Market Brief on Zambia

December 2015

Location Facts and Figures

Zambia is a landlocked country in Southern Africa, neighbouring the Democratic Republic of the Congo to the north, Tanzania to the north-east, Malawi to the east, Mozambique, Zimbabwe, Botswana and Namibia to the south, and Angola to the west.

Total Population 15.06 million

Area 743 398 sq.km

Time Zone +2 hrs GMT

Capital City Lusaka

International Telephone Code

+260

Currency Kwacha

Exchange Rate 1US$=10.89 Kwacha (16/12/2015)

GDP (Dec 2015) US$25.6 Billion

GDP per capita US$ 1,721.6 (2015 est.)

GDP Growth Rate 6.5% (2014 est.)

Ease of Doing Business (World Bank 2015)

97/189

Inflation Rate 7.8 % (2014 rate)

Official Language(s)

English

Cities and Population Other Languages Bemba, Nyanja, Tonga, Lozi, Chewa

Business Hours 0800 hrs-1700 hrs Lunch 1300-1400 hrs

Banking Hours 0900-1530 hrs (weekdays) 0830-1200 (Sat)

Literacy Rate 63.4%

Measures Metric System

Important International Participation

UN, AU, SADC, COMESA, WTO

City Population

Lusaka 1,267,440

Kitwe 400,914

Ndola 394,518

Kabwe 188,979

Chingola 148,564

Mufulira 120,500

Luanshya 113,365

Livingstone 109,203

45%

19%

8%

7%

4%

4%

2%

2%

1%1%

7%

Switzerland China DRC

South Africa Singapore Australia

UAE Zimbabwe Malawi

United Kingdom Other

33%

15%9%

8%

4%3%

3%

2%

2%

2% 19%

South Africa DRC China

Kenya India UAE

United Kingdom Kuwait Japan

USA Other

Zambia Trade with the world

Major import sources of Zambia (2014) Major export destinations of Zambia (2014) Na

-

2

4

6

8

10

12

2010 2011 2012 2013 2014

Exports Imports

Source: Trademap Source: Trademap

Source: Trademap

US$

Bill

ion

13%

11%

4%

3%

3%

2%2%

2%2%

2%2%

54%

Copper ores and concentrates

Petroleum oils, not crude

Trucks, motor vehicles for the transport of goods

Structures (rods, angle, plates) of iron & steel

Construction Machinery

Cars (incl. station wagon)

Mining machinery

Mineral or chemical fertilizers, nitrogenous

Cobalt ores and concentrates

Crude petroleum oils

Pharmaceuticals

Other

73%

2%

2%

1%

1%

1%1%

1%

1%

1%1%

15%

Refined copper and copper alloys, unwrought

Sulphuric acid; oleum

Tobacco unmanufactured; tobacco refuse

Cane or beet sugar and chemically pure sucrose, in solid form

Cobalt mattes& other products and articles of cobalt

Gold unwrought or in semi-manufactured

Precious & semi-precious stone

Copper wire

Electrical energy

Molasses resulting from the extraction or refining of sugar

Cement

Other

Major import products of Zambia (2014) Major Export products of Zambia (2014)

Zimbabwe-Zambia Trade

(50)

(40)

(30)

(20)

(10)

-

10

20

30

40

50

60

2010 2011 2012 2013 2014

Exports Imports Trade balance Source: Trademap

Source: Trademap Source: Trademap

US$

Mill

ion

19%

10%

6%

6%

5%

4%3%3%

3%

3%

38%

Tobacco, unmanufactured, not stemmed or strippedMaize (corn)Soya-bean oil-cake & other solid residuesAnimal feed preparationsSoapBarleyWaters including mineral &aeratedDiesel powered trucksAutomobilesSweet biscuitsOther

Zimbabwe’s major exports to Zambia (2014)

Value in 2014

US$ ‘000

Annual growth in value between 2010-2014, %, p.a.

