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Edgar Vhera-Agriculture Specialist Writer
THE Agricultural Marketing Authority (AMA) has initiated the process of operationalising the Farmers Stop-Order Act (Chapter 18:11), which was promulgated in March 1964.
The Stop Order Act authorised the permanent secretary of Ministry of Lands, Agriculture, Fisheries, Water and Rural Development to be the register of stop-orders kept by the registrar in terms of this Act.
The Government has since granted AMA the authority to be the administrator of all stop-orders and special stop-orders with the exception of auction tobacco.
AMA is now in the process of mobilising the necessary resources to operationalise the system. The purpose of the Act is to provide for the registration by farmers of stop-orders and special stop orders binding their crops and proceeds thereof.
The stop order system has not been implemented over a long period of time contributing to the general decline in investor confidence within the agricultural sector, as regards investment protection.
The stop order system will help the Government in managing non-performing loans from its various supported schemes and curb side marketing. Other Government agencies like Zimbabwe National Water Authority (ZINWA), Zimbabwe Electricity Transmission and Distribution Company (ZETDC), Department of Lands Management as well as contractors stand to enhance their revenue collection from producers through the centralised system.
The issue of side marketing has been topical in the marketing of agricultural produce with the private sector calling for the revival of the system to deal with the scourge forever.
The National Agriculture Policy Framework though acknowledging that the existing Stop Order Act has failed to attract adequate funding towards other commodities because the financier is not fully empowered, proposed its review to facilitate increased finance inflows through value chain financing, with financiers enjoying some tax incentives.
More importantly, the stop order system will create an enabling environment for agriculture investment in line with the National Development Strategy 1 (NDS1) aimed at strengthening and promoting contract farming to cover all crops and livestock.
The system brings confidence, accountability and stability in the sector, which is crucial for the accelerated growth as envisaged by Government in order to achieve food and nutrition security.
AMA now seeks cabinet approval to administer this Act for agriculture development in the country.
Zimbabwe Commercial Farmers Union (ZCFU)president Dr Shadreck Makombe welcomed this as a noble idea but questioned the capacity of AMA to deliver on this aspect, as they are thin on the ground.
“The issue of AMA being the administrator of stop-order activities is a welcome initiative and farmers have been clamouring for such a thing over the years.
“Our only challenge is that AMA is not well capacitated to tackle this enormous task, as they are failing to accomplish simple issues such as registration of farmers. AMA is also seized with input distribution, registration, monitoring and regulation of contractors among others,” added Dr Makombe.
A centralised register for stop-orders plays a crucial role in agriculture development through curtailing side marketing but it requires an institution that is well resourced and up to the task, further commented Dr Makombe.
Online Reporter