adminThe Rhodesia Herald,
February 8, 1969
THE chairman of the Agricultural Marketing Authority, Mr William Margolis, told the Salisbury branch of the Institute of Bankers annual dinner last night: “If the economy of Rhodesia as a whole is to expand and prosper, farming output cannot be restricted to the needs of the home market only.”
Mr Margolis said that such a policy: “Would not only confine the size of the agricultural industry very severely, but more important by far, the economy would be precluded from earning foreign exchange through the sale of these agricultural commodities overseas.”
He went on: “The challenge of export markets must be met. This situation will apply irrespective of whether sanctions remain or not.”
Earlier in his speech, Mr Margolis reviewed the situation in key areas of Rhodesian agriculture. Dealing with the beef industry, he said that the home market was based on sound foundations.
The local consumer got good value at realistic prices which were lower than the prices paid by consumers in many other countries.
At the same time, the beef industry was able to meet the requirements of export markets on quality, price and continuity of supplies. He thought the beef industry would be able to give the return to producers which would guarantee its continuous growth.
Turning to cotton, he said that the tremendous expansion which had taken place in the size of the cotton crop in recent years was also built on a very solid basis. It was not necessary for the domestic price to support the export price and in the export markets Rhodesian cotton had the advantage of being handpicked, competitive and of a desired staple length and quality.
Mr Margolis said the maize industry had still to meet the challenge of overseas prices: “Until this objective is achieved, the local market will no doubt have to continue to act as a sweetener to the producer price.”
He added, however, that he thought the maize industry, “is well on the way to meeting the challenge of the export market.” Mr Margolis presented a more sombre picture in respect of the dairy industry. He said that its exports were small and could not be relied on for continuity. The industry also enjoyed protection in the local market.
He said that it was in danger of producing “a substantial over-supply”.
He then warned: If this development is allowed to get out of hand the dairy producer will find himself competing in world markets with foreign dairy producers who are heavily subsidised and whose prices are ridiculously low”.
Mr Margolis said that it was only to be expected that established producers showed a great interest in the methods used to discourage over-supply. Some would prefer to see prices maintained, production curtailed and entry of newcomers to the industry restricted
