Chronicle Editor
Government re-introduced a subsidy on roller meal late last year so that the prices of mealie-meal remains affordable to the majority of people.
President Mnangagwa had to intervene and reverse an earlier Government decision to remove the subsidy. When Government removed the subsidy the milling industry responded by doubling the prices of mealie-meal.
The subsidy money is now paid directly to millers after verification of monthly production of roller meal. Last Thursday Government announced the establishment of a taskforce to ensure transparent and equitable distribution of roller meal. Government said the taskforce will make follow-ups with retailers to curb diversion of the roller meal to the black market.
Industry and Commerce Minister Dr Sekai Nzenza said the taskforce is headed by her deputy Cde Raji Modi. Dr Nzenza said the taskforce was working with key stakeholders such as the Confederation of Zimbabwe Retailers (CZR) and The Grain Marketing Board (GMB) on the issue. She said her ministry was monitoring the subsidy programme to ensure equitable distribution of roller meal.
Grain millers buy maize from the GMB and all licensed millers including non- members of Grain Millers Association of Zimbabwe (GMAZ) can participate in the roller meal subsidy progamme.
The recommended retail price of roller meal is $50 or less for a 10kg but it is being sold for up to $100 a bag on the black market. It is now rare to find roller meal in retail shops as the bulk of it is being diverted to the black market since the re-introduction of the subsidy.
The taskforce therefore has a huge task to put mechanisms in place to stop millers and retailers from diverting the roller meal to the black market. The roller meal should be found especially in leading supermarkets as has been the case before the re-introduction of the subsidy.
Now that the millers have been allowed to import their own maize, there should be enough mealie-meal to meet demand. The retail shops should not allow individuals to buy large quantities of mealie-meal because it is these individuals who are selling the subsidised roller meal at the black market for double the price.
The subsidy is meant to benefit especially the poor and this is only possible when the product is readily available in shops and selling for $50 or less for a 10 kg bag.
Government should therefore continue working on plugging loopholes in the roller meal distribution chain so that the people benefit from the subsidy.
Bongani Ndlovu
Online Reporter