and
accelerating its infrastructure invest-
ment programme as part of remov-
ing obstacles that are constraining
growth,” she said.
End of platinum mine strike
Muthambi said Cabinet noted that the
five-month strike in the platinum belt
had dire effects on workers, employ-
ers and the economy as a whole.
The strike, which also led to the inter-
vention of Mineral Resources Minister
Ngoako Ramatlhodi, was cited as a
major contributor by Stats SA when
Statistician-General Pali Lehohla
recently announced that the gross
domestic product (GDP) had con-
tracted by 0.6% in the first quarter
of 2014.
“While the right to strike is protected
in our Constitution and labour laws,
Cabinet appeals to both employers
and the labour movement to resolve
negotiations speedily and to avoid
such prolonged strikes.
“The success of our development pro-
grammes depends on a stable and
thriving economy.
“As South Africans, we all have a
responsibility to grow the country’s
economy,” she said. ― SANews •
13 REGIONAL News
SA cabinet to tackle economic downgrade concerns
enjoy the CAIO ride!
Minister Muthambi

14. 14 DIARY OF EVENTS
The black arrow indicate level of load shedding across the country.
POWER GENERATION STATS
Gen Station
27 June 2014
Energy
(Megawatts)
Hwange 509 MW
Kariba 750 MW
Harare 45 MW
Munyati 31 MW
Bulawayo 21 MW
Imports 170 MW
Total 1526 MW
30 June - TA Holdings 79th Annual General Meeting of the ordinary members Venue: Miti Room,
Sango Conference Centre, Cresta Lodge, Harare, Time: 1400 hours
30 June - ZIMRE 16th Annual General Meeting of members, Venue: NICOZDIAMOND Auditorium, 7th
Floor Insurance Centre, 30 Samora Machel Avenue, Time: 1230 hours
THE BH24 DIARY

15. BH24

16. 16 zse
ZSE
Movers CHANGE Today Price USc SHAKERS Change TODAY Price USc
Fidelity Life 25.00% 10.00 Edgars -5.38% 12.30
TA 14.28% 8.00 Econet -4.42% 66.90
Lafarge 1.61% 63.00 Meikles -0.54% 19.99
Mash 0.41% 2.42
Indices
Index Previous Today Move Change
Industrial 188.37 188.07 -1.29 points -0.68%
Mining 61.71 61.71 +0.00 points +0.00%
Stocks Exchange
Previous

17. BH24

18. 18 AFRICA StockS
Botswana 8,664.65 -11.96 -0.14% 12July
Cote dIvoire 246.37 +2.18 +0.89% 07Mar
Egypt 7,949.60 -75.68 -0.94% 06Mar
Ghana 2,370.33 +2.46 +0.10% 25June
Kenya 4,856.35 +10.75 +0.22% 26June
Malawi 12,662.47 +0.00 +0.00% 07Mar
Mauritius 2,074.51 -3.51 -0.17% 07Mar
Morocco 9,544.10 +21.01 +0.22% 07Mar
Nigeria 41,729.59 -257.96 -0.61% 26June
Rwanda 131.27 +0.00 +0.00% 24Oct
Tanzania 2,018.97 +25.40 +1.27% 07Mar
Tunisia 4,624.39 -39.32 -0.84% 07Mar
Uganda 1,503.90 +0.81 +0.05% 10Sep
Zambia 4,242.74 +14.95 +0.35% 10April
Zimbabwe 188.37 -1.22 -0.64% 26June
African stock round up Commodity Prices
Name Price
Crude Oil 1,300.91 -0.21%
Spot Gold USD/oz 1,292.63 -0.26%
Spot Silver USD/oz 19.38 -0.46%
Spot Platinum USD/oz 1,421.25 -0.33%
Spot Palladium USD/oz 798.50 -0.64%
LME Copper USD/t 6,770 -0.18%
LME Aluminium USD/t 1,780 -1.17%
LME Nickel USD/t 18,230 -1.73%
LME Lead USD/t 2,095 -1.41%
Quote of the day —"Opportuni-
ties multiply as they are
seized." - Sun Tzu
Globalshareholder.com

