Research institute urges Africa to push for wheat self-sufficiency
By Kabanda Chulu in Addis Ababa, Ethiopia
Tue 02 Apr. 2013, 14:00 CAT
AN agriculture research institute has warned that Africa will face more hunger, instability and political violence if the continent does not push for wheat self-sufficiency.
Making a presentation titled 'wheat: a strategic crop for Africa' at the 9th Comprehensive African Agriculture Development Programme (CAADP) in Addis Ababa, Ethiopia, International Maize and Wheat Improvement Centre (CIMMYT) representative Bekele Shiferaw stated that African countries would spend about US$12 billion to import some 40 million tonnes of wheat to feed the continent's rapidly expanding populace.
"This constitutes more than a fourth of Africa's total food import expenditures (US$40 billion). Yet Africa's farmers produce only 44 per cent of the wheat consumed on the continent, with wheat self-sufficiency rates going down," Shiferaw stated. "These trends threaten the nutritional and economic security of the region and if Africa doesn't push for wheat self-sufficiency, it can face more hunger, instability and even political violence."
According to the report, Africa's wheat research and production could become important for the rest of the world.
"For example, current research in Kenya and Ethiopia is helping stop global spread of major dangerous wheat diseases such as Ug99 stem rust.
By 2013, Kenya and Ethiopia will have enough rust resistant seed to replace susceptible varieties now sown by farmers," it stated.
It also challenged African countries to stimulate domestic production and stop subsidising wheat imports.
"There are currently many infrastructure bottlenecks in the wheat value chain which prevent farmers from accessing inputs, markets and consumers and grain marketing costs are too high," it stated.
It advised Africa to increase local wheat production and reduce dependence on volatile international markets.
"Protecting domestic production will help to remove heavy import subsidies. It will also support policy harmonisation of national standards on seed varieties produced in and for African countries," it stated.
Labels: CAADP, WHEAT
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US$7 million grain stuck in Zambia
Sunday, 17 February 2013 00:00
Kudakwashe Bwititi and Itai Mazire
More than 17 000 tonnes of maize worth US$7 million belonging to Zimbabwean grain millers are stuck in Zambia after authorities in that country introduced a grain export ban. Concerns have already been raised that Zimbabwe could experience maize meal shortages on the back of dwindling grain supplies. Zambian Embassy officials in Harare could not be reached for comment.
In an interview last Friday, Grain Millers’ Association of Zimbabwe (GMAZ) chairman Mr Tafadzwa Musarara said Zambia’s Food Reserve Agency refused to release the grain although all due payments had been made. He said about 12 000 tonnes belong to National Foods and the remainder to Alpha Grain.
“The white maize export ban imposed by Zambia in December 2012 has resulted in Zimbabwean millers being unable to collect pre-paid white maize from the Food Reserve Agency of Zambia and private traders. We are owed a total of 17 000 tonnes, which is worth up to US$7 million at current commercial value,” he said.
Mr Musarara said millers who paid for their consignments are in a quandary as Zambian authorities are refusing to open negotiations. Lusaka has also refused to refund the millers in lieu of the outstanding deliveries, he added.
Mr Musarara said some parts of Zimbabwe are experiencing maize meal shortages after the Grain Marketing Board ran out of maize to supply millers last month.
Industry and Commerce Minister Professor Welshman Ncube said it would not be difficult to thrash out an agreement with the Zambians.
He said several Sadc protocols on free trade could be used to recover the grain.
“We have very good trade relations with Zambia. What they (GMAZ) should do is approach us so that we speak directly to our counterparts in Zambia because they are not difficult to talk to,” he said.
Last week, the association wrote to the Ministry of Agriculture, Mechanisation and Irrigation Development seeking recourse.
Part of the letter addressed to the Permanent Secretary, Cde Ngoni Masoka, reads: “Should you find it necessary, our national executive is keen to accompany you to Zambia for the negotiations of the same.
“We strongly believe that your esteemed office, through government to government negotiations, is able to facilitate these deliveries and we thank you in advance for your anticipated valued assistance.”
Labels: WHEAT, ZAMBIA
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Govt mulls wheat contract farming
Saturday, 09 February 2013 00:00
Herald Reporter
GOVERNMENT is working on modalities to bring on board the private sector into contract wheat farming following models that have brought success in tobacco and cotton. Agriculture, Mechanisation and Irrigation Development Minister Dr Joseph Made told the Senate on Thursday that wheat production had gone down drastically, with Government having inadequate resources to ensure an increase in yields.
“We know where we want to be and we are looking at engaging the millers, we want them to contract local farmers just like what Delta does,” he said.
“Delta supports farmers to produce grain and we wonder why our millers are not supporting farmers. We cannot continue giving them permits (to import wheat) when we have land and dams that can be used to produce locally. They should also come in and support the farmers. So, we are engaging them on that and I am glad that some are showing an interest.”
Labels: AGRICULTURE, JOSEPH MADE, WHEAT
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Without wheat there is no bread
Thursday, 06 September 2012 09:03
Tichaona Zindoga Features Writer
A significant number of people and nationalities across the world take bread seriously, the absence or unaffordability of which could lead to unrest.
Perhaps the most definitive about this were the so-called bread riots in 18th century France which are said to have been the precursor of the world-changing France Revolution which ousted the French Monarchy.
And it is said that it was the extravagant Queen Marie-Antoinette who sparked the most outrage when she is said to have questioned why those protesting the shortage of bread would not have cake instead!
The people had no bread and could possibly not have cake either so the anger of the people could not have been stoked any stronger.
In Zimbabwe, bread has become the second staple after sadza and the current uncertainty over the price of the bread has made the population uneasy.
Recently the baking industry announced that it was increasing the price of bread by 20 percent to US$1,20 per loaf in response to the increase in the import duty of flour.
Finance Minister Tendai Biti and the Grain Millers’ Association of Zimbabwe denounced the proposed increase.
Minister Biti said the proposed increase would push up inflation. The millers said the surge of wheat price on the world market and the recent upward review in flour import duty by Government did not warrant any increase in the price of the basic commodity.
