Chilipamushi urges complete liberalisation of crop exports
Chilipamushi urges complete liberalisation of crop exportsBy Joan Chirwa
Wednesday April 30, 2008 [04:00]
GOVERNMENT needs to completely liberalise crop exports for local farmers to benefit from rising commodity prices on the international markets, commerce permanent secretary Davidson Chilipamushi has said. And Chilipamushi has warned that food prices will continue to rise as long as there is no increase in the supply of commodities on markets.
In an interview, Chilipamushi noted the need for a policy shift in exports of agricultural commodities in the country in order to support the agricultural industry and reduce poverty among rural households.
“We must seriously consider the export policy. As you know, we periodically impose a ban on the exports of maize,” Chilipamushi said. “I believe we should consider this policy option and ensure that we completely liberalise the export of crops. This will be the effective way to fight poverty.”
Chilipamushi said an increase in funding to the agriculture sector was critical to enhancing crop production in the country, the surplus of which could be exported.
“Zambia has got the potential to grow as much maize as it can and it can export the surplus because of the conducive environment for maize cultivation. This goes not for maize alone, even other food crops,” Chilipamushi said. “After enhancing crop production, the Food Reserve Agency (FRA) should be given as much money as possible to store food crops for strategic reserve.”
And Chilipamushi said the inadequate supply of food commodities on the local market would continue to affect prices, although Zambia was not directly affected by the global rise in the cost of foodstuffs.
“The rise in commodity prices in Zambia is as a result of farmers who were hoarding their maize but have now run out of the stocks. Now FRA is the one which is selling the maize at high prices to the milling companies,” Chilipamushi said. “Because of this situation, food prices will continue to go up as long as we don’t have enough supply on the market.”
Labels: DAVIDSON CHILIPAMUSHI, FOOD, INFLATION
posted by MrK @ 4:31 AM
1 Comments:
Now that is generally acknowledged that there is high demand for food, including from Asia, and for biofuel, it is time to reach out and take this huge opportunity with both hands.
Zambia has many undammed seasonal rivers. These dams an then fill during the rainy season, spreading out the availability of water to greater parts of the year, even make it available year around.
If the national service and the ministries came together, they could create works projects that would reduce unemployment, and create infrastructure for agriculture.
This would have the following benefits for the economy and society:
* It would increase the amount of land that is under irrigation, up from 3% today. 97% of Zambian farmland relies on rain, instead of water from farm dams or rivers. This is a huge opportunity for development, and one that foreigners should not be attracted to do. Zambians can and must do this themselves.
* Creating infrastructure would open up remote areas and make them financially viable, because farmers can get their goods to market. Even the remotest areas can play their part in the national and global economy.
* The government must help set up 100 hectare family farms (the greatest area a family farm can work. Most European farms are about 100 hectares in size. This size would facilitate for the farmer to use half for growing maize and have a turnover of $20,000 from that alone. The other 50 hectares are more than enough space for the farmer's children to set up businesses of their own - greenhouses, commercially raising lifestock, growing vegetables, growing spices or anything they they want.
* Farms should either have on-farm water catchment systems, or have riverwater diverted for irrigation purposes. Unused land can be used for rainwater catchment, ponds can serve a dual use for storing water and be used to raise fish.
The countryside has a huge potential for not only feeding the nation, and the world, but to be a source of great wealth for rural people.
What we should make sure, is that wealth is available to all people.
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