‘We don’t tolerate corruption’ tobacco
Farmers are encouraged to report on any cases of corruption at the floors

Farmers are encouraged to report on any cases of corruption at the floors

THE 2016 tobacco selling season opened last month. A new payment system, which eliminated spot cash payments was introduced.

Last week, The Herald Business (HB) spoke to Tobacco Industry and Marketing Board CEO Dr Andrew Matibiri (AM) on the matter and other related issues.

HB: The auctions floors opened a month ago, highly characterised by late payments largely resulting from the introduction of the new payment system. Has the situation improved?

AM: As farmers come for their subsequent deliveries and their details properly captured in the system, cases of late payment have become a thing of the past. We have assisted farmers open bank accounts with banking institutions where they can withdraw up to $10 000 without having to first apply as stipulated by the central bank.

HB: Recent reports suggest that farmers are not happy with the prices and it has been alleged that some farmers are holding on to their crop in anticipation of higher prices.

AM: The recent reports and the situation prevailing on the ground are unfortunately misaligned. We have offices at every floor in the country and varying channels of communication at the farmers’ disposal including toll free numbers and if farmers wanted to talk to us, we would have been the first to know. Zimbabwe prides itself in having the second highest average price after United States of America.

HB: What is your response to allegations that corruption is rife at the auction floors?

AM: Our doors are open. We kindly urge people to report corruption through our toll free numbers, coming directly to my office or sending e-mails to the TIMB. We need specific cases with details. As TIMB, we do not tolerate corruption and urge farmers to report cases of corruption to us, the police or any other competent body.

HB: We have noted that some buyers pay less for the same crop grade. What causes the variations?

AM: The buying companies are the same and are represented in each and all buying teams operating at each and every auction floor. The buyers also stand in exactly the same order in each buying line at all auction floors. Being an auction system farmers also have a choice of three floors to sell at.

HB: We have tried to visit some private floors but they have denied us access. Are they not subjected to same public scrutiny as the auction floors?

AM: They are subject to public scrutiny and when that incident took place you could have approached us for recourse.

HB: You have said the current dual marketing system is a temporary measure that was put in place to boost for production after the land reform programme. What are your plans in moving back to one marketing system and do you have specific timelines?

AM: The board has had a strategic review of that position which I must say was not cast in stone.

HB: You had planned to automate the auction system this season. Are you still moving ahead with your plan?

AM: The plan to introduce e-auctioning is underway. Our plan to introduce the system mid selling season is still on track.

HB: We have seen that self-funded farmers are only able to fetch not more than $4,99 on the auction floors. Are you not punishing these self-funded growers while at the same time creating dependency attitude towards farming?

AM: Most merchants funding contract farming are the ones buying from the auction system, to supplement what they would have funded. The reason they pay more at contract is so that growers will not side market the contracted crop. Financing in business does not create dependency. Financial inclusion is aiming at creating financiers for auction floor farmers and it is not aimed at dependency syndrome. TIMB continues to look for more buyers.

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