Zimbabwe: Efforts to Revive National Glass Industries Intensify

IDC public relations manager Mr Derrick Sibanda said they were still awaiting the findings of the financial evaluation by Jingnui (Zimbabwe Investments) Private Limited.



"The joint team has completed the technical evaluation of converting the infrastructure to suit the new technology.



"If the financial feasibility currently underway determines that the estimated cost of the conversion exceeds the cost of setting up a new plant, the Industrial Development Corporation of Zimbabwe Limited will go back to the original plan of converting the plant into a specialty glass factory," he said.



National Glass Industries was set up by the IDC and its technical partner Romanian firm, Romsit in 1993.



The glass firm however closed shortly afterwards as it produced poor quality glass, which cracked due to overheating, a factor that was blamed on Romsit.



Romsit denied responsibility resulting in IDC seeking recourse at the International Chamber of Commerce (ICC), which ruled that the failure by Romsit to rectify the defects in the plant, was responsible for the damage incurred at the project.



It was then established that IDC was entitled to the rehabilitation costs of the glass project incurred in financing the reconstruction of the plant.



Romsit appealed against the judgement by the ICC, which prompted IDC to take the case to the Romanian Supreme Court, which ruled in its favour (IDC).



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