Tuesday, August 21, 2007

(TIMES) Zim to buy Zambian maize at reduced price

Zim to buy Zambian maize at reduced price
By Times Reporter

GOVERNMENT has accepted to export 100,000 tonnes of maize to Zimbabwe at a reduced price for fear of the grain going to waste. Agriculture and Cooperatives Minister, Ben Kapita said in an interview yesterday that the 100,000 tonnes was from the last farming season and Government with its counterparts in Zimbabwe had been negotiating on the prices for sometime now.

Mr Kapita said the maize would be exported at about US$195 to US$200 per tonne, the amount he said authorities in Zimbabwe were comfortable with.

“We have reduced the prices because we want to be competitive and we want everything to go. If we continue keeping it, the maize will get rotten,” Mr Kapita said.
Zambia had recorded a surplus of 250,000 tonnes but in additional to last season’s crop, there was currently 300,000 tonnes of maize for export.

Mr Kapita said he also took advantage of the just ended 27th Southern African Development Community (SADC) Heads of State and Government summit to discuss with his counterparts in member countries the best ways of helping nations with food deficits.

From the summit, Mr Kapita said, it was gratifying that member countries had recognised that Zambia and Malawi were able to export 10,000 tonnes each to hunger stricken neighbours.

Zambia exported the 10,000 tonnes of maize through the World Food Programme (WFP).
Mr Kapita said the summit noted that Zambia, Tanzania and Malawi had recorded maize surplus and therefore prodded them to export to countries that had deficits.
Meanwhile, the Food Reserve Agency (FRA) will continue purchasing maize and other designated crops until the end of September even in areas where targets have been met.

FRA public relations officer, Mwamba Siame said in a statement released in Lusaka yesterday that targets had been met in Mazabuka, Chadiza, Chipata, Sinda, Chisamba, Mwense, Kazungula and Gwembe districts.

The agency has so far purchased 251,750 tonnes of maize out of the targeted 400,000 tonnes, 440 tonnes of rice out of the targeted 1,200 tonnes and 10 tonnes of cassava out of the targeted 2,400 tonnes.

Labels: ,

2 Comments:

At 6:53 PM , Blogger MrK said...

" “We have reduced the prices because we want to be competitive and we want everything to go. If we continue keeping it, the maize will get rotten,” Mr Kapita said. "

I'm sorry, but that is beyond words. He is selling maize below what he can get for it? He needs to resign.

Also, hasn't the government heard of bourbon? Which was invented to deal with maize surpluses.

And the government can't store 100,000 tonnes for any length of time?

Is he getting kickbacks from the buyers to sell maize below the market price?

" Meanwhile, the Food Reserve Agency (FRA) will continue purchasing maize and other designated crops until the end of September even in areas where targets have been met. "

So on the one hand the have so much maize they can only sell it below market price abroad, while on the other hand they will keep buying maize no matter what?

Sounds to me that instead of using the taxpayer's money for buying more and more maize, they should use some of it to create better storage capacity.

Or set up some bourbon factories to absorb their excess maize and earn some foreign exchange.

 
At 12:56 AM , Anonymous Anonymous said...

Ours is a country of laws, one that says poor people should not bear children, yet here we are with an opportunity to look after our own yet the poor guy on the street pays market vakue while we subsidise Zimbabwe who created their own problems.

As usual it just doesn'y pay to be poor...

 

Post a Comment

Subscribe to Post Comments [Atom]

<< Home