Fish 14,217 56

Portland cement 6,055 23

Poles treated/painted 5,709 43

Cartons, boxes and cases, of corrugated paper or paperboard 4,494 25

Cigarettes 4,052 -1

Lead-acid electric accumulators of a kind used for starting piston engines 3,766 17

Margarine, excluding liquid margarine 2,471 46

Seats with wooden frames, upholstered 2,446 21

Iron and steel products 2,147 -

Iron and steel structures 2,128 -

Boxes, cases, crates & similar articles of plastic 1,898 -11

Preparations of cereals, flour, starch/milk for infant use 1,705 25

Bedroom furniture, wooden 1,654 35

Source: Trademap

Zimbabwe's imports from Zambia (2014) Zimbabwe products with export potential to Zambia

Structures (rods, angle, plates) of iron & steel

Mineral or chemical fertilizers, nitrogenous

Pharmaceuticals

Electric transformers

Mixtures of nitrogen, phosphorous or potassium fertilizers

Pumps for liquids; liquid elevators

Fish, frozen

Insulated wire/cable

Articles of iron or steel

Refrigerators and freezer

Insecticides, fungicides and herbicides

Tap, cock, valve for pipe including pressure reducing valve

Agricultural, horticultural, forest, bee keeping machinery

Furniture and parts thereof

Transmission shafts &cranks, bearing housing; gearing

Washing & cleaning agents/preparations

Electrical apparatus for switching

Fruit & vegetable juices, unfermented

Cast articles of iron or steel

Source: Trademap

Useful Addresses Preferential Trade Arrangements

Embassy of the Republic of Zimbabwe Plot 11085 Haille Selassie Avenue Longacres P. O. Box 33491 Lusaka Tel: +260 1 254018; 254006; 254012; 254022 Fax: +260 1 254046 E-mail: zimlusaka@zimfa.gov.zw Embassy of the Republic of Zambia Zambia House 48 Kwame Nkrumah Avenue P. O. Box 4698 Harare Tel: +263 4 773777/80 Fax: +263 4 773782 E-mail: zambiae@mweb.co.zw

Zambia Chamber of Commerce and Industry Lusaka Showgrounds P.O. Box 30844 Lusaka Phone: +260 211 252 483 Mobile +260 971 581467 Fax: +260 211 253020 Email: secretariat@zacci.co.zm Website: http://www.zambiachamber.org/

Trade Fairs Agritec Expo, Chisamba 14-16 April 2016 Tel: +27 217003520 Email: Emmanuelle.nicholls@spintelligent.com Website: www.agritech-expo.com Zambia International Trade Fair, Ndola 29 June - 5 July 2016 Tel: +260 212 651514/5 Fax: +260 212 651704 Email:zitf2000@coppernet.zm; marketing@zitfs.org.zm Website: www.zitf.org.zm Zambia Agriculture & Commercial Show, Lusaka 27 July–1 August 2016 Tel: +260 1 253 426/ 415 Fax: +260 1 254 898 Email: acsz@zarnet.zm Website: www.acsz.co.zm

COMESA Free Trade Area

The Common Market for Eastern and Southern Africa (COMESA) is a regional integration grouping of African States which have agreed to promote regional integration through trade development and to develop their natural and human resources for the mutual benefit of all their peoples.

COMESA Member States established a Free Trade Area (FTA) on 31 October 2000. Fourteen States (Burundi, Comoros, Djibouti, Egypt, Kenya, Libya, Madagascar, Malawi, Mauritius, Rwanda, Sudan, Seychelles, Zambia and Zimbabwe) are participating in the Free Trade Area.

COMESA Simplified Trade Regime

COMESA implemented Simplified Trade Regime (STR)

to help the small trader to benefit from the preferential

rates enjoyed by commercial traders when importing or

exporting goods within the COMESA Bloc. The regime

is operational between Zimbabwe and Zambia, and

Zimbabwe and Malawi. The maximum value of goods

traded under STR is US$1 000.

STR is used for goods that have been grown or wholly

produced in the COMESA Region. The trader will

complete a simplified customs document (declaration

form) and a simplified COMESA certificate of origin.

These documents are filled in at the border post by the

trader and certified by a customs official. Goods to be

exported should comply with the normal food safety,

plant and animal health regulations including

environmental protection. Import or export permits

needed to import or export certain agricultural foods

and animal products are still required.

SADC Trade Protocol Zimbabwe and Zambia are both members of the SADC

Protocol. The Protocol is an agreement between SADC

Member States to reduce customs duties and other

barriers to trade on products from each other. By

January 1, 2008, most customs duties (on 85% of tariff

lines) had been eliminated for goods originating from

SADC Member States.

For more information on trading under COMESA FTA, COMESA STR and

SADC Trade Protocol refer to ZimTrade’s “Guide to Zimbabwe’s Trade

Agreements”.