Gvt sets pre-planting producer prices in US$

Utilise land or risk losing farm offer letters' — Agric Minister warns lazy farmers - NewZimbabwe.com — Dr Anxious Masuka

Audrey Galawu

In a new pricing model which it says is consistent with achieving food security and macro-economic stability, Government has set the pre-planting producer prices for strategic commodities for the summer season of 2022/ 2023 in US dollars, with maize set at US$335 per tonne.

The prices were announced Wednesday by the Minister of Lands, Agriculture and Rural Resettlement, Dr Anxious Jongwe Masuka, and Finance Minister Mthuli Ncube.

Government has proposed a price of US$335 per metric tonne for maize and traditional grains purchased at the Grain Marketing Board (GMB) while US$597 was proposed for soya bean and sunflower.

Dr Masuka said GMB and COTTCO will only purchase strategic commodities financed under the Presidential Input Programme as well as by self-financed farmers. However, GMB may purchase grains from contractors.

“The proposed price for maize, traditional grains, soya bean and sunflower are obligatory prices for grains purchased by the Grain Marketing Board and the proposed price for cotton is an obligatory price for cotton purchased by COTTCO.

“All contractors including the Food Crop Contractors Association and the Commercial Bank of Zimbabwe and the Agriculture Finance Corporation are obliged to buy back contracted crops at market prices.

“Self-financed farmers will sale to the best advantage on the market of to GMB or COTTCO,” he said.

The average yield for commercial maize was 3.68 MT per hectare in the 2020/21 season and 3.89MT per hectare in the 2021/22 season.

The total cost of producing soya bean is US$1,299,11 while the break- even is US$291,31.

The cotton pre-planting producers price for 2022/23 season is US$0.40 per kg for grade D, US$0.41 per kg for grade C, US$0.43 grade B and 0.46 per kg for grade A.