weighted score 3.3 · ten dimensions
Sourcing Attractiveness Index · ten dimensions
Zimbabwe
Labour cost, supply base depth, logistics infrastructure, trade access, and innovation scores for Zimbabwe as a sourcing destination.
Labour cost competitiveness
8
Very low labour costs. Large working-age population. High unemployment provides labour availability. Among cheapest in Southern Africa.
Supply base depth
3
Mining operations for PGMs, lithium, chrome, gold. But manufacturing sector contracted since 2000. Limited processing capacity. Narrow industrial base.
Logistics & infrastructure
2
Landlocked. Road and rail severely degraded. Dependent on Mozambique/South Africa transit. Power supply unreliable. Load shedding frequent.
Workforce skills
4
Literacy ~90%. Mining engineers available but many emigrated. University of Zimbabwe produces graduates. Brain drain significant.
Scalability
5
Africa's largest lithium reserves. Significant PGM deposits (Great Dyke). Mineral potential high but raw export ban and infrastructure constraints limit scalability.
Ease of doing business
2
Colonial-era mining law. Indigenisation policies. Land reform precedent. Currency instability. Bureaucratic complexity. Targeted sanctions limit finance access.
Trade access & tariffs
3
ESA interim EPA limited. SADC and AfCFTA member. Mineral exports at MFN rates. Raw mineral export ban restricts direct trade. Small FTA network.
Sustainability baseline
2
Artisanal mining environmental damage. Mercury use in gold extraction. Deforestation. Limited environmental enforcement. No meaningful renewable energy deployment.
Innovation & IP
2
Minimal R&D investment. No significant patent activity. Technology imported. Limited innovation ecosystem. University research underfunded.
Quality standards
2
Quality infrastructure limited. ISO certification rare outside large mining operations. Product testing and certification capacity minimal.
Labour & Cost Competitiveness
Labour & Cost Competitiveness
- Wage levels
- Very low labour costs — minimum wage in mining sector approximately USD 250-300/month. Informal sector wages significantly lower. Among the cheapest labour markets in Southern Africa.
- Labour market
- Large working-age population (~16 million total). High unemployment and underemployment. Skilled mining engineers available but many have emigrated. Literacy rate relatively high for region (~90%).
- Total cost
- Low labour costs offset by unreliable power supply, poor transport infrastructure, and currency instability. Total cost of ownership analysis must factor in operational disruption risk.
Supply Base & Infrastructure
Supply Base & Infrastructure
- Mining base
- Significant mining operations for platinum group metals (Great Dyke), lithium, chrome, and gold. Africa's largest lithium reserves. $270M lithium sulphate plant planned with Chinese partners.
- Infrastructure
- Road and rail networks severely degraded after decades of underinvestment. Landlocked — dependent on transit corridors through Mozambique (Beira) and South Africa (Durban). Power supply unreliable with frequent load shedding.
- Industrial capacity
- Manufacturing sector has contracted significantly since 2000. Limited processing capacity outside mining. Raw mineral export ban (Feb 2026) aims to force domestic value-addition but processing infrastructure is not yet built.
Trade Access & Business Environment
Trade Access & Business Environment
- Trade agreements
- ESA interim EPA with EU provides limited preferential access. SADC member. African Continental Free Trade Area (AfCFTA) member. Mineral exports largely at MFN rates.
- Business environment
- Colonial-era Mines and Minerals Act (1961) still governs mining sector. Indigenisation policies have created uncertainty for foreign investors. Land reform precedent weighs on property rights perception.
- Currency risk
- Multiple currency crises since 2008 hyperinflation. ZiG (Zimbabwe Gold) introduced April 2024. USD dominant in practice. Currency instability is a material risk for long-term contracts.
- Sanctions impact
- Targeted US/EU sanctions on individuals and entities limit access to international finance. OFAC compliance required. Reputational risk for Western buyers.