By Beatific Gumbwanda
Zimbabwe’s sugar industry is facing a potential explosion of industrial unrest following the strategic withdrawal of the country’s sole sugar-producing giant, Tongaat Hulett Zimbabwe (THZ), from the National Employment Council for the Sugar Milling Industry (NECSMI).
The move, which saw THZ subsidiaries Triangle Limited, Hippo Valley Estates (HVE), and the Zimbabwe Sugarcane Association Experiment Station (ZSAES) pull out of the specialized council, is seen as a tactical shift to join the National Employment Council for the Agriculture Industry (NEC Agriculture).
THZ Industry and Corporate Affairs Executive, Doctor Dahlia Garwe, confirmed the withdrawal, stating simply that Triangle, HVE, and ZSAES had indeed moved to join NEC Agriculture.
“Yes. That is the correct position. Triangle, HVE and ZAES have pulled out of the National Employment Council of the Sugar Milling Industry and are joining NEC Agriculture,” she said.
The primary driver behind this migration appears to be a drastic reduction in labor costs. Under the previous NECSMI framework, the lowest-paid workers received a monthly wage of US280. However, following the shift, THZ has already implemented pay cuts, reducing those wages to US180.
By joining NEC Agriculture, THZ aligns itself with a council that stipulates significantly lower minimum wage requirements, with Grade A1 (Lowest Paid) having a Minimum of US$80 per month. Grade C2 with a minimum of US$159 per month.
The move has been met with fierce resistance from labor representatives. Secretary General of the Zimbabwe Sugar Milling Industry Workers Union (ZSMIWU) and current NECSMI Chairperson retired army captain Faster Gono slammed the move as “improper”.
Gono argued that the volumes of scale between a multinational giant and small-scale farmers make the comparison invalid.
“It is not possible that someone with in excess of 1000 hectares equals someone with a minimum of 20 hectares.
“THZ should not look at retaining high profit volumes whilst underpaying their workers according to their volume of scales,” added Gono
Gono further noted that while small out-grower farmers currently struggle with lower scales, they would be willing to pay higher wages of up to US$350 if they operated at the same capacity as THZ.
2025 has proven to be a disastrous year for the sugar sector. Beyond the current wage dispute, the industry has been rocked by Mass Retrenchments as close to 1,000 employees were laid off by THZ earlier this year.
THZ is reportedly seeking the total dissolution of the NECSMI following its withdrawal from the Zimbabwe Sugar Milling Industry Employers Association (ZSMIEA) effective September 1, 2025.
As the industry teeters on the edge, the transition from industrial milling status to a general agricultural subsector threatens to redefine the livelihoods of thousands of workers in Zimbabwe’s Lowveld.