It is further argued that the bakers buy much of their flour from local millers, who have since absorbed increases in wheat price increases on the world market.
“This is a bad situation because the increase in bread prices makes life unbearable,” said Tariro Mujeki from Ruwa.
“Even the prices of alternatives like rice tend to go up as the shops capitalise on the increase in bread prices. The result will be disastrous,” added the mother of two.
“We thought the increase of the prices of commodities was a thing of the past,” was the rueful remark of one Mr Shereni.
“In this era of low inflation what is the justification for such increases? And what are our farmers doing on the farms?” he questioned.
No wheat, no bread
The root of Zimbabwe’s bread woes is the poor performance of its agriculture industry — in particular wheat production which has been on an incremental down slope.
Some figures show that over the last decade, local producers have managed to produce up to 26 0000 metric tonnes from about 65 000 hectares, with the balance being imported. However, over the past three seasons production has gone down to around 12 000 hectares, yielding about 50 000 metric tonnes.
This season, Government had set a target of 26 000 hectares to be put under wheat production but farmers ended up planting less than 10 000 hectares.
It has been reported that in Mashonaland Central, the majority of wheat farmers had planted less than 10 000 hectares by the end of May with individual growers planting as little as five hectares out of the usual 50 hectares and above. In Mashonaland West, the situation was the same with the province having managed to do less than 15 000 hectares with Manicaland as well as Mashonaland East having done the lowest hectarages.
Last season, authorities set a target of 70 000 hectares, which, again, could not be met, resulting in farmers managing to grow only 14 100 hectares. About 41 000 tonnes of the crop were harvested against the country’s annual requirement of 400 000 tonnes.
Economists are worried
They attribute the current food price woes to lack of capacity utilisation.
Mr Midway Bhunu, an economist, says the state of pricing should be looked in relation to the value chain beginning from the cost of production.
“The provision issue of inputs in time is critical,” said Mr Bhunu.
“The cost of inputs is also a push factor. For example, the increase in the price of fertiliser at a time when there is a liquidity problem tends to push the prices of food up. The current situation is essentially about demand and supply. As we have to rely on wheat imports, the landing cost may not be viable leading to the increase in prices which is not healthy.
“Bread is a basic commodity and its price should not be allowed to go beyond a particular point,” he explained.
There are some interventions that need to be made to arrest the situation.
“Inputs should be availed on time — say around February and March — for the winter wheat production,” said Mr Bhunu.
“We must also look at encouraging and promoting smallholder irrigation schemes as the reliance on the conventional large farms is not viable at the moment,” he suggested adding that revitalisation of the big irrigation schemes was critical in the long run, coming though as it did, at a cost.
Mr Bhunu said there was also need to make sure that electricity was available for the wheat farmer as the lack of it compromised on the quality of the crop as the wheat would be physiologically compromised.
Mr Bhunu is also worried that there are losses being incurred at the harvesting and post-harvest stages of the wheat production.
“Farmers tend to lose some of the little wheat they harvest that way. Farmers need support and training and capacity building,” he suggested.
The economist said that there was need for a holistic approach in the area of wheat production right up to the market where the commodity should be sold at a viable price to allow farmers to operate profitably in the business.
Zimbabwe could take a leaf from other countries like South Africa where farmers were subsidised yet continued to fetch good prices on the market.
According to the economist, banks could do better in financing wheat production, which they view as high risk crop.
The situation in wheat production, in the broader agricultural sector, could improve if there is policy co-ordination in Government.
Time and again, Finance Minister Tendai Biti has been accused of being reluctant to fund agriculture.
Labels: WHEAT
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Winter wheat season the worst ever
Saturday, 16 June 2012 21:46
Emilia Zindi
Zimbabwe is facing its worst winter wheat season as most farmers contemplate abandoning the crop because of problems in accessing inputs.
Farmers have failed to access financial support to acquire inputs and are now describing the 2012 season as the worst season ever. Government announced a US$20 million input facility which did not kick off as it later came to light that the facility had been announced without proper consultation with stakeholders.
Farmers, on the other hand, got the impression that the announcement by Government through the Ministry of Agriculture, Mechanisation and Irrigation Development and the Ministry of Finance
[That's the MDC's Tendai Biti's ministry. - MrK]
was real and as such rushed to the said financial institutions, only to be told that nothing of that sort had been communicated to them.
This left farmers moving from one point to the other as they tried to get an explanation on how the facility was to function. But, alas, no concrete explanation came to the farmers until the end of planting date of May 25.
Although Government had set a target of 26 000 hectares, with no support this target has since become unrealistic with different provinces having planted less than 10 000 hectares.
Last season, authorities set a target of 70 000 hectares, which, again, could not be met, resulting in farmers managing to grow only 14 100 hectares.
About 41 000 tonnes of the crop were harvested against the country’s annual requirement of 400 000 tonnes.
To show how bad this season has been, a drive to most of the traditional wheat growing areas revealed a sad scenario where a handful of farmers have grown the crop on self-funding, thereby reducing hectarage.
In some cases, farmers had done land preparations in anticipation of accessing inputs under the US$20 million facility and failed to plant.
In Mashonaland Central, the bulk of wheat farmers had planted less than 10 000 hectares by the end of May with individual growers planting as little as five hectares out of the usual 50 hectares and above.
In Mashonaland West, the situation was the same with the province having managed to do less than 15 000 hectares with Manicaland as well as Mashonaland East having done the lowest hectarages.
This is now a clear sign that the country is to depend on imports.
A Harare-based agricultural services consultant, Mr Elliot Chamanga, said it was clear that farmers were ready to meet the set target.
“Farmers were forced to travel up and down, from one point to the other until the planting deadline passed with no tangible results,” he said.
“They were left with no option but to abandon planting even after they had finished land preparation. It was, again, too late to look for alternatives.’’
Another contributory factor was power shortage.
Most farmers have lost confidence in electricity distribution as the commissioned power utility does not stick to its load-shedding schedules.
“Having said that, the questions that now arise are: will Zimbabwean wheat farmers ever be back on their feet, considering the downward trend that has characterised every winter wheat season? Where is the country heading in terms of wheat growing?’’ said Mr Chamanga.
