More incentives as farmers get instant payments

FARMERS will be paid for their grain upon delivery at all collection points set up by the Grain Marketing Board, Parliament was assured by Lands, Agriculture, Fisheries, Water and Rural Development Minister Anxious Masuka yesterday.

This comes as Cabinet approved on Tuesday, the payment of a US$90 incentive to farmers that deliver grain early before the end of next month.

Minister Masuka said the instant payment of farmers for the first time in GMB history was part of measures to incentivise farmers and encourage them to deliver grain to the GMB.

He added that the US$90 incentive and the $75 000 producer price per tonne, takes the total dues to farmers to around US$280 (at the official rate) per tonne and that is more than the US$180 and US$220 per tonne paid to farmers in Zambia and Botswana.

In separate interviews yesterday, farmer organisations said such moves showed that thecGovernment was listening to their concerns.

Zimbabwe Commercial Farmers Union president Dr Shadreck Makombe said the Government was moving in the right direction.

“There is sensitivity on the part of Government. We were lobbying for an increase and they came with that. We are grateful and we really appreciate that. This is going to motivate farmers.

“Our wish was to get 100 percent in foreign currency. The challenge is that prices of inputs continue to increase and there is a need for authorities to check on that,” said Dr Makombe.

Zimbabwe Farmers Union president Mr Abdul Nyathi said the review of producer prices and introduction of incentives indicated that Government was up to date with what was happening on the market in terms of inflation.

“The review has come at the opportune time. Inflation has been eroding the producer prices and it is good that there has been a review.

“We hope Government will continue doing so, adjusting producer prices in line with market trends. Through this, farmers will be able to go back to the land,” he said.

Zimbabwe Women Farmers Trust president, Mrs Depinah Nkomo, also welcomed the introduction of the US$90 incentive, saying it will go a long way in cushioning farmers especially women who do not have access to funding.

“I think it is a good way of promoting the early delivery of maize to the GMB. “We commend the Government for this but we recommend that this incentive should be offered every year from now so that farmers know that when they deliver their crops early, they will get an incentive payment,” said Mrs Nkomo.

Minister Masuka said the authorities had introduced a mechanism to pay at the collection point which is the first time in history in terms of payment to farmers.

He added that while the new mechanism takes root, GMB will ensure that farmers are paid within 72 hours of delivering grain. The US dollar incentive will be backdated to April when the marketing season opened, so farmers who have already delivered will be paid.

GMB has established 1 800 collection points across the country.
Minister Masuka said Government had as of Tuesday, released $850 million towards payment of farmers while $560 million had been paid out.

Government is working flat out to ensure availability of grain following reduced harvests expected this year due to erratic rains.

Zimbabwe has over 400 000 tonnes carried over from last year’s harvests while grain millers are also importing 400 000 tonnes to augment the present harvest.-The Herald