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(DAILY MAIL) Farmers happy with new maize price

Farmers happy with new maize price
By YANDE KAPEYA

THE National Association for Peasant and Small-Scale Farmers of Zambia has supported the maize floor price of K65,000 per 50 kilogramme bag. Association president Rodger Phiri said the floor price is fair to Government, millers, consumers and other stakeholders in the industry.

On Saturday, Food Reserve Agency (FRA) chairperson, Costain Chilala announced that his agency will pay K65,000 per 50 kilogramme bag of maize. Mr Phiri said the floor price of maize will assist in lowering the cost of mealie meal.

He said this at a press briefing in Lusaka yesterday. Mr Phiri said more than 50,000 peasant and small-scale farmers are happy with the floor price as they have pegged their farm gate price at K60,000.

“What we mean by farm gate is that when buyers purchase the commodity from our farms they pay K60,000 but when we the farmers transport it to them, then we charge K65,000 per 50kg bag,” he said.
Mr Phiri said since Zambia is a free market economy, farmers disatistified with the FRA floor price are free to set their own price.

He said most countries in the region namely, South Africa, Malawi, Zimbabwe and Zambia have recorded a bumper harvest and it will be unreasonable to sell maize at more than K65,000 per 50kg.

“As a country, we cannot afford to over-charge because we shall be out of business bearing in mind that other countries in the region have equally recorded a bumper harvest and their maize is being sold cheaply.

“Our association believes that Government cannot continue to subsidise consumption but should stabilise food prices,” Mr Phiri said.

On Saturday, FRA announced that the floor price of maize this marketing season is K 65,000 per 50kg.
Mr Chilala said the agency will pay K65,000 per 50kg of maize and K60,000 per 40kg of rice, representing 18 per cent and 15 per cent increases over last year’s prices.

The Zambia National Farmers Union has, however, rejected the floor price and is of the view that FRA should have set the floor price at between K75,000 and K85,000 per 50kg bag.

Labels: MAIZE

posted by MrK @ 4:41 PM