He said while the above questions remain unanswered, several players in the field have described the downward trend as sad.
Inputs as well as financial support were availed on time in the past.
Farmers would have, by the end of April, secured all their inputs, including working capital.
Mr Chamanga said this was made simple through a stop-order system whereby farmers would access inputs from Grain Marketing Board depots.
The farmers were then expected to pay back on delivering their crop to the parastatal within three days. After deliveries, the farmers were expected to drive back to their farms with truckloads of inputs for the next season.
“The system was efficient as GMB was a one-stop shop. Farmers were also assured of a market for their grain with payment being done right on time,’’ said Mr Chamanga.
“Wheat deliveries from October would see farmers leaving the depots loaded with inputs for the summer cropping season, which begins in November.
“It was a cycle where production on the farms was non-stop.”
Zimbabwe Commercial Farmers’ Union president Mr Donald Khumalo associated the present systems with the economic sanctions imposed on Zimbabwe by the West.
He said the sanctions were, among other objectives, designed to stifle the land reform programme.
“The whole idea is to give the outside world an impression that those who got land have failed when in actual fact they are being made to fail by the creation of these harsh conditions,’’ he said.
“My appeal to Government is that it should not be taken for a ride by some elements in the inclusive Government by denouncing our farmers who are operating under difficult conditions.
“We have heard some Government officials suggesting that land should be ‘repossessed’. The question is: are these farmers failing deliberately? The answer is simple, no.
“The conditions being created under the inclusive Government are also making it difficult for our farmers to produce. This is evidenced by the fact that from 2000 to 2008, things were moving well in the sector as farmers were being supported.’’
Zimbabwe Farmers’ Union executive director Mr Paul Zakariya said farmers should never lose heart because of the chaos in the sector.
He said the union gets worried when some Government officials castigate farmers.
“What was the farmer expected to do when he or she visited the designated points for inputs collection and was told there was no arrangement in place?’’
“Farmers have proved their ability many times and we are convinced that if given the inputs on time, they can produce enough to meet the country’s needs. Again, the issue of availability of electricity to irrigate needs to be addressed as wheat production requires a lot of irrigation water.’’
Labels: MINISTRY OF AGRICULTURE MECHANISATION AND IRRIGATION (ZIMBABWE), WHEAT
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No fertiliser for winter wheat farmers
Saturday, 26 May 2012 22:07
Faith Mhandu
Government and fertiliser companies are at loggerheads over a US$50 million debt, a development that has seen winter wheat farmers failing to access the critical input. Agriculture, Mechanisation and Irrigation Development Minister Dr Joseph Made last week accused the fertiliser companies of holding Government to ransom.
“I have just been informed by the Grain Marketing Board that fertiliser companies are refusing to deliver the fertiliser we ordered.
“Admittedly, we owe them some money, but this is a clear case of sabotage by detractors of the land reform programme.
“Right now, we are being accused of poor planning, yet we had our scheme on time. The Minister of Industry and Commerce (Professor Welshman Ncube) does not allow me to have dialogue with the fertiliser companies, saying I will be interfering with his duties,” he said.
Dr Made said although Government owns a 50 percent stake in the Zimbabwe Fertiliser Company (ZFC), its efforts were being frustrated by other shareholders.
“The three fertiliser companies — ZFC, Windmill and Myiombo — have pushed me to the edge and I am left with no option but to propose that we set up a Zimbabwe National Fertiliser Authority that is 100 percent owned by Government. For the winter inputs we no longer have an option but to import the fertiliser,” he said.
Fertiliser company representatives argue that they cannot continue supplying Government when it has failed to service its debt.
ZFC marketing executive Mr Justice Chimuka noted that his company is yet to renew its agreement with Government and will only do so after the State pays the US$10 million it owes the company.
“We have the fertiliser in stock and are willing to supply if Government pays us what it owes from last season,” he said.
Windmill marketing executive Mr Herbert Chakanyuka disclosed that the Government and the fertiliser companies were also failing to agree on the pricing of the input for this season.
“Government is offering to pay US$500 per tonne but we feel that US$600 is the correct price. A price of US$500 per tonne will push us out of business,” said Mr Chakanyuka.
Government last month launched the US$20 million winter wheat input scheme.
However, the programme has not yielded much with most farmers missing the May 15 winter wheat planting deadline.
Labels: FERTILIZER, WHEAT
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Farmers likely to miss winter wheat planting deadline: ZFU
Saturday, 14 April 2012 18:36
Emilia Zindi, Agriculture Editor
The Zimbabwe Farmers’ Union (ZFU) has bemoaned the late introduction of the US$20 million Winter Wheat Scheme by Government, saying farmers are likely to miss next month’s planting deadline due to the red tape involved in accessing the funds.
Last week, Government unveiled the scheme which is expected to see wheat growers accessing vouchers from CBZ Bank. The vouchers should be produced before one can collect inputs from Grain Marketing Board (GMB) depots.
ZFU executive director Mr Paul Zakariya welcomed the scheme, but called for the timely disbursement of funds.
“Effectively, Government via GMB, CBZ and wheat farmers have about 16 days to put their house in order, which seems impossible,” he said.
“Ideally, the country should be through with planning for wheat by February at the latest.”
Mr Zakariya advocated wide stakeholder consultations before the crafting and implementation of input support programmes.
He urged Zesa Holdings and the Zimbabwe National Water Authority to honour commitments to provide uninterrupted electricity and water respectively.
He also called on Government to explore the possibility of having critical service providers introduce concessionary rates for farmers, saying farmers are being forced to fork out US$700 to irrigate a hectare each month.
“It is not sustainable to have a farmer use US$2 800 to irrigate each hectare he has under wheat per season.
“Over the years, focus has been on providing farmers with subsidised inputs, but that is only part of the equation.
“Agriculture is the backbone of the economy. It is, however, operating below capacity because of a lack of seriousness by those that are expected to support it.
“Farmers are ready to produce food for the nation, but have been badly let down by lack of support from the relevant stakeholders.”
Analysts note that the timely payment of farmers by the GMB is also critical in boosting wheat production.
