Grain farmers demand US$350 per tonne

LETTICIA MAGOMBO

Maize farmers are demanding US$350 per tonne during this year’s marketing season as the amount could help them to continue with production.

The development follows the government’s pegging of the maize  producer price at ZW$ 75 000per metric tonne, a figure which farmers suggest does not help them to get back to the fields.

With the local  currency on a free fall, farmers believe that ZW$75, 000/MT which is equivalent to just above  US$200 at the current parallel market exchange rate was insufficient to meet the high cost of production.

A  Goromonzi based farmer Joshua Nyamukacha told Business Times that all inputs are indexed in US$ hence the ZWL$  would not be useful to farmers.

“US$200/ tonne is not a fair price. Farming maize was particularly difficult this season and those who were able to produce high yields were very fortunate,” Nyamukacha said.

“For this year I do not think that I will be able to take my crop to the GMB. A lot of farmers will be holding their crop especially at that price. Those who are likely to forfeit their maize are probably A2 farmers who were able to produce larger yields or those who had access to irrigation. Farmers that relied on rainfall for the season were not able to produce as much this year.”

The rainy season was particularly short this year but the short period came with heavy rainfall and floods.

Even farmers who benefitted from the rainfall were left at a disadvantage with the shortage of fertiliser and excess rainfall leading to lower yields.

“The GMB should consider pricing in US dollars at a price of either US$300 or US$350 because the price of maize on the black market will be much higher than what they are offering and farmers will be more inclined to go there, and to markets where there are maize shortages in order to make a larger profit,” Nyamakacha said.

“And with the way the rate is going the amount being offered could become valueless in a short period of time. They announced it yesterday and by the time we take the maize to the market the money won’t be able to buy a bag of fertiliser.”

Another farmer  Edith Mururami also echoed his sentiments, emphasizing that the money being offered will be insufficient to meet the basic costs of production.

“Currently fertiliser and labour costs are all in US$. An average farm hand demands about US$4 per day for labour and with school fees to pay and other commodities to pay for ZW$75 000 per tonne is just not enough.

We need to be paid US$ 300 or US$350 in order to meet our needs and cover the costs of farming. There is no way we can go back and farm after receiving US$200 assuming that the money will be equivalent to that by the time we exchange it.”

Zimbabwe Commercial Farmers Union president Shadreck Makombe  said :“Prices currently are not in sync with the movement of inputs to farmers but a journey starts with one step and this is in the right direction. The government should continue to the like because as much as they effected these changes you find that unscrupulous business people will also hike their prices, so it becomes a bitter cycle which I always say is like a dog chasing its tail.”

Added Makombe: “But I am acknowledging that the sensitivity to the fact that things are not well and the need for adjustments by the government other than indifference is appreciated.”

He however, said the government made an effort to review the producer price, although the amount is  low.

“The producer prices announced by the government are a welcome move to farmers, it shows that the government rises to the farmers’ expectations and needs and we would want to encourage the farmers to continue producing,” Makombe said.

“At the same time we also encourage our government to continue looking at the prices with regards to the change in the economy considering the inflation position. We would have wanted everything to stabilise as farmers because it’s difficult to continue adjusting; however, that’s the reality and we acknowledge and appreciate what has been done and it is our hope that looking forward such a move will continue to be applied.”