HomeLocal NewsGMB in $136m debt

GMB in $136m debt

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The Grain Marketing Board (GMB) is reportedly saddled with a $136 million debt, owed to both local and regional creditors, while government is yet to pay the parastatal $19,4 million.

GMB general manager Albert Mandizha, who was appearing before the Parliamentary Portfolio Committee on Agriculture, Water, Lands and Resettlement chaired by Chikomba Central MP Moses Jiri, also said between 2007 and 2008, the Reserve Bank of Zimbabwe would come up with financing structures and sign financial contracts, while the parastatal signed supply contracts.

Mandizha had been asked to apprise the committee on who benefited in the 2011 to 2012 farm input scheme as well as give a breakdown of the level of indebtedness of GMB.

“We owe $110 million to 12 different companies in Zambia, Malawi and South Africa who sold us maize in 2007 and 2008 when there was hunger in this country,” Mandizha said.

“We also owe local creditors like the National Railways of Zimbabwe and road transporters $3, 8 million and a further $9 million to people who have not been paid for their maize and wheat, $7 million to other creditors and $5 million for inputs.”

He added: “Government also owes GMB a lot of money because we invoice government for services of grain storage, distribution of inputs and others.
Treasury is supposed to pay the $19, 4 million debt owed to GMB by government and it makes it difficult for us to move as we have to pay salaries, buy fuel and pay for other expenses such as electricity.”

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