19. BH24

20. Ukraine signed on Friday an historic
free-trade agreement with the Euro-
pean Union that has been at the heart
of months of violence and upheaval
in the country, drawing an immediate
threat of "grave consequences" from
Russia.
Georgia and Moldova signed similar
deals, holding out the prospect of deep
economic integration and unfettered
access to the EU's 500 million citizens,
but alarming Moscow which is con-
cerned about losing influence over for-
mer Soviet republics.
All three countries have made clear
their ultimate goal is membership of
the bloc but Brussels, under pressure
from voters weary of further EU expan-
sion, has made no promise it will allow
them in.
Ukraine's former pro-Moscow Pres-
ident Viktor Yanukovich turned his
back on signing the EU agreement last
November in favour of closer ties with
Moscow, prompting months of street
protests that eventually led to his flee-
ing the country. Soon afterwards, Rus-
sia annexed Ukraine's Crimea region,
drawing outrage and sanctions from
theUnitedStatesandEU,andpro-Rus-
sian separatists began an uprising in
eastern Ukraine that has claimed hun-
dreds of lives.
"Over the last months, Ukraine paid
the highest possible price to make her
European dreams come true," Ukrain-
ian President Petro Poroshenko told
EU leaders at a signing ceremony in
Brussels, calling it the most important
day for his country since independence
from the crumbling Soviet Union in
1991.
Symbolically, he signed the agreement
with the same pen that had been pre-
pared for Yanukovich to sign the docu-
ment last year.
Russia's Deputy Foreign Minister Grig-
ory Karasin immediately said the sign-
ing would have "grave consequences"
for Ukraine, Interfax news agency
reported.
SergeiGlazyev,asenioradvisertoRus-
sian President Vladimir Putin, described
Ukraine on Thursday as a fascist
regime,accusingEUleadersofcreating
a "Nazi Frankenstein".
However, Kremlin spokesman Dmitry
Peskov was quoted on Friday by Inter-
fax as saying Glazyev’s comments "do
not reflect the official point of view". ―
Reuters •
20 INTERNATIONAL NEWS
Ukraine signs trade agreement with EU
Mr Poroshenko

21. An opportunity has arisen to enable HelpAge Zimbabwe to facilitate the
implementation of the Rural WASH project, to improve water, sanitation and hygiene
in Bubi District
1. Carry out an assessment of the WASH related health risks and needs within - General Bookkeeping- Cash book and petty cash management
the targeted population and make recommendations for actions which are - Order and control office stationery
consistent with agreed guidelines and protocols. - Liaise with project staff in procurement and maintenance of project stocks
2. In conjunction with the local authority and relevant government departments records
make recommendations regarding HelpAge Zimbabwe response to unmet - Preparation of Donor Financial reports
needs. - Bank reconciliations
3. Facilitate the implementation of SafPHHE in conjunction with the WASH - Filing all office documents
officer and/or other stakeholders. - Financial and programmes reports, vouchers, program and office meetings
4. Involve affected populations in assessment of the situation and in planning minutes
activities and the design of water and sanitation facilities. - Monitoring and securing adherence to organization and donor administrative
5. Identification and training of ward based SafPHHE facilitators and health club processes
facilitators. - General Office Administration
6. Write regular reports adhering to HelpAge Zimbabwe and donor reporting
formats as required.
- Degree in Accounting or equivalency and/or accounting
- Computer knowledge
1. Degree in Environmental Science or other relevant qualification
- Knowledge in Pastel/accounting package
2. Knowledge of public health and one or more other relevant areas (e.g. health
- Skills to manage own work and meet deadlines
promotion, community development, education, community water supply).
- Clean Class 4 driver's licence
3. The post holder should have at least two years` practical experience in
appropriate community health programmes.
4. Experience and understanding of community mobilisation in relation to water
Send CV and an application letter to info@helpage.co.zwand sanitation activities.
Deadline for application 30th June, 2014.5. Sensitivity to the needs and priorities of disadvantaged populations.
6. Demonstrated experience of integrating gender and diversity issues into
public health promotion.
7. Good oral and written reporting skills.
8. Good communication skills and ability to work well in a team.
9. Ability to work well under pressure and in response to changing needs.
10. Ability to travel at short notice and to work under difficult circumstances
11. Good written and spoken English and Ndebele are essential.
2. Vacancy: Administration Assistant
Station: Bubi District
Key Result Areas Job Description
Qualifications and Person Specification
SKILLS AND COMPETENCIES
To Apply
- 2 years` experience in office administration
1. Vacancy: Participatory Health and Hygiene Education Officer
TLM-DI159207-T26
Two vacancies have arisen in HelpAge Zimbabwe.
BH24

