LIVINGSTONE MARUFU
Farmers are demanding that the government should make principal payments plus compound interest in order to make up for the delay in payment for the grain they delivered to the Grain Marketing Board (GMB), Business Times can report.
The demand was made after the government neglected to pay for the wheat and maize that were provided from June to December last year.
The Zimbabwe National Farmers Union member Edward Dune told Business Times that farmers are in a dire situation following the non-payment by the government.
“We respect the Treasury’s commitment towards the payment of grain but we are concerned with the delays in payments to some of the farmers. The delay dates back to July which is unacceptable.
“We demand that the Treasury should immediately pay farmers their US$ at an interest to cover for the lost time and on RTGS, the fiscal authorities should pay at the prevailing rate of payment,” Dune said.
“We don’t want a situation whereby the government pays at the prevailing rate of the day of delivery because that money no longer makes sense to us as it’s now worthless.”
The farmers said farming is a business hence the government should pay on time to allow investments to take place on the farms.
“Why is it that banks and contractors charge farmers penalties and when it comes to the government it does not honour that,” Dune added.
The situation is dire, ZNFU chairman Stewart Mubonderi said, as farmers themselves are food insecure hence they need their money to buy food.
“Farmers direly need the money to buy grain for their families and pay fees but with the Treasury not releasing the money, most growers are in a predicament as they don’t have the food for the next eight to ten months.
“Some farmers have delivered their grain as far back as June last year and are yet to receive payments, hence the situation is tense.
“We think if they can get their money they can use it to buy food which is a challenge right now for most of the families in the country given the current El Nino,” Mubonderi said.
