CZR Applauds Cabinet’s Bold Retail, Wholesale Sector Reforms

Harare – The Confederation of Zimbabwe Retailers (CZR) has hailed the recent Cabinet decision to review and streamline licences, permits, levies, and fees in the retail and wholesale sector, describing the move as a major breakthrough in creating a more business-friendly environment.

The development, announced under the Government’s 29 July 2025 business reforms, signals a significant step toward improving the ease and cost of doing business in Zimbabwe, a cornerstone of Vision 2030.

In a statement released by CZR President Dr. Denford Mutashu on 7 October 2025, the organisation expressed gratitude to His Excellency President Dr. Emmerson Dambudzo Mnangagwa and the entire Cabinet for demonstrating strong political will to remove long-standing structural bottlenecks that have burdened formal businesses.

“This milestone reform is consistent with Government’s broader commitment to improving the ease and cost of doing business, enhancing national competitiveness, and promoting inclusive economic growth in line with Vision 2030,” said Dr. Mutashu.

For years, the retail and wholesale sectors have faced mounting challenges due to fragmented licensing systems, overlapping regulatory requirements, and high operational levies.

These burdensome measures, often imposed by multiple local authorities and regulatory agencies, have significantly inflated the cost of compliance, discouraged investment, and constrained the formalisation of small and medium enterprises (SMEs).

Under the newly approved reforms, Cabinet has endorsed the consolidation of fragmented licensing requirements into a single licence, the streamlining of duplicative and overlapping permits, and the removal or reduction of unnecessary levies and fees.

These changes will apply across key subsectors including wholesale trading, supermarkets and groceries, meat and butcheries, clothing, and furniture shops.

Among the most notable revisions, Cabinet approved the following changes include the following among many others,

The Liquor licence application fee has been drastically reduced to US$20 across all sectors, down from as high as US$1 080 for a wholesale liquor licence.

The Medicines Control Authority of Zimbabwe (MCAZ) permit for trading in veterinary products, previously pegged at US$200, has been completely removed.

The Local Authority bakery licence fee of US$703 has also been totally scrapped, providing immediate relief for small-scale bakeries and food processors.

Furthermore, Local Authority fees will now be capped for uniformity, eliminating inconsistencies that have historically existed between municipalities.

These reforms are designed to remove unnecessary costs, encourage business registration, and stimulate the growth of the formal retail economy.

By simplifying compliance requirements, Government aims to create a predictable, transparent, and investor-friendly regulatory environment.

Cabinet also reviewed a range of cross-cutting licences and levies that affect multiple sectors beyond retail and wholesale.

These include shop and business licences, Procurement Regulatory Authority of Zimbabwe (PRAZ) fees, fire compliance licences, environmental assessment consultation fees, property change-of-use fees, and bank charges.

Among the specific adjustments, the PRAZ regulatory licence on groceries and provisions has been reduced from US$120 to US$20.

The Health Report licence fee of US$661 will now be cut by 50%, making compliance more affordable for food retailers and manufacturers.

The NSSA elevator registration fee has been slashed from US$200 to US$20, promoting workplace safety compliance without imposing financial strain.

Cabinet also directed a reduction of bank charges and transfer fees to promote financial inclusion and formal banking.

These reforms, once gazetted, will provide wide-ranging relief to businesses struggling with high overheads, especially amid tight liquidity conditions.

The CZR has pledged full cooperation with Government and relevant authorities as the reviewed schedules are refined and officially gazetted.

Dr. Mutashu emphasized that implementation at the local level is critical to ensuring that the benefits of these reforms are felt immediately by operators on the ground.

“We call upon all local authorities and regulatory agencies to swiftly align their licensing frameworks with these Cabinet-approved reforms to ensure immediate relief for operators,” he urged.

He added that the confederation remains committed to working with Government to monitor implementation, address emerging challenges, and support further policy refinements.

Analysts believe that these reforms will accelerate the formalisation of informal traders, who have often cited high compliance costs as a barrier to registration.

Lower licensing fees are expected to encourage small businesses to transition into the formal economy, broadening the tax base and enhancing accountability.

By harmonising licensing structures and reducing bureaucratic red tape, Zimbabwe’s retail and wholesale sectors stand to become more competitive, efficient, and resilient.

The move is also expected to attract new domestic and foreign investment, create jobs, and stimulate value chain development in related industries such as agriculture, manufacturing, and logistics.

Economic observers have further commended the alignment of this reform initiative with the National Development Strategy 1 (NDS1), which prioritises private sector-led growth and the creation of a diversified, inclusive economy.

The streamlining of licences and levies is one of several measures being rolled out under the Ease of Doing Business agenda to position Zimbabwe as a regional investment destination.

It complements other reforms in tax administration, local governance, and financial services designed to modernise the business environment.

Dr. Mutashu concluded by reaffirming CZR’s unwavering support for Government-driven economic transformation initiatives that promote competitiveness, cost reduction, and sustainable development.

“The Confederation of Zimbabwe Retailers reiterates its full support for all Government-driven economic transformation initiatives that prioritise cost reduction, competitiveness, and sustainable economic growth — consistent with the mantra ‘Leaving No One and No Place Behind’.”

As Zimbabwe continues on its path toward achieving an upper-middle-income economy by 2030, these reforms mark a crucial step toward unlocking the potential of the retail and wholesale sectors — the heartbeat of domestic commerce and employment.