Want to open a supermarket in Zimbabwe? Get ready for 25 licenses, permits before opening doors to public

Both OK Zimbabwe and Pick n Pay, the two largest supermarket chains, have recently opened new stores.

Other leading retailers, including Electrosales and Halsteds, are also expanding.

But the ribbon-cutting only comes after they have navigated a maze of licences and permits, which show the regulatory hurdles facing operators in formal retail.

“To operate a single supermarket in Zimbabwe, one needs more than 25 licenses and permits – a tall order for some of our members who operate over 50 branches each,” the Retailers Association of Zimbabwe says.

First, you need a shop licence from local authorities, then liquor licences from the council and the Liquor Licensing Board.

After this, you need a restaurant licence from the Zimbabwe Tourism Authority. You play music in-store, so you need a permit from the Zimbabwe Music Rights Association.

Then there’s the Seed Seller’s licence from the Seed Services Department in the Ministry of Agriculture. While there, you also need a pesticide licence.

You need a Livestock and Livestock Products licence from the Agricultural Marketing Authority.

Then there is the TV and Radio licence from ZBC. There’s also the Storage and Sale of Hazardous Materials licence from the Environmental Management Authority.

Remember, if you had to build a new store, you needed EMA and council permits to start with too.

The city council’s Environmental Management Unit also demands a Trade Waste and Discharge licence.

Because you have a generator, you need an Emissions Licence from EMA. This is separate from the requirement by ZERA to register a generator of above 100kw.

To add to these licences, a store also needs multiple permits from City departments, including permits for food handling, fire licences, ZIMRA, NSSA, the Medicines Control Authority of Zimbabwe, and other agencies.

To get these permits, you will have to visit multiple offices, from government agencies to councils.

Businesses have long suggested a one-stop-shop licencing regime, which works the same way the Zimbabwe Investment Development Agency does for foreign investors.

However, all this is not a problem for informal traders, who compete with formal retailers.

Most pay no tax, and are allowed to operate without all the costly permits larger retailers need.

NewZWire