The Small Scale Farmers Development Agency (SAFADA) says the release of K1 billion for maize purchasing in this year’ s marketing season is timely adding that is what is expected from government.
SAFADA Executive Director Boyd Moobwe told Money FM News in an interview that says the move is commendable because in most instances farmers have been supplying maize to government and they are promised to be paid within a week or two but that this is not usually the case.
Mr. Moobwe observed that to some extent, some farmers have not been paid up to now for the maize they supplied last year, hence the release of the funds is a step in the right direction.
He however, said government should consider adjusting the price of the commodity if they are to meet the 1 million metric tonnes target so that they can compete favorably with the private sector who is offering better prices.
“If the government has released One billion Kwacha to buy maize from farmers, that’s good but then have also to adjust the price if they want to buy more so that they can compete favorably with the private sector. So in order to have enough stock for the country, FRA has to revise the price,” Mr. Moobwe stated.
Meanwhile, Mr. Moobwe urged government to increase the amount that has been allocated for maize purchases because one billion Kwacha may not be enough to buy 1 million metric tonnes of the crop.
He said government needs to revise their decision and see how best they can get all the maize from farmers without any credit because farmers will not be willing to sale their produce on credit.
“For this year if they are using that money to buy maize, it could be enough but if they are talking about 1 million metric tonnes, it is a small amount that has been allocated. I think government just needs to revise their decision and see how best they can get the maize from farmers without any credit. I think farmers will not be interested to sale their produce on credit,” he said.
On Friday last week, Secretary to the Treasury Fredson Yamba announced the release of a cumulative K1 billion to ensure active participation of the Food Reserve Agency in the 2020 crop marketing season and facilitate attainment of national strategic food reserve requirements.