Zambia’s government has enacted stringent measures against importers and exporters who flout laws favoring local carriers in the transportation of goods across the country’s roads.
Under the Transportation of Heavy and Bulk Commodities by Road (Reservation) Regulations, 2021—a regulation falling under the Citizens Economic Empowerment Act, 2006 (Act No. 9 of 2006)—these measures will be enforced.
Expressing concern over corporations consistently disregarding the law by prioritizing foreign transporters over Zambian ones, the government is taking action to rectify this issue.
Section 3(1) of the Act explicitly states that “any person who intends to transport a commodity by road shall give preference to a local road transporter in accordance with these Regulations.”
This rule impacts various entities involved in import and export processes, including producers, manufacturers, logistics companies, clearing and forwarding companies, and oil marketing companies, and extends to the transfer of goods to a company’s own premises.
For exports, the regulations are even more specific. Section 4 mandates that “a person who intends to export a commodity referred to in the Schedule, From the Republic to another country, shall ensure that at least fifty percent of the commodity is transported by a local road transporter.”
This ensures that a significant portion of export-related transportation business is awarded to Zambian companies.
The ministry responsible for enforcing these restrictions has issued a stern warning to all enterprises involved in Zambia’s import and export activities.
Non-compliance with the law will result in sanctions and legal action against violators. The Ministry emphasizes its readiness to collaborate with law enforcement agencies to ensure the effective enforcement of these measures.
This enforcement action reflects the government’s commitment to prioritizing Zambian businesses in the transportation sector.
Concrete steps have been taken by the Ministry to achieve this goal, including training authorized officers to enforce the Act effectively and ensuring that contracts for transporting heavy and bulk goods by road are awarded to local companies.
The Ministry encourages collaboration with all transportation companies operating in Zambia.
Companies facing difficulties in complying with the regulations or witnessing instances of non-compliance by exporters or importers are urged to reach out to the Ministry. This collaborative approach is vital for the successful implementation of these regulations.
The ultimate aim of these initiatives is to provide Zambian businesses in the transportation industry with more opportunities.
The government seeks to promote economic growth and create avenues for Zambian companies to thrive by allocating a significant share of transportation business to local operators.
This policy shift could bolster the local economy, generate employment, and advance the transportation sector in Zambia.
The effectiveness of these regulations and their long-term impact on the transportation sector remain to be seen.
Nonetheless, the government’s dedication to supporting local businesses signals its commitment to empowering Zambians and fostering economic growth within the country.
