Farmers struggle as govt delays US$ payments

LIVINGSTONE MARUFU

 

Zimbabwe farmers are feeling the heat amid revelations the government has not paid the promised US dollar component for grain delivered to the State-owned Grain Marketing Board (GMB) which has stalled preparations for the upcoming agricultural season.

The farmers are supposed to be paid US$335 per tonne for maize. Out of this the farmers are supposed to be paid US$200 into their nostro accounts and US$135 converted into the Zimbabwe dollars at the prevailing official rate.

Business Times can report that the government has only paid the Zimbabwe dollar component.

Zimbabwe National Farmers Union chairman Stewart Mubonderi told Business Times that farmers need the US$ component “as quickly as possible” before the new season kicks off to buy inputs before companies increase prices in preparation of the new season.

“It was a noble move to increase the hard currency to US$200 per tonne this year from US$90 but there is a need to quicken the payments,” Mubonderi said.

A Mazowe farmer, Ancacaria Mutumba, said the delays in payments have thrown summer preparations into disarray.

“It’s almost a month now since I delivered my maize to the GMB but I only received the ZWL$ component and there is no communication as to when the US$ component is going to be paid. This will affect my planning as most inputs are indexed in US$. Government must hasten my payment so that I can buy my inputs before input suppliers increase prices hence I should get my hard currency as soon as yesterday to plan my agricultural season,” Mutumba said.

Speaking at the Post-Cabinet briefing on Tuesday, Information, Publicity and Broadcasting Services minister Monica Mutsvangwa said the government was concerned with the delays in payments on all crops delivered at various marketing boards.

“Cabinet deliberated at length on the importance of paying farmers on time for the delivery of all crops, and the government is seized with accelerating payments for the deliveries. This will ensure that the record-high agricultural production figures and the transformative agenda are sustained,” Mutsvangwa said.

It is understood that a cumulative 49 694 mt comprising 33 008 mt of maize, 9 095 mt of traditional grains, 4 780 mt of soya bean and 2 773 mt of sunflower have been delivered to the GMB as of July 9 , 2023.

Mashonaland West had the highest maize, soyabean and sunflower intake, while Mashonaland Central was highest in traditional grains production.

Midlands is increasingly becoming a maize producer of repute, surpassing Mashonaland East in overall production.

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