Soyabean output to hit 70k tonnes but…

 LIVINGSTONE MARUFU

Zimbabwe’s soyabean output is expected to hit 70,000 tonnes this year from 40,000 tonnes attained last year due to a good rainfall season, the Oil Expressers Association of Zimbabwe (OEAZ) has said.

Although the forecast represents a 75% increase, the OEAZ president Busisa Moyo, said this is not quite impressive.

 He said the country has a long way to go in growing soyabeans and there was a need to begin preparations earlier and revive irrigation facilities to improve soyabeans yields.

 “Our yields this year are likely to be between 60,000 and 70,000 from 40,000 tonnes attained last season due to good rainfall,” Moyo said. 

“In terms of soyabeans production we are still far away, we should learn from Zambia which is leaving corporates to exploit large chunks of land with some plots producing over 30 000 tonnes of soyabeans.”

 Moyo said 70,000 tonnes would only last for three and half months. This, he said, was a very low standard for any country. Zimbabwe needs over 240,000 tonnes of soyabeans yearly. This means the country is expected to spend US$80m to import crude oil this year. 

Experts said it is a huge task for Zimbabwe to import given the myriad of challenges that the country is facing including foreign currency shortages. 

“[On overage] we are operating at 30% since the beginning of the year due to viability challenges. Some have shut down; some are considering cutting working hours and outright retrenchments due to the indications of deterioration,” Moyo said.

 He also said that local demand has fallen significantly due to wage compression and exports are the only way out to raise capacity utilisation but foreign currency access through the  official market has been ‘extremely thin and dwindling’.

 Oil expressers need US$20m monthly but are getting US$4m monthly, meaning from the required US$5m weekly, oil producers are getting US$1m.