Most farmers are yet to be paid for grain delivered last season.
Speaking at the launch of the Winter Wheat Scheme, Agriculture, Mechanisation and Irrigation Development Minister Joseph Made said the US$20 million allocated for the initiative should result in 26 280 hectares of land going under wheat.
“We are proposing that we target 26 280 hectares of winter wheat and the requirement is US$20 million. This targeted hectarage should give us a production of 75 000 metric tonnes,” he said.
Dr Made said the inputs will be distributed through the GMB at cost price as part of moves to prevent unscrupulous individuals from accessing subsidised inputs and then reselling them at exorbitant prices.
“Inputs would be accessed at cost price under a credit arrangement. The money as financed would be at a concessionary interest rate of 3 percent.
“We are trying to avoid arbitrage because there were some farmers who pick up the inputs and then resell them.
“Each participating farmer would receive a voucher from CBZ and upon receipt of that voucher delivered wheat for the previous season in order to access inputs.”
Labels: WHEAT, ZFU (ZIMBABWE)
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Farmers likely to miss winter wheat planting deadline: ZFU
Saturday, 14 April 2012 18:36
Emilia Zindi
Agriculture Editor
The Zimbabwe Farmers’ Union (ZFU) has bemoaned the late introduction of the US$20 million Winter Wheat Scheme by Government, saying farmers are likely to miss next month’s planting deadline due to the red tape involved in accessing the funds.
Last week, Government unveiled the scheme which is expected to see wheat growers accessing vouchers from CBZ Bank. The vouchers should be produced before one can collect inputs from Grain Marketing Board (GMB) depots.
ZFU executive director Mr Paul Zakariya welcomed the scheme, but called for the timely disbursement of funds.
“Effectively, Government via GMB, CBZ and wheat farmers have about 16 days to put their house in order, which seems impossible,” he said.
“Ideally, the country should be through with planning for wheat by February at the latest.”
Mr Zakariya advocated wide stakeholder consultations before the crafting and implementation of input support programmes.
He urged Zesa Holdings and the Zimbabwe National Water Authority to honour commitments to provide uninterrupted electricity and water respectively.
He also called on Government to explore the possibility of having critical service providers introduce concessionary rates for farmers, saying farmers are being forced to fork out US$700 to irrigate a hectare each month.
“It is not sustainable to have a farmer use US$2 800 to irrigate each hectare he has under wheat per season.
“Over the years, focus has been on providing farmers with subsidised inputs, but that is only part of the equation.
“Agriculture is the backbone of the economy. It is, however, operating below capacity because of a lack of seriousness by those that are expected to support it.
“Farmers are ready to produce food for the nation, but have been badly let down by lack of support from the relevant stakeholders.”
Analysts note that the timely payment of farmers by the GMB is also critical in boosting wheat production.
Most farmers are yet to be paid for grain delivered last season.
Speaking at the launch of the Winter Wheat Scheme, Agriculture, Mechanisation and Irrigation Development Minister Joseph Made said the US$20 million allocated for the initiative should result in 26 280 hectares of land going under wheat.
“We are proposing that we target 26 280 hectares of winter wheat and the requirement is US$20 million. This targeted hectarage should give us a production of 75 000 metric tonnes,” he said.
Dr Made said the inputs will be distributed through the GMB at cost price as part of moves to prevent unscrupulous individuals from accessing subsidised inputs and then reselling them at exorbitant prices.
“Inputs would be accessed at cost price under a credit arrangement. The money as financed would be at a concessionary interest rate of 3 percent.
“We are trying to avoid arbitrage because there were some farmers who pick up the inputs and then resell them.
“Each participating farmer would receive a voucher from CBZ and upon receipt of that voucher delivered wheat for the previous season in order to access inputs.”
Labels: GRAIN MARKETING BOARD ZIMBABWE, JOSEPH MADE, WHEAT, ZFU (ZIMBABWE)
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COMMENT - This is of course Reuters, so expect a lot of editorializing.
Zimbabwe looks to double wheat output
10/04/2012 00:00:00
by Reuters
ZIMBABWE plans to nearly double its wheat output to 75,000 tonnes this year, its agriculture minister said on Tuesday, still leaving the country with a huge deficit to be met by imports.
The southern African country requires 400,000 tonnes of wheat annually and has struggled to feed itself since President Robert Mugabe began a drive to seize white-owned farms to resettle landless blacks in 2000.
[No. - MrK]
Agriculture Minister Joseph Made told reporters the government would provide $20 million in low-interest loans to farmers for this year's wheat production.
"We are proposing that we target 26,280 hectares for winter wheat. This targeted hectarage should give us 75,000 tonnes," Made said.
"This might sound little, but considering the 41,000 tonnes we got last year, this will be some improvement."
Farmers' unions put Zimbabwe's wheat output at 12,000 tonnes last year, barely enough to feed the country for a week.
Made also reiterated that Zimbabwe faced a shortage of its staple grain maize, after nearly a third of the planted crop was written off due to poor rains.
Finance Minister Tendai Biti told the same news conference Zimbabwe would have to import wheat to ease shortages, but said the government had built up 500,000 tonnes in maize reserves to supply regions facing a deficit.
Last December, the United Nations said it would raise $268 million for aid efforts in Zimbabwe, with half the money to be used to buy food for more than 1.4 million people facing shortages.
Labels: JOSEPH MADE, TENDAI BITI, WHEAT
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Wheat farmers still to be paid
Saturday, 21 January 2012 18:52
Faith Mhandu
Wheat farmers who delivered grain to the Grain Marketing Board (GMB) during the 2007/2008 marketing season are still to receive
outstanding payments amounting to US$4 million owing to disagreements between the parastatal and the Ministry of Agriculture, Mechanisation and Irrigation Development over the issue.
GMB management continues to refer the farmers to the parent ministry while the ministry, in turn, insists the parastatal is better placed to deal with the matter.
In an interview last week, Zimbabwe Commercial Farmers’ Union director Mr Peter Gambara accused the GMB and the ministry of disadvantaging wheat producers.
“The GMB has been arguing that it is not their responsibility to pay the debt, saying Cabinet had already undertaken to pay us,” he said.
