BuyZed to Promote Local Content through Trade in Services in Zambia

PART 1

20.05.2024

Trade in services is often ignored especially in developing countries but it remains a strong catalyst for buttressing economic development of any country worldwide today, said Dr. Kelvin Kamayoyo, Chief Technical Advisor for BuyZed Campaign. It is for this reason that the BuyZed Campaign a Zambian vibrant advocacy organisation has prioritised the need to promote trade in services as a means to expand and accelerate implementation of the national local content strategy.

BuyZed Campaign is of the considered view that rapid industrialisation maybe challenging to experience if the aspect of trade in services remain unexploited. The services often traded include travel, postal, telephone, satellite communication services, construction services, insurance and financial services, computer and information services, transport and distribution, cultural and recreational services, and professional services. Services are mostly traded as a complement to goods and mainly as an intermediate input.

There is need to earnestly unpack the potential that trade in services possess and clearly explain to the general public the pivotal role the services sector can further play in the socio-economic transformation agenda of our country. To achieve this BuyZed Campaign alongside other stakeholders intend to rigorously promote trade in services in Zambia through enhancing commerce literacy and attract investment in the services sectors. Most importantly the literacy campaign will help to demystify the complexity and inertia associated with trade in services and also encourage relevant local tertiary institutions to embrace the subject in their education curriculum.

Notwithstanding, trade in services often drives the exchange of ideas, technology and know-how though its exploitation is often limited due to among others lack of awareness about it’s importance and how to either supply or consume any of the available services. Unlike trade in goods that is less complicated trade in services has four modes of supply which include: cross-border trade (Mode 1), consumption abroad (Mode 2), Commercial presence (Mode 3), and temporary movement of natural persons (Mode 4). Suffice to note that in most thriving economies the services industries may even account for more than 70% of their gross domestic product.

For comments please contact the author on WhatsApp line: +260952879001

Disclaimer: The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy of Melo Media Zambia.