Farmers Rejoice Over New Wheat Producer Prices
Farmers have welcomed the new producer prices for wheat, set at US$450 per tonne for standard grade and US$470 for premium grade, with payments made exclusively in United States dollars.
During the 2023 winter wheat season, farmers received US$440 per tonne, with payments split 75% in US dollars and 25% in Zimbabwe dollars at the prevailing interbank rate.
Speaking to The Sunday Mail on Saturday, Grain Marketing Board (GMB) CEO Edson Badarai explained that this decision aims to boost production and productivity. He stated:
After extensive consultations with all stakeholders, the parastatal decided to pay farmers exclusively in USD to encourage production. In addition to the base price, we have introduced a US$20 incentive for premium-grade wheat. These measures are part of our efforts to ensure food security every day, everywhere.
Zimbabwe Commercial Farmers Union President Shadreck Makombe expressed gratitude for the government’s responsiveness to their concerns, saying:
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We should give credit where it’s due. We obtain loans in foreign currency, and it has been challenging to repay them using local currency. We presented our grievances, and the government acted on them.
Zimbabwe National Farmers Union President Monica Chinamasa said that “farmers are pleased with how the season is progressing,” as Zimbabwe is projected to achieve a record harvest of 600,000 tonnes of wheat, surpassing last season’s record of 468,000 tonnes.
However, the tonnage figures declared by authorities have often faced criticism. The government would a surplus, stating that silos are overflowing with grain, while grain millers continue to import hundreds of thousands of metric tonnes to meet local demand.
More: Pindula News
