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A Cry for Recognition and Protection: Zimbabwe’s Forgotten Informal Cross-Border Traders

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This research paper examines the role and challenges of informal cross-border trade in Zimbabwe, specifically in the context of government-imposed import bans on basic commodities. It argues that while governments view informal trade as a source of revenue loss and unfair competition, it provides critical employment and essential goods in an economy with high formal unemployment.

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  • The Zimbabwean government introduced restrictive trade measures, including bans on importing basic commodities such as bottled water, baked beans, and body creams, to support domestic industries. However, these bans are expected to increase informal cross-border trade and informal economic activity, which is already estimated at 60%.
  • Informal cross-border trade is a major component of economic activity in the Southern African Development Community (SADC), accounting for 30-40% of total intra-SADC trade with a value of US$17.6 billion. Women make up to 70% of these traders.
  • In Zimbabwe, the informal economy is a vital source of livelihood, employing an estimated 5.7 million people. This is particularly significant given that formal economy unemployment is estimated at up to 90% and average monthly incomes ($100-$300) fall below the ZIMstat poverty line of $500.
  • Traders are driven to the informal sector by barriers such as lack of trading licenses, long border wait times, and overcharging by customs officials. Once engaged in informal trade, they face risks including the confiscation of goods, sexual abuse, and corruption where officials demand bribes.
  • To regularise trade, SADC countries could adopt Simplified Trade Regimes similar to those used by the East African Community and the Common Market of East and Southern Africa. These regimes simplify procedures for small traders and provide tax incentives to encourage formalisation.

Cite the original document

APA
South African Institute of International Affairs (2016). A Cry for Recognition and Protection: Zimbabwe’s Forgotten Informal Cross-Border Traders. https://saiia.org.za/research/a-cry-for-recognition-and-protection-zimbabwes-forgotten-informal-cross-border-traders/
Chicago
South African Institute of International Affairs. A Cry for Recognition and Protection: Zimbabwe’s Forgotten Informal Cross-Border Traders. 2016. https://saiia.org.za/research/a-cry-for-recognition-and-protection-zimbabwes-forgotten-informal-cross-border-traders/.
Wikipedia
{{cite report |author=South African Institute of International Affairs |title=A Cry for Recognition and Protection: Zimbabwe’s Forgotten Informal Cross-Border Traders |date=21 July 2016 |url=https://saiia.org.za/research/a-cry-for-recognition-and-protection-zimbabwes-forgotten-informal-cross-border-traders/ |access-date=17 August 2026 |via=Climate Insights Directory}}
BibTeX
@techreport{southafricaninstituteofinternationalaffairs2016cry, author = {{South African Institute of International Affairs}}, title = {{A Cry for Recognition and Protection: Zimbabwe’s Forgotten Informal Cross-Border Traders}}, institution = {South African Institute of International Affairs}, year = {2016}, month = jul, url = {https://saiia.org.za/research/a-cry-for-recognition-and-protection-zimbabwes-forgotten-informal-cross-border-traders/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }

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