Mozambique government warns of declining industrial production

The Mozambican government has expressed concern regarding a decline in industrial production, identifying it as a major obstacle to the nation's industrialization strategy and productive capacity. Economy Minister Basílio Muhate noted that while companies like the Issufo Nurmamade Group of Companies (GEIN) possess installed capacity, it is not being fully utilized.

Key factors undermining the sector include a shortage of foreign exchange, fiscal constraints, and limitations in domestic production required to supply the industrial sector. This decline occurs as the country continues to import more than it exports. To combat this, the government aims to increase the use of domestic raw materials and promote in-country resource processing to retain economic value and reduce import dependency.