“I delivered 21 tonnes for which I have not received a single cent. Initially, it was said they were going to pay us by swapping inputs, but this, too, did not materialise.
“The GMB was then made to compile a list of farmers with outstanding payments. We did that, but did not receive anything. Farmers are losing faith in Government and the GMB.”
GMB general manager Mr Albert Mandizha said Cabinet approved the payment through the Ministry of Finance. He said the matter was no longer in his institution’s hands.
He said although farmers were still inquiring, the parastatal still awaited Government to act.
“The Minister of Agriculture held a Press conference in 2010 to announce that Cabinet had approved the payment of farmers for the 2007/08 season,” he said.
“It is no longer up to the GMB to pay, but the ministries of Finance and Agriculture.”
The Secretary for Agriculture, Mechanisation and Irrigation Development, Mr Ngoni Masoka, maintained the GMB was better placed to handle the matter.
“The general manager of GMB is in the best position to answer since they are the ones responsible. He knows what is happening,” said Mr Masoka.
Labels: GRAIN MARKETING BOARD ZIMBABWE, MINISTRY OF AGRICULTURE MECHANISATION AND IRRIGATION (ZIMBABWE), WHEAT
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Wheat farmers still to be paid
Saturday, 21 January 2012 18:52
Faith Mhandu
Wheat farmers who delivered grain to the Grain Marketing Board (GMB) during the 2007/2008 marketing season are still to receive outstanding payments amounting to US$4 million owing to disagreements between the parastatal and the Ministry of Agriculture, Mechanisation and Irrigation Development over the issue.
GMB management continues to refer the farmers to the parent ministry while the ministry, in turn, insists the parastatal is better placed to deal with the matter.
In an interview last week, Zimbabwe Commercial Farmers’ Union director Mr Peter Gambara accused the GMB and the ministry of disadvantaging wheat producers.
“The GMB has been arguing that it is not their responsibility to pay the debt, saying Cabinet had already undertaken to pay us,” he said.
“I delivered 21 tonnes for which I have not received a single cent. Initially, it was said they were going to pay us by swapping inputs, but this, too, did not materialise.
“The GMB was then made to compile a list of farmers with outstanding payments. We did that, but did not receive anything. Farmers are losing faith in Government and the GMB.”
GMB general manager Mr Albert Mandizha said Cabinet approved the payment through the Ministry of Finance. He said the matter was no longer in his institution’s hands.
He said although farmers were still inquiring, the parastatal still awaited Government to act.
“The Minister of Agriculture held a Press conference in 2010 to announce that Cabinet had approved the payment of farmers for the 2007/08 season,” he said.
“It is no longer up to the GMB to pay, but the ministries of Finance and Agriculture.”
The Secretary for Agriculture, Mechanisation and Irrigation Development, Mr Ngoni Masoka, maintained the GMB was better placed to handle the matter.
“The general manager of GMB is in the best position to answer since they are the ones responsible. He knows what is happening,” said Mr Masoka.
Labels: GRAIN MARKETING BOARD ZIMBABWE, WHEAT
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Wheat farmers still to be paid
Saturday, 21 January 2012 18:52
Faith Mhandu
Wheat farmers who delivered grain to the Grain Marketing Board (GMB) during the 2007/2008 marketing season are still to receive outstanding payments amounting to US$4 million owing to disagreements between the parastatal and the Ministry of Agriculture, Mechanisation and Irrigation Development over the issue.
GMB management continues to refer the farmers to the parent ministry while the ministry, in turn, insists the parastatal is better placed to deal with the matter.
In an interview last week, Zimbabwe Commercial Farmers’ Union director Mr Peter Gambara accused the GMB and the ministry of disadvantaging wheat producers.
“The GMB has been arguing that it is not their responsibility to pay the debt, saying Cabinet had already undertaken to pay us,” he said.
“I delivered 21 tonnes for which I have not received a single cent. Initially, it was said they were going to pay us by swapping inputs, but this, too, did not materialise.
“The GMB was then made to compile a list of farmers with outstanding payments. We did that, but did not receive anything. Farmers are losing faith in Government and the GMB.”
GMB general manager Mr Albert Mandizha said Cabinet approved the payment through the Ministry of Finance. He said the matter was no longer in his institution’s hands.
He said although farmers were still inquiring, the parastatal still awaited Government to act.
“The Minister of Agriculture held a Press conference in 2010 to announce that Cabinet had approved the payment of farmers for the 2007/08 season,” he said.
“It is no longer up to the GMB to pay, but the ministries of Finance and Agriculture.”
The Secretary for Agriculture, Mechanisation and Irrigation Development, Mr Ngoni Masoka, maintained the GMB was better placed to handle the matter.
“The general manager of GMB is in the best position to answer since they are the ones responsible. He knows what is happening,” said Mr Masoka.
Labels: GRAIN MARKETING BOARD ZIMBABWE, WHEAT
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Wheat, flour imports hurting millers
12/11/2011 00:00:00
by Tafadzwa Musarara
THE primary duty of any government in the democratic world is to afford its citizenry capacity for the acquisition of goods and services that meet their basic needs. Staple food tops the list.
Since last quarter of 2008, the government of Zimbabwe liberalised importation of basic foods, in particular maize meal and wheat flour. This move was meant to rescue the dire situation that obtained then. It must be recorded that, since introduction of multiple currency, local millers have not increased prices of maize meal and flour as confirmed by the NIPC and the Central Statistics Office.
The nation, from 2009, has been experiencing incremental growth in maize output and the local millers have been dutifully supplying the local market with staple food despite facing unfair and steep competition from cheap imports. The demand of wheat flour, mainly baker’s flour, has gone down in the last three years due to availability of other alternative starch products on the market.
Currently estimated national monthly demand for flour is 17,000mt (from +32,000mt in 2007) against an installed current capacity of 42,000mt. Flour imports are mainly coming from Turkey and Mozambique and our country import regime system is painfully weak in enforcing pre-shipment inspections and import permit management. Imports, by their nature, must serve to augment local production not to substitute it.
