Online Reporter
Edgar Vhera, Zimpapers Business Hub
AS the policy on duty-free milk powder imports comes to an end, stakeholders have urged Government to reintroduce duty to save local producers amid soaring production levels juxtaposed against increasing dairy product imports.
This comes on the backdrop of growing concerns over an observed increase in milk product imports this year yet local milk production is rising.
Statistics from Zimbabwe National Statistics Agency (ZimStats) show that milk product imports declined 45 percent from US$37 million in 2021 to US$20 million last year. As at end of September 2025, imports had reached US$21 million, setting it on course to eclipse last year’s import bill.
Agriculture expert and Livestock and Meat Advisory Council (LMAC) executive administrator, Dr Reneth Mano said there was a need for Government to remove duty-free imports of dairy products.
“It is time for Government to change strategy and reimpose border duties on all dairy products (except baby formula) to protect our dairy farming industry from unfair competition with cheap subsidised powdered milk and cheese from Europe.
“Scrapping the duty-free import policy and replacing it with a 10 percent surtax on all imported dairy products to fund expansion of small-scale dairy farmers in all the 10 provinces of Zimbabwe is the way to go,” he said.
Dr Mano said there was a need to come up with a policy rethink on how Government could directly support farmers to produce 500 million litres for Zimbabwe to achieve and sustain national self-sufficiency in all dairy products by 2030.
“Should the Ministry of Finance strictly adhere to the 2023 policy commitment to phase out duty free import quotas for dairy products by 2026, then from January 2026 imports of all dairy products shall attract a five-percent import duty at the port of entry.
“Add the standard 15 percent value added tax (VAT) and the total border taxes on dairy milk in 2026 would be 20 percent,” he said.
Dr Mano said such a policy would increase the domestic prices of dairy products to correctly reflect local cost of production and policy failures more than the agriculture support policies of the dairy exporting countries such as the European union (EU).
Zimbabwe Association of Dairy Farmers (ZADF) national chairman, Mr Edward Warambwa said as a result of increased local milk production, it was also important to protect local producers from unfair competition posed by imported dairy products.
“By year-end, we expect to reach approximately 130 million litres of milk. This projection is based on current production trends and the anticipated benefits of favourable weather conditions.
“If farmers implement effective management practices and take advantage of the improved grazing conditions, we may even exceed this target,” he said.
Zimbabwe Dairy Industry Trust (ZDIT) chairperson, Mr Themba Mutsvairo said most of the products imported were ingredients used in the production processes of foodstuffs such as bread, maheu, dairy fruit blends, whey-based drinks that had dairy components.
“This implies that the growth in demand for dairy related products is exceeding the advance in local primary milk production.
“Our capacity as dairy processors is expanding in response to the growing demand, therefore, we will continue to support local primary milk production and closing the demand gap through importing dairy ingredients for products that use dairy components,” he said.
Finance, Economic Development and Investment Promotion Minister, Professor Mthuli Ncube put in motion processes to revive the industry in the 2023 national budget.
Prof Ncube said there was a need to gradually substitute imports through increased local production, coupled with a simultaneous increase in the uptake of raw milk by processing companies from 70 million litres to 130 per annum by 2025.
“It has, however, been observed that there is a reduction in the uptake of locally produced raw milk as well as limited support to local dairy farmers in preference to imported milk powder.
“In view of the above, I propose to gradually reduce ring-fenced milk powder imports under suspension of duty,” he said.
The Government gradually reduced on a sliding scale ring-fenced duty-free milk powder and cheese imports starting at 75 percent in 2023 to 50 percent in 2024 and then to 25 percent this year.