22. By Carlos Lopes
....continued from yesterday
Many African governments spend a
disproportionateamountoftheirscarce
resources on procuring medicines. For
instance, in 2006, Mali and Burundi,
spent 2.3% and 2.9% of their GDP on
such imports. Trends now indicate that
new health challenges facing the con-
tinent will generate for their demands.
Non-communicable diseases, like heart
disease, lung disorders, diabetes and
cancer, are rising due to demographic
and lifestyle changes. These conditions
willaccountforhalfthedeathsinAfrica,
surpassing those provoked by infec-
tious disease.
An additional difficulty results from the
excessive use of originator brands,
with much higher prices than the low-
est-priced generic equivalents. To add
to this concoction, the poor quality of
drugs and their regulation not only fuel
illicit transactions but also contributes
to health problems. It was not long ago
that 64% of antimalarial drugs in Nige-
ria were found to be counterfeit!
The benefits of scaling up local produc-
tion of medicines
To pave a sustainable path for Africa’s
health systems, scaling up pharma-
ceutical production is essential. It can
increase the share of population with
access to vital medicines, including
in rural areas at a lower cost. Better
health is central for people’s opportu-
nities and contributes for them to be
more productive. The economic cost of
disease is well known for families and
the national economies. The direct and
indirect impact of malaria alone is esti-
mated at US $12 billion annual African
income. Local production of medicines
is possible and has become imperative.
With economic growth projected to
keep growing and the continent pur-
suing an agenda for economic trans-
formation, there is a huge market
opportunity. Local manufacturing
would create modern jobs, stimulate
economic activities and many ways
increase productivity.
The pharmaceutical industry involves
legal, scientific, technical, fiscal and
financial aspects. In order to step up
their production capability, countries
need to tackle challenges on a variety
of fronts. These range from R&D and
exploring the full utilization of the Trade
Related Aspects of Intellectual Property
Rights (TRIPS) flexibilities, tax and tar-
iff policies, drug regulatory and regis-
tration systems and, of course, building
infrastructure.
In some pockets of the continent, pre-
dominantlyinNorthAfricaandinSouth
Africa, the status of local manufactur-
ing of pharmaceutical products has
gained a sturdy foothold. For example,
Egypt and Tunisia produce, most of
their national requirements for essen-
tial medicines.
Morocco, the second largest African
pharmaceutical producer, after South
Africa, has 40 pharmaceutical indus-
trial units supplying 70% of domestic
demand and exporting 10% of their
production, particularly to neighbour-
ing African countries. Significant pro-
duction capacity is being developed
and enriched in Tanzania, Kenya,
Uganda, Ethiopia, Ghana, and Nigeria.
Mozambiquehasjustcommissionedan
ARV plant with the help of Brazil.
Africa hosts some of the leading global
innovators and generic manufacturers.
StarwininGhana,SaidalinAlgeria,Uni-
versal in Kenya, Aspen in South Africa,
or Cipla in Nigeria are home grown
manufacturers. This just demonstrates
that Africa is producing medicines that
meet international standards.
In order to enhance the pharmaceuti-
cal industry, there is a need for fewer
structures and harmonization of pol-
icies through regional integration.
Intra-Africa trade offers the prospect
of strengthening and better exploiting
regional supply chains and expanding
economies of scale. This would also
make larger investments attractive.
To be able to generate wealth and give
its future generations a chance, Africa
must take ownership of its health.
Carlos Lopes is the Executive Sec-
retary of the Economic Commis-
sion for Africa, headquartered in
Addis Ababa, Ethiopia. •
22 Analysis
Manufacturing pharmaceuticals: An untapped opportunity