HomeLocal NewsMillers welcome new wheat producer prices

Millers welcome new wheat producer prices

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BY FREEMAN MAKOPA
Millers have welcomed the new producer prices for wheat announced by government this week, describing it as viable and profitable to farmers.

Zimbabwe expects to harvest over 300 000 tonnes of wheat, enough to meet its needs after putting more than 66 000 hectares under the crop, the third highest hectarage since independence in 1980.

Speaking after Cabinet’s Tuesday meeting, Information minister Monica Mutsvangwa said Zimbabwe had an annual requirement of 360 000 tonnes, while current national wheat stocks stood at 70 000 metric tonnes, making the country self-sufficient for the first time since 2005.

Government set the wheat producer price at $55 517,69 per metric tonne for ordinary grade wheat and $66 621,22 per metric tonne for premium grade wheat.

Grain Millers Association of Zimbabwe national chairman Tafadzwa Musarara said: “The grain milling industry welcomes the winter wheat producer price announced by Cabinet this week. The price of $55 517, 69 per metric tonne for ordinary grade and $66 621,22 per metric tonne for premium grade in our considered view, is viable and profitable to farmers.”

Musarara applauded government for maintaining a competent subsidy regime which he said would achieve viable producer prices for farmers and stabilise bread prices.

He said the subsidy programme would eventually result in low food import costs.

Follow Freeman on Twitter @freemanmakopa

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