The ManicaPost
Wimbainashe Zhakata Business Correspondent
THE Minister of Lands, Agriculture, Water, Climate and Rural Settlement Retired Air Marshal Perence Shiri has blasted companies that are withholding wheat, leading to bread shortages in the country.
He said this during the 6th annual general meeting (AGM) of Zimbabwe Association of Dairy Farmers held in Nyanga, recently.
“Previously, we had liberalised the procurement of almost all grains but we had to come up with a Statutory Instrument because of the attitude of our industry. It has demonstrated its capacity to withhold products for speculative purposes.
“We do not have bread on the shelves and we know of a company which has about 20 000 tonnes of wheat in stock while Grain Marketing Board (GMB) has about 8 000 tonnes,” said Minister Shiri.
Government has introduced Statutory Instrument 145 of 2019 [CAP 18;14 Grain Marketing (Control of Sale of Maize ) Regulations 2019. According to the Statutory Instrument, no person or statutory body or company or entity shall sell or otherwise dispose any maize except to a contractor or to GMB.
Minister Shiri said such companies make excuses when Government tries to bargain with them.
“Each time we negotiate with the dealers and bakers at times they are not very sincere. They come up with excuses that they do not have wheat and there is not enough electricity to collect wheat. So there is always an excuse in whatever solution we come up with.
“In a year where know very well that we do not have enough of product in the country and we are faced with such tendencies, we do not want to take any risk by allowing such people to access the grain and withhold it at a strategic point because of other motives,” added Minister Shiri.
In an interview with Post Business, Minister Shiri said it is Government’s duty to protect the consumers from companies who try to maximize profits at their expense.
“These companies will be trying to maximise profits, deprive the consumers of bread, with holding wheat and then focus on producing confectionaries disadvantaging the consumers. It is Government’s duty to protect the consumers.
“If we were to allow these companies to buy maize in a year like this when we have a deficit in terms of production they may resort to some games and gain especially when they seek to increase prices,’’ said Minister Shiri.
