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(LUSAKATIMES) Government gives green light to export of maize surplus of 1.1 million tonnes

Government gives green light to export of maize surplus of 1.1 million tonnes
Wednesday, June 9, 2010, 18:45

The Zambia Government has allowed farmers and traders to export the maize surplus of 1.1 million tonnes mainly in southern African after a good harvest, but farmers have urged more exports.

Zambia National Farmers’ Union (ZNUF) president Jervis Zimba told Reuters today that farmers also wanted the government to provide tax waivers on maize exports and other incentives to make exports cheaper.

He said they are looking at exporting somewhere around 1.3 million tonnes in order not to have serious carry-overs for the next crop. Zimba said proposals to subsidise exports would also allow excess maize to be removed from the local market and guarantee higher prices in the 2010/11 season, after the government kept this year’s prices flat at K65,000 per 50kg bag.

Zimba said maize output would drop if the government did not facilitate the export of the surplus through an export subsidy. South Africa said in April that it had secured foreign markets to sell its surplus maize of about 4 million tonnes in the 2009/10 season to safeguard maize prices for local farmers.

Zimba said proposals to subsidise exports would also allow excess maize to be removed from the local market and guarantee higher prices in the 2010/11 season, after the government kept this year’s prices flat at K65,000 per 50kg bag.Zambia produced 2.7 million tonnes of white maize in 2009/2010, beating last season’s harvest of 1.9 million tonnes, to leave a surplus of 1.1 million, according to a government crop survey.

Zimba said Zambia’s food balance sheet showed that total maize required for human consumption was 1.3 million tonnes, 230,000 tonnes for industrial use and 200,000 for strategic reserves.

Zambia, Africa’s top copper producer, also relies on copper exports for about 63 percent of foreign exchange earnings.

It has in the previous seasons exported maize to the Democratic Republic of Congo (DRC), Zimbabwe, Namibia, Botswana and Angola.

Exporters said they will target exports to Zimbabwe, after it declared 11 percent of its maize a write-off due to a dry spell, and also to other neighboring countries.

Meanwile, Kenya and Sudan have expressed interest in importing maize from Zambia.

Agriculture Minister Peter Daka says ZAMBIA has the capacity to export Maize and other crops to neighbouring countries and the sub region.

Zambia this year has over three million tonnes of maize following a bumper harvest recorded this year and carry over stock from last year.

Mr Daka said this during a consultative workshop on the development of the Zambia National Rice Strategy in Lusaka on today.

The minister said Zambia could treble its rice production if it develops a strategic plan for the sector.

Zambia currently produces 42 thousand metric tones of rice annually.

Reuters/ZNBC

Labels: CORRUPTION, EXPORTS, JERVIS ZIMBA, MAIZE, PETER DAKA

posted by MrK @ 5:49 PM