Saturday, May 21, 2011

(HERALD) Wheat farmers face critical inputs shortage

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.



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