AMA tackling sesame side marketing

Word From The Market With Peter Mudzimiri

THERE has been growing interest in the production of sesame (runinga) seeds in Zimbabwe, particularly in the Lowveld.

Sesame is classified as a grain under the Agricultural Marketing Authority (Grain, Oilseed and Products) By-laws, 2013 (Statutory Instrument 140 of 2013 as amended).

Production regimes include contract farming and self-financing by individual farmers. In recent years, there have been challenges in marketing the crop through unauthorised buying and smuggling into neighbouring countries, particularly Mozambique. Growers have been left at the mercy of unregistered merchants, who offer unsustainable prices, thereby affecting farmer viability and also resulting in loss of export earnings for the country.

The Agricultural Marketing Authority (AMA) has engaged stakeholders in the sesame value chain for orderly production and marketing of the crop.

Further engagements are underway to get buy-in from all stakeholders to ensure that more investment is attracted into the sub-sector.

Production framework

There are basically two forms of production for sesame seeds; that is, contract farming and self-financing.

With contract farming, growers enter into volume-based agreements with contractors. Under the deals, the farmer agrees to produce the crop with provision of inputs and technical support from the contractor, who then buys the produce at the end of the season. Farmers with own funds can also produce the crop and sell to best advantage, albeit to registered merchants or buyers. According to the 2023/2024 First-Round Crop, Livestock and Fisheries Assessment Report (pre-harvest), a total of 71 990 hectares were put under sesame this season, compared to 27 537 hectares last season, representing a 161 percent increase.

The figures are expected to improve next season, given the interest that has been generated among stakeholders to support production of the crop.

The Government has rallied farmers to produce the crop for export, as there is a huge appetite on the global market for sesame seeds due to their dietary and health benefits.Climate change and the El Niño weather phenomenon witnessed this agricultural season have also contributed to considerable interest from stakeholders who want to participate in sesame production because the crop fares well in warmer climatic conditions.

AMA regulates contract farming.

Contractors are obliged to provide evidence in the form of returns and supporting schedules for inputs disbursed to farmers.

Farmers must, in turn, utilise the inputs for the intended purpose. A grower register is also submitted by contractors and kept by AMA. AMA may issue minimum and agronomic packages for each season, which contractors must adhere to. The development of such minimum packages is meant to spur production and improve on yields.

Marketing framework

Every contractor or buyer/merchant of sesame seeds must be registered with AMA before commencing any activities.

Registered contractors are protected by law to ensure they receive produce from farmers they would have supported.

Farmers are also prohibited from selling to unregistered merchants.

It is, therefore, imperative for all farmers to demand AMA registration certificates from merchants before selling their produce.There has been a proliferation of unregistered buyers for sesame seeds, hence AMA has engaged the Ministry of Lands, Agriculture, Fisheries, Water and Rural Development; the Zimbabwe Republic Police; local authorities; traditional leaders and other law-enforcement agencies for concerted efforts to bring order and discipline in the marketing of sesame seeds.

Engagements are underway in Rutenga, Chiredzi and Chipinge.

AMA will issue buying licences to all registered merchants who will be buying sesame seeds. The authority has also partnered with merchants for information dissemination through the electronic media to ensure orderly marketing of sesame seeds this season. Stakeholders are called upon to follow the authority’s messages on various social media platforms and on radio.

Market discipline

In order to maintain efficient and orderly marketing of sesame seeds, Statutory Instrument 140 of 2013 provides for penalties for errant behaviour. Criminal offences include operating without being registered, falsification of information, purchasing of another merchant’s contracted crop and misappropriation of inputs, among others.

These acts are punishable by a level four fine and up to three months’ imprisonment, or both such fine and such imprisonment.

In addition, AMA is authorised to administer civil penalties on wayward buyers and farmers, hence the need for all stakeholders to operate in accordance with the law.

This article was written by Peter Mudzimiri, AMA’s head of compliance and corporate secretary. Word From The Market is a column produced by AMA to promote market-driven production. Feedback: [email protected] or WhatsApp/Call +263781706212.

 

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