By Kuda Pembere
Zimbabwe’s Treasury raised ZiG685.8 million (about US$25.4 million) from the sugar tax between January and May 2025, with the funds earmarked for the procurement of cancer equipment and medication.
This was revealed by Finance, Economic Development and Investment Promotion Minister Professor Mthuli Ncube during the Mid-Term Budget Review presentation on Thursday.
Prof Ncube introduced the sugar tax in 2024, and by November of that year, over US$30 million had been collected, according to his Permanent Secretary, George Guvamatanga.
“Government introduced a levy on sugar content in beverages meant to discourage the consumption of high-sugar-content beverages, in response to growing concerns about the adverse health effects of sugar,” said Prof Ncube.
“Part of the funds are being ring-fenced for therapy and the procurement of cancer equipment for diagnosis. During the period January 2025 to May 2025, resources amounting to ZiG685.8 million, which is equivalent to US$25.4 million, have since been mobilised.”
The Ministry of Health and Child Care, the Finance Minister said, has already initiated procurement processes for the equipment and is expecting delivery before the end of the year.
The ministry’s Permanent Secretary, Dr Aspect Maunganidze, was quoted outlining the breakdown of the planned purchases.
“The Ministry of Health and Child Care received a budgetary allocation of US$30 million earmarked for the procurement of cancer treatment equipment,” he said.
“In accordance with applicable Public Procurement laws and regulations, the equipment was grouped into Lots 1 to 7, and a competitive tendering process was undertaken. All requisite procurement stages, namely commercial, technical, and financial evaluations, were duly conducted.”
Added Maunganidze: “Pursuant thereto, the following awards were made and approved by the Procurement Regulatory Authority of Zimbabwe (PRAZ): Lot 1, supply of two multi-energy linear accelerators, and Lot 5, supply of two wide bore CT simulators to Select Healthcare (Private) Limited for a total contract sum of US$18,882,640.27, inclusive of VAT [value-added tax].
“Lot 2, supply of two low-energy linear accelerators, was awarded to Sate Wave Technologies for a total contract value of US$8,390,400.”
He said Lots 3, 4, 6, and 7 did not meet the requisite technical specifications and would be re-tendered in line with established procurement regulations.
“The ministry shall initiate a re-tendering process in respect thereof, in line with established procurement laws and regulations,” he said.
However, Maunganidze did not specify what Lots 3, 4, 6, and 7 were intended to cover.
“The cancer treatment equipment referenced above is intended for installation at central hospitals located in Harare and Bulawayo,” he said.
