Economist Trevor Hambayi has described Lactalis Zambia’s decision to shut down its manufacturing site as a reflection of the high cost of doing business in the country.
Lactalis Zambia, the producers of Parmalat products, announced it would cease local manufacturing and instead import products from South Africa starting April 1, 2025.
Mr. Hambayi says liquidity challenges, loadshedding and a challenging economy is negatively affecting business.
“This decision by Lactalis will not only lead to job losses for many Zambians but will also contribute to the already high unemployment rate in the country,” said Mr. Hambayi.
He further noted that the closure of the manufacturing site should serve as a wake-up call for government to implement policies that foster a business-friendly environment.
Mr. Hambayi said that if left unchecked, the current economic landscape has the potential to force more businesses to shut down, exacerbating unemployment and weakening of the economy.
Angel Kasabo