From 2008, the milling industry has seen closures of more than 240 millers, mainly black-owned small to medium scale millers. In 2007, the Zimbabwe milling industry had the highest miller per capita in Africa, which is essential in attaining food security and also in firmly placing the staple food production in the hands of the indigenes.
Continued uncontrolled imports of wheat flour are not only going to hurt millers but the revival of the national livestock because the by-products of wheat milling will be too low to meet national stock feed requirement. Surely, we cannot import wheat offals from Zambia for our livestock farmers. The sustained growth in the local millers has an economic multiplier effect to packaging, transport, confectionary and livestock industries.
Zimbabwe is probably the only country in Africa that does not have duty tariff on wheat flour and it is also heavily reliant on foreign supplies of staple food more than other countries which are at war. Staple food is not just any other commodity but of national security concern. It is a must for every country to build and protect its own food industry.
It is uncontested that the economic situation has improved since 2008, when the importation dispensation was granted. There is no need whatsoever for the country to continue importing pre-packed salt and rice when our own packers are shut. The country continues to experience disappearance of its once popular local brands to the extent that our retail shops shelves have become a true replica of South African retail chain stores.
There is need to discourage the importation of pre-packed rice and salt and only allow bulk imports for onward packing by local millers or packers. This will also boost our packaging industry that will provide more than US$8 million per month worth of packaging. In God‘s name, we can’t have rice grown in Vietnam, packaged and branded in South Africa and then consumed in Zimbabwe. These are low hanging opportunities that can be tapped by our own SMEs and create employment and business opportunities. We need to restart such low skill value additions activities.
The milling industry has demonstrable capacity to import adequate wheat into the country (up to 300,000mt per annum) and mill it. Secondly, should our wheat and maize milling output increase, prices of flour and maize will definitely stabilise if not go down. The milling industry is not calling for a total ban of wheat flour and pre-packed salt and rice but a re-imposition of a duty on imports in order to nurture the local industry so that by the time the SADC zero duty era comes, local industry will be strong enough to competitively supply local and export markets.
The evil of these imports is that they are landing in Zimbabwe cheaper than they sell in their country of origin. For example, 50kg of bakers flour in Mozambique costs US$38 to their local bakers, but is sold for US$32 to Zimbabwean bakeries. However, if output decreases (for whatever reason) in these foreign source markets, they immediately stop exports to Zimbabwe in order to ensure that their own requirements are met. Consequently, this will immediately create a supply gap – and that’s very dangerous.
Most importantly, there is need to re-create a viable and secure market for locally-grown wheat and maize. The milling industry must be allowed to be viable enough to carry out long term contract farming arrangements with all our able farmers. This will immediately impact positively to the seed and fertiliser industries.
To achieve this, the milling industry is calling for a 20% duty on baker’s flour, 40% duty on pre-packed flour and 30% duty on pre-packed rice and salt in the 2012 budget due to be announced shortly.
Tafadzwa Musarara is the chairman of the Grain Millers Association. You can contact him on e-mail: musarara@yahoo.com
Labels: MILLERS, WHEAT
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300ha wheat wilts, power cable thefts cited
Friday, 16 September 2011 02:00
Agriculture Reporter
SOME Beatrice wheat farmers have begun counting their losses after over 300 hectares of their winter wheat crop is wilting due to power outages caused by electricity cable thefts in the area. The power outages have affected Nengwa, Denby and Welcome home and Innsfree farms.
The farmers say they have gone for more than two weeks without electricity and their crop is now a write off. Mr Nyasha Mangena, said the situation had gone out of hand as their crop will never recover even if electricity was restored.
Other farmers in the area were contemplating feeding the wheat to their livestock, as they no longer expect any returns.
"There have been numerous cable thefts and Zesa Holdings has been taking very long to replace the stolen equipment.
"We once had the same problem in May when we were planting and now our crop has reached the flowering stage, which requires enough water and we do not get the electricity," he said.
Mr Mangena said the thefts were so organised that some farmers were beginning to suspect Zesa Holdings officials.
"It is so strange how the thieves will quickly know that new cables have been put in place. Soon after replacement, the cables are stolen and we do not have resources to investigate," he said. Another farmer, Mr Simon Mawarure, said it was disturbing that police and Zesa officials' investigations were yielding nothing.
"The police and Zesa officials take long to investigate the issue and this is raising our eyebrows," he said.
Mr Mawarure said instead of replacing the cables, a Zesa depot manager for Beatrice only identified as Mr Nyakungu was harassing farmers and accusing them of stealing the cables.
"How can we steal the cables when we have a crop that requires irrigation and how much can we get from the cable compared to the profits we get from the land," said Mr Mawarure.
The affected farmers said Mr Nyakungu was in the habit of misrepresenting information to his superiors.
Farmers in the area have now employed people to guard the cables.
Another wheat grower, Mr Godfrey Muradzikwa, said he was now depending on generators to irrigate his crop although the other 25 hectares were now a write off.
Besides wheat farmers, the power shortages have also affected dairy, poultry and pig farmers in the area.
Mr Noël Chikuvanyanga, said he was now giving his pigs and chickens dirty water from the swimming pool.
"Now my layers are dying and I am suspecting it could be this contaminated water but I have nothing to do," he said.
The farmers appealed to the Minister of Agriculture, Mechanisation and Irrigation Development Joseph Made to intervene.
"Minister Made is the only person who can save us because the other methods are not working," he said.
Zesa Holding spokesperson Mr Fullard Gwasira said he needed time to investigate the issue.
Labels: AGRICULTURE, MINISTRY OF AGRICULTURE MECHANISATION AND IRRIGATION (ZIMBABWE), NEW FARMERS, SABOTAGE, WHEAT
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Varsity strikes wheat growing deal
Thursday, 15 September 2011 02:00
Chinhoyi Bureau
Chinhoyi University of Technology has put a massive 300 hectares of land under wheat under a strategic partnership with the Zimbabwe National Army and Chinese investors.
Under the partnership, the varsity received at least 15 tractors, five combine harvesters, boom sprayers and other farm implements, which have boosted the university's capacity.
