ZNS – I Beg To Differ
By Dickson Jere
Going by public sentiments, it appears the majority of Zambians support the launch of Eagles Holdings Limited by Zambia National Service (ZNS), which is an auxiliary Army. The support is primarily that it will provide cheaper good and services as that other countries like China have done the same. I take a different view on this matter.
Firstly, I am interested to know how these companies will relate with Industrial Development Corporation (IDC) chaired by the President. As you know, in Zambia, only, the Minister of Finance can hold shares on behalf of Zambians. So, IDC shares are held in trust by the Minister of Finance pursuant to the Minister of Finance (Incorporation) Act, Chapter 349 of the Laws of Zambia. Who owns Eagles Holdings? Where will it report? IDC?
Secondly, I take a different view on this especially that ZNS is entering in sectors that should be left for our struggling entrepreneurs.
Here is my brief take;
1. Eagles Alert Security Company – has been formed by ZNS to provide security and compete with private players. I find this unfair to small players proving private security to our companies and homes. Most of us will have to sign up for cheaper services from ZNS and this will lead to the collapse of private companies. Where will these young and uneducated guards going to go? Those working for ArmSecure, Amaguard, Eagles Eye Security. Anyway, our homes will now be guarded by ZNS!
2. Eagles Events and Advertisement Limited – has been formed by ZNS. However, this is sector where most young Zambians have invested heavily in sector. They have small studios and trying to hard to share the little business. They need to be supported by institutions like CEEC to grow. But allowing ZNS in this sector will wipe them out as companies will always go for the cheaper services.
3. Eagles Bus Service Limited – has been formed by ZNS to compete with our one Euro Africa, UBZ, Jonda, and all. Since the concept of ZNS is cheaper services, most of these players will wind up and create unemployment. We kicked out UBZ to allow private players in this market and it has grown significantly well.
4. Eagles Blocks & Pavers Limited – this is sector which we should encourage our youths to enter give the massive construction going on under CDF. I also an advocate that these Turks who have taken over this business must be made to partner with our youths. Now with ZNS in this small sector, how will these young people compete especially on government projects to supply these things? We need to protect sector especially for youths…
5. Eagles Exploration & Mining – ZNS has entered this market. What is wrong with ZCCM-IH? Shouldn’t we be making ZCCM-IH more stronger to take huge equity in our mines especially that it is the government vehicle? How will these two government owned entities going to operate in the same field and competing?
I think ZNS should be use to enter emergency sectors as an auxiliary army. They should be talking about putting up a solar power stations to help beef up ZESCO power deficits and help reduce load-shedding and not making blocks and pavers!
We need to grow our local entrepreneurs and support them. ZNS should be giving contracts to our boys and girls to supply them blocks and pavers and not vice versa.
