Monday, March 10, 2014

Zimbabwe Farmers Call for Recapitalization of the Grain Marketing Board

Recapitalise GMB: Farmers

March 10, 2014
Agriculture Reporter
Zimbabwe Herald

Government must recapitalise the Grain Marketing Board to ensure an attractive producer price is paid to farmers on time during the 2014 grain marketing season, which starts in April.

This follows announcements by farmers’ organisations that they are expecting high maize yields this season.

Farmers have said the high yields will be put to waste if the GMB does not have capacity to buy and pay farmers instantly.

Zimbabwe Commercial Farmers Union president Mr Wonder Chabikwa last week said the major incentive for farmers to produce food crops was instant payment.

He said GMB had a good price of US$378 per tonne but its failure to pay on time was forcing many farmers to switch to crops like tobacco.

“GMB should be able to absorb the grains produced by farmers. Private buyers will only take advantage of farmers and offer unviable prices. Many cash buyers are offering prices below US$250 per tonne.

“GMB should also be in a position to buy small grains to promote production,” said Mr Chabikwa.

Zimbabwe Indigenous Women Farmers’ Association Trust president Mrs Depinah Nkomo said GMB should source funds now instead of waiting for the marketing season.

“Farmers should be able to buy inputs for the following season after selling their maize. But this has not been the situation as the GMB takes several months before paying farmers,” she said.

Agriculture economist Mr Midway Bhunu said Government and the private sector could partner to revamp the parastatal.

“What farmers want is a good price that is paid instantly. Commodity brokers will reap off farmers.

“Government and millers can come up with grain bills to mobilise funds to buy grain from farmers. GMB has vast infrastructure which will also benefit the private sector in case of a partnership,” he said.

The GMB is funded by Treasury. Its commercial operations are failing and is solely reliant on State funding.

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