CUT marketing and public relations director Mr Musekiwa Tapera said the university lacked capacity in terms of equipment and capital to fully utilise the farm.
"Through the partnership we have managed to get capital and other equipment that has seen us managing to increase the hectarage for the wheat crop. We lacked capacity to fully utilise the land from internal sources so this arrangement has come as a blessing to the university," he said.
At least 1 200 tonnes of wheat are expected from the irrigated crop at the thriving 1 918ha farm.
He said the partnership was not only beneficial to the university but students from the School of Agriculture Science and Technology through attachment arrangements, research and practical work.
"While the overall role of a university is research, teaching and community service, this arrangement ensures that our students have an opportunity for practical experience along the commercial set up at the farm," he said.
Labels: AGRICULTURE, UNIVERSITIES, WHEAT
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Wheat farmers face critical inputs shortage
Thursday, 19 May 2011 21:48
Agriculture Reporter
WHEAT farmers are facing a critical shor-tage of inputs, a liquidity crunch and constant power cuts, a development likely to see the production for the 2011 winter cropping season further declining. The crop planting deadline of May 15 has already lapsed with less activity on the ground.
Zimbabwe Farmers' Union chief economist Mr Prince Kuipa said this season's production was expected to further decline as most farmers were failing to access inputs from the Grain Marketing Board.
"Only a few farmers have already planted and these include those with own resources and those with good farming records who managed to secure loans from their banks.
"Some are still planting but it is not advisable to plant after the deadline," he said.
He said nothing had improved as farmers continue to experience problems in acce-ssing finance.
"This season the majority of farmers can not finance their projects as banks are demanding collateral to get loans.
"Moreover most banks are not willing to fund irrigated wheat production because of the risks associated with the crop," he said.
This year Government released only US$10 million towards wheat production, which agricultural experts say is a drop in the ocean.
The money is enough to cover 10 000 hectares translating to about 50 000 tonnes, leaving a deficit of 400 000 tonnes.
Zimbabwe requires 450 000 tonnes for consumption. Wheat farmer, Mr Godfrey Chingwe said this season he only managed to plant three hectares of wheat due to the absence of financial assistance.
"Banks want collateral while subsidised inputs are not available at the Grain Marketing Board depots," he said.
Mr Chingwe said most farmers in his area of Chabwino were wholly depending on the GMB inputs and some of them may even fail to plant wheat this season if they are distributed late.
"We had to reduce hectarage also because of power cuts. We want to plant manageable hectares in terms of irrigation," Mr Chingwe said.
Mr Kuipa, however, said wheat production remained a profitable business venture if inputs are made available on time.
"Comparing the local producer price with those in the region, wheat production gives a farmer higher returns," he said.
Currently, GMB is paying US$466 per tonne.
Some agricultural experts have since suggested that Zimbabwe suspend wheat production and use the money to import the commodity.
However, Mr Kuipa said wheat was a strategic crop hence the country could not depend on imports.
"Of course it may seem cheaper to use the money meant for production to import the final product but this is not reasonable.
"What will happen in the event countries that export to Zimbabwe decide not to sell to us?
"It is better for Zimbabwe to produce its own food," he said.
Labels: WHEAT
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Govt completes tender process for winter wheat
Thursday, 12 May 2011 20:34
GOVERNMENT has completed the tender process to procure more Compound D fertiliser and seed under its US$10 million facility for the 2011 winter wheat season. Agriculture, Mechanisation and Irrigation Development Minister Joseph Made said GMB would distribute the inputs.
The inputs would complement the US$2,5 million, last season's carry over inputs that have already been distributed to farmers.
"This US$10 million facility is part of the US$26,2 million Government has set aside for this winter season. US$11 million was channelled towards rehabilitation of irrigation infrastructure while the other US$5,2 million was for inputs.
"The onus is on the farmers now to do serious planting even though we are already behind schedule," Minister Made said.
Wheat planting is supposed to start on the first of May or even earlier every year.
The planting period ends on May 15 or slightly later depending on the agro-ecological region of the farmer.
This year's winter wheat season was expected to start in April in line with the prevailing weather patterns.
The planting cut-off date is now five days away and farmers have not yet accessed all the vital inputs.
This is likely to reduce the hectarage under wheat this season.
"We are already behind in terms of the agronomy of the wheat crop and when farmers say that Government is always ill-prepared for all seasons, they are right.
"Everything has to go through the tender process that usually takes time to be finalised.
"Of course, Government support is always inadequate, which calls for the farmers to mobilise their own resources too," he said.
Minister Made challenged banks to mobilise resources and compliment Government efforts in raising capital to finance GMB operations for it to pay for produce delivered.
Minister Made said load-shedding was grossly compromising farmers' capacity to irrigate and manage their crop.
"Our target yield is way off now because of poor timing.
"Wheat is a very sensitive crop that does not do well under poor irrigation schedules like those farmers have to do under intense load shedding," he said.
Minister Made said irrigation infrastructure rehabilitation would continue to boost productivity for smallholder farmers who lack capacity to sustain their activities independently.
The Meteorological Services Department has predicted a favourable long winter wheat growing season.
Labels: WHEAT
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‘No funds available for wheat farmers’
Agriculture Editor
Saturday, 07 May 2011 23:09 Agriculture
THE Zimbabwe Commercial Farmers’ Union (ZCFU) has unveiled an input support scheme for wheat producers in a move expected to help boost the winter cropping season.
In an interview last week, ZCFU chief economist Mr Peter Gambara said his union introduced the facility after its members failed to access Government-subsidised inputs.
He said the organisation and local fertiliser and seed manufacturers signed a memorandum of understanding under which the inputs would be supplied on credit. The respective union members — who are expected to pay US$20 per hectare — have already begun accessing the inputs. The union is also expected to assess the equipment on the prospective beneficiaries’ properties at a cost of US$100 per member.
“It is worrying that challenges crop up every season,” he said.
“We do not know where things are going wrong. We are in mid-May and preparations should be on course.
“However, farmers lack working capital.’’
Farmers need working capital to purchase inputs and prepare land. However, most financial institutions tasked to provide such funding are yet to do so.
To compound the problem, Government-subsidised inputs that were supposed to have been dispensed by the Grain Marketing Board are not available.
The Agricultural Development Bank of Zimbabwe (Agribank) reportedly received US$30 million from Government to cater for the winter wheat programme.
The bank’s chief executive officer, Mr Sam Malaba, would not be drawn into revealing details about the disbursements.
However, insiders revealed that the funds were yet to be made available.
“We have not received any funds. All we have seen are Press reports about the funds,’’ said a source.
CBZ Bank also said it was yet to receive funds.
“We are yet to start disbursement because there is nothing we received for wheat production,’’ said an insider.
Farmers interviewed expressed fears that this season could be a complete disaster.
“The authorities are quite aware of the perennial challenges we face, but do not seem to correct them,” said Mr Timothy Mukonoweshuro, a Marondera farmer.
“All they do is blame farmers for failing to meet the planting deadlines.’’
A Bindura farmer, Mr Elliot Chimakure, said more was required to make the season a success.
“We have seen situations where funds are availed at the end of the season.
Where these funds will be, in the first place, is a question which no one has answered.
“All we hear are counter-accusations which do not help anyone.’’
Mr Chimakure added that incessant powercuts were also adversely affecting production.-The Sunday Mail
Labels: GRAIN MARKETING BOARD ZIMBABWE, WHEAT, ZCFU
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Wheat production under threat
Sunday, 01 May 2011 01:06 Agriculture
By Emilia Zindi and Gwendoline Mugauri
THE country’s winter wheat cropping season is under threat amid indications that most farmers are yet to access inputs under Government’s recently unveiled US$26 million support programme.
Under the initiative, wheat producers were supposed to purchase fertiliser at Grain Marketing Board depots at a subsidised price of US$15 for a 50kg bag.
However, the depots are still dry, almost two months after the launch of the programme. Farmers interviewed last week expressed fears that Zimbabwe could face a serious wheat deficit if inputs were not availed in time for planting this month.
They said although local fertiliser manufacturers had adequate stocks, the product was pegged at prohibitive prices, upwards of US$32 per bag.
Efforts to get a comment from the GMB and Agriculture, Mechanisation and Irrigation Development Minister Dr Joseph Made were fruitless.
Farmers in Mashonaland Central said they visited GMB depots several times, but to no avail.
“I have been to the depot (in Bindura) more than three times but there is nothing. I wonder when they will be made available considering that we are running out of time,’’ said one farmer in the area.
Mr Onias Chiminya of Glendale said some farmers were considering abandoning wheat production altogether. Grain producers in Mashonaland West have also contemplating doing the same.
“There is nothing at the Chinhoyi depot. I have been there more than four times. I have since opted to plant potatoes and I am receiving inputs from our farmers’ union,’’ said Mr Moses Mlambo, a Chinhoyi farmer.
Agritex national wheat agronomist Mr Rudo Chinhoi said problems in the sector had cropped up just as his institution was gearing up for increased production.
He said the intensive land preparations carried out so far indicated growers were eyeing bumper harvests.
“Preparations for the winter wheat season have begun and the focus by Agritex centres on increasing productivity per unit area,” he said.
“The failure by farmers to engage in proper production practices, lack of adequate planning and management as well as inaccurate planting dates have all contributed to low production in the past.’’
Mr Chinhoi said wheat production entailed adequate inputs as well as good land preparation, crop management and marketing.
“The ideal planting time is the month of May. This will help ensure farmers make full use of the cool weather.
“Planting too early results in a large grain size and low nutritional content.’’
Government has earmarked a minimum of 45 000 hectares to go under wheat this season. Zimbabwe requires about 400 000 metric tonnes of wheat per year for bread production only.-The Sunday Mail
Labels: WHEAT
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Flood market with local wheat, Cottan urges farmers
By Chiwoyu Sinyangwe
Tue 11 Jan. 2011, 04:01 CAT
PETER Cottan says Zambian farmers should flood the local market to depress wheat prices which have jumped 60 per cent since the last quarter of 2010. And Cottan says he is shocked by ZNFU’s call for his arrest over his statement on escalating wheat prices in the country. Wheat prices have surged
to US $530 per tonne from US $320 at the end of the harvest period last October.Cottan, the managing director of National Milling Corporation, said owing to the recent projection of about 200, 000 metric tonnes of the recently harvested wheat, the commodity should fetch US $450 per tonne instead of the current spot price of US $530. He said although wheat prices have gone up by 60 per cent, the price of flour was not expected to rise by the corresponding margin because the final consumers could not contain such a price hike.
Cottan said the current surge in wheat prices on the local market could be attributed to farmers hoarding the commodity to force an increase in price.
He said recent indications from Zambia National Farmers Union (ZNFU) that there was no way the country could be talking of a shortage when wheat harvest was done only 60 days ago should be justified by local farmers flooding the commodity on the market.
“My call to the commercial farmers through the Zambia National Farmers Union is that they should flood the market with the wheat so that our members will purchase the wheat so that we stabilise the food and flour prices,” said Cottan who is also the chairman of the Millers Association of Zambia (MAZ).
He claimed that millers and the bakers were absorbing the current high wheat prices which he said were too high to be absorbed by the final consumer of flour products.
Cottan said wheat prices should be reduced if there was a bumper harvest as was the case with maize in last harvest season.
“When you have a surplus, prices should track export parity just as maize has done, and when you have a deficit, the price tracks import parity,” he said. “But when you have prices not coming down when you have a surplus, then it means there is something wrong.”
And Cottan chided ZNFU’s calls for his arrest over his statement on escalating prices of wheat in the country.
Cottan, who also announced that NMC had hiked prices of flour by about K5 000 following the surge in wheat prices, said he was shocked that ZNFU called for his arrest following his statement.
“I believe that I have been a good corporate citizen in the country, I have been serving for the last 23 years and I took this position as MAZ chairman because I wanted to give back to the nation,” he said.
Cottan further said there was need for all industry players to work towards this Friday’s stakeholders meeting to determine the current wheat position in the country.
Labels: KARTELS, PETER COTTAN, WHEAT, ZNFU
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