Maravi

ZNFU bemoans high mealie-meal prices

ZNFU bemoans high mealie-meal prices
Written by Florence Bupe and Nchima Nchito Jr
Friday, July 31, 2009 3:28:37 PM

THE Zambia National Farmers Union (ZNFU) has noted that the price of mealie-meal has not reduced despite millers purchasing maize grain from farmers below the recommended K65,000 for a 50 kilogramme bag.

In an interview, ZNFU executive director Ndambo Ndambo disclosed that the union had been carrying out an exercise to monitor the price of mealie-meal on the market since April this year, and noted that prices of the commodity had remained high even after the commencement of grain purchases by both the private sector, who include millers, and the Food Reserve Agency (FRA).

“The millers, National Milling in particular, were on record supporting the K65,000 floor price that was set for maize during this year’s maize marketing season. However, we have seen these same people buying maize from the small-scale farmers at prices as low as K41,000,” Ndambo said. “We are monitoring the price of mealie-meal and we want to establish who is benefiting from these prices.”

Ndambo said the union had been vindicated on the concerns raised earlier over the targeted 110,000 metric tonnes which FRA would purchase from the small scale farmers.

He said ZNFU still maintained that the targeted tonnage was a joke and mockery to the small-scale farmers.

“What we had predicted is exactly what’s happening now. For example, some depots in Mbala were able to purchase the targeted quantities of maize within two days of commencing the buying exercise, leaving many farmers stranded with their produce,” he said.

Ndambo urged government to hastily source for additional funds to facilitate the purchase of more grain from small-scale farmers.

And ZNFU, in a statement, revealed that low prices of maize had characterised this year’s grain marketing season.

“The ZNFU SMS service indicates the highest offered price so far this season being K70, 000, 00 per 50 kilogramme bag on the Copperbelt Province, while the lowest offer being K45, 000 per 50 kilogramme bag in Eastern Province,” ZNFU stated.

And ZNFU has been tasked to come up with terms of reference for the Agricultural Finance Committee in the Ministry of Finance and National Planning.

The main purpose of the committee is to find lasting solutions to the problem of dwindling financial outlay to the agricultural sector by financial institutions.

Labels: FRA, INFLATION, MEALIE-MEAL, NDAMBO NDAMBO, ZNFU

posted by MrK @ 2:22 PM