Govt cracks down on grain buyers

… enforces 40% local sourcing rule

CLOUDINE MATOLA

 

The Agricultural Marketing Authority (AMA) has tightened enforcement of local grain procurement requirements, making it mandatory for grain buyers to prove they have sourced locally before being granted import permits, Business Times can report.

 

The move follows the introduction of Statutory Instrument (SI) 87 of 2025, which seeks to strengthen domestic agriculture, reduce reliance on imported grain and oilseeds, and compel processors to increase purchases from local farmers.

 

AMA chief executive officer Alice Mapfidza said import permits would only be issued to buyers who comply with the mandatory local procurement threshold.

 

“It is imperative that buyers understand that we need to purchase 40% locally. It’s important that we give it priority. We do everything in our power to support local farmers in Zimbabwe. So we will give import licenses as long as you meet your threshold. The threshold is 40%-60% framework. You purchase your local grain in Zimbabwe, you give us evidence, and when you give us the evidence, you are able to get your import license,” Mapfidza said.

 

She said the regulator was confident that Zimbabwe had sufficient maize supplies and that priority must be given to local producers before importation is considered.

 

“We are sure that there is a supply of maize in Zimbabwe and so you will see that this framework is saying we should prioritize local procurement of grain in Zimbabwe and then we can start thinking about the import. The prioritization of local grain in Zimbabwe has ripple effects on our local industry. When a person buys maize, we can get mealie-meal, stockfeed and other products. We also believe this can encourage job creation. For us as a regulator, the priority is clear: let us purchase the produce available in Zimbabwe first before prioritizing imports,” she said.

 

Under the new framework, AMA will oversee regulatory compliance and import permit administration, while the Zimbabwe Mercantile Exchange (ZMX) will provide the digital platform used to verify procurement transactions. The Grain Marketing Board (GMB) will provide storage infrastructure, supported by approved private warehouse operators.

 

“AMA will provide overall regulatory and supervisory oversight, including participant registration, compliance supervision and import permit administration. ZMX will provide the online trading, reporting, monitoring and verification platform through which procurement transactions, contractor purchases, warehouse receipts and imports will be recorded and verified. The Grain Marketing Board (GMB) will provide the backbone storage infrastructure supporting the framework alongside approved private warehouse operators across the country. The framework is expected to improve market access for farmers, strengthen demand for local grain, enhance price transparency, improve visibility over procurement and import flows, and support more effective national food security planning,” the joint statement said.

 

ZMX chief executive officer Collen Tapfumaneyi said the exchange would now roll out hybrid grain auctions across production centres nationwide to improve market access for small-scale farmers.

 

He said while online auctions introduced in April had largely benefited large-scale commercial farmers with access to digital platforms, the exchange was now shifting towards a hybrid model combining physical and virtual auctions.

 

“So, as you know, ZMX rolled out its auctions from the 1st of April. Basically, they are online auctions, and we had the first inaugural auction, which was physical at the Harare Showgrounds, and after that we’re having online auctions. These auctions have largely served the large commercial farmers who have access to online tools and all that.

 

“We have deliberately delayed going physical because the grain was still drying. Most of the grain from small-scale farmers took a bit of time to dry because the rains continued until recently. Now that the grain is drying, and in recognition of some of our farmers, especially small-scale farmers, who may not have online access tools, ZMX will now be going to various centres across the country, particularly in high-production areas, to conduct hybrid auctions that will be broadcast live on our virtual platforms while also allowing physical participation. This is meant to ensure small-scale farmers can effectively access the market,” Tapfumaneyi said.

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