Govt pegs maize producer price at ZW$75k

Staff Reporter
GOVERNMET has pegged the maize producer price at ZW$75 000 per metric tonne plus a fixed early delivery incentive of US$90 per tonne.
The latest moves were confirmed by Lands and Agriculture Minister, Doctor Anxious Masuka Tuesday evening.
“The nation is also informed that Cabinet has approved a review of the price of maize to ensure farmers’ viability. The current maize price to ZW$75 000/MT plus a fixed early delivery incentive of US$90/MT.
“The early delivery incentive, will be extended to other crops such as traditional grains, sunflower and soyabean, is payable to 31 July 2022, and applies to all deliveries made since the commencement of the marketing season,” he said.
The move comes after most farmers decided to hold on to their grain soon after harvests this year owing to a track record of late payments to non-payments on the part of the Grain Marketing Board in the last year.
It also flies in the face of plans mooted last month for a team of soldiers to be dispatched to search farmers who are holding on to the grain.
Masuka also informed the nation that the total wheat stocks in the country as at 3 June 2022 stood at 101 182 MT out of which 67 000MT were held by the GMB and the remainder by millers.
These stocks are expected to last for four months, at an allocation rate of 21 000 MT peer month. Millers are expected to import 9 000 MT per month to meet the country’s monthly requirement of 30 000 MT per month.
“Regarding the 2022 winter wheat production, the target is to plant 75 000 ha and produce 383 000 MT, which would be a record crop for the country.
“Despite challenges with the late start of the winter season, planting to date is 62.8% of the target, being above last year by 70%. The bulk of the planted wheat is at hardening stage,” he said.
Cabinet reminded the public that all contractors of grains should register with the Agriculture Marketing Authority (AMA) by 15th June each year, in accordance with Section 5 of SI 140 of 2013, for them to be able to participate and enter into contract farming.
On tobacco production and marketing, the nation is informed that a total of 122.7 million kilogrammes (kg) of tobacco valued at US$366.8 million have been sold to date, compared to 141 million kg worth US$382 million sold during the same period last year.
The Auction and Contract floors average selling price has been firmer this year at US$2.99/kg compared to US$2.71/kg in 2021. The target for the 2022/2023 season is 275 million kg from 135 000 ha, with 96% of the tobacco expected to be produced under contract.
Cabinet said the nation that henceforth, cotton is now treated as an export crop, just like tobacco, with prices being determined by fair pricing based on international lint prices.