US$10m set aside for winter wheat

This follows negotiations between Ministers Joseph Made (Agriculture, Mechanisation and Irrigation Development) and Tendai Biti (Finance).
Government had initially not set aside any funds for the winter crop.

Instead, Minister Biti said he expected farmers to find their own ways of financing production.
Minister Made yesterday said they had ag-reed to support all farmers including those in the A2 sector.
“I am happy that finally the Minister of Finance has acknowledged the need for funding for all farmers.
“We have agreed to work closely together to continue mobilising resources for wheat production,” Minister Made said.

He, however, encouraged farmers to secure their own resources instead of waiting only for Government assistance.
How the funds will be accessed will be made public soon.

The US$10 million facility is not enough for winter wheat production.
Farmers require US$45 million to produce      50 000 tonnes of wheat and Zimbabwe annually consumes about 450 000 tonnes.

At peak production, local farmers produced about 120 000 tonnes with the rest being imported.
Last year, the country produced far less than was normal in the heydays of wheat farming.
While exact figures are not available, estimates are that wheat production in 2010 stood at around 36 000 tonnes.

The ministries of Finance and Agriculture have also agreed to pay the outstanding balance of US$5 million to farmers who delivered their grain to the Grain Marketing Board depots.
Minister Made said, “My main worry is the issue of energy and power. We are going to appeal for uninterrupted power for those areas that will be growing wheat this season.
“We are also mobilising funds to give the energy sector so that wheat farmers can have access to uninterrupted power supply and reduce the use of generators for wheat production.”

The minister said relying on generators for wheat production was not viable and would increase costs.
“We also appeal to seed houses and fertiliser manufacturing companies to extend lines of credit to farmers,” he said.

Power utility Zesa has said it has grouped farmers in clusters so that they can access a steady electricity supply.
The farming clusters require up to 162 megawatts of electricity.
To support this massive effort, Zesa has    procured 165 trucks to ensure that activities   on farms are not hampered by electrical  faults.

This season, farmers have been encouraged to concentrate on quality instead of planting large hectarages that they cannot support.
“Farmers should aim for high yields per hectare,” Minister Made said.
To produce four tonnes of wheat per hectare this year a farmer requires US$1 200.
The Bankers Association of Zimbabwe has said it has no facility for wheat production but advised wheat growers to visit their individual banks for loans.
Local financial institutions offer short-term loans and require collateral, which many growers say they do not have.
This has forced some to switch from wheat to barley, which is grown under contract and farmers find it easier to access inputs.-The Herald

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