By Kelvin Chisanga
Zambia’s next phase of economic development must focus on transforming its natural resource wealth into productive industries, jobs and sustainable economic opportunities.
The proposed Zambia Economic Diversification and Export Competitiveness Programme (ZEDECO) provides a framework for achieving this ambition by strengthening domestic production, promoting value addition and increasing export competitiveness.
Inspired by lessons from Angola’s PRODESI model, ZEDECO would be tailored to Zambia’s unique strengths copper, agriculture, energy, regional trade and human capital.
The objective is to move Zambia from an economy that primarily exports raw commodities into one that produces, processes and exports higher-value goods.
A major pillar of ZEDECO would be copper industrialisation. With global demand rising due to electric vehicles, renewable energy and digital technologies, Zambia must maximise the economic benefits of copper by developing downstream industries such as cable manufacturing, electrical equipment production, battery value chains and mining supplier industries.
Agriculture must also become an industrial sector. Instead of exporting raw commodities, Zambia should expand agro-processing through investments in milling, food manufacturing, livestock processing, oil production and packaging industries.
This would increase rural incomes, create jobs and reduce dependence on imported food products.
ZEDECO would also strengthen access to affordable finance for SMEs, manufacturers and farmers while promoting technology adoption, skills development and innovation.
Local content policies should focus on building competitive Zambian companies capable of supplying major sectors and participating in regional markets.
Zambia’s growing energy capacity provides another opportunity. Reliable and affordable electricity should become a foundation for industrial growth by supporting manufacturing, mining value addition, agro-processing and emerging green industries.
The success of ZEDECO would depend on strong collaboration between government, the private sector, financial institutions and development partners. Government should provide the policy environment, infrastructure and incentives, while businesses drive production and innovation.
Ultimately, economic diversification is not about replacing one sector with another; it is about creating a productive ecosystem where resources generate industries, industries create jobs and businesses compete in regional and global markets.
ZEDECO represents a vision of moving Zambia from resource dependence to industrial competitiveness, transforming copper, agriculture and energy potential into lasting economic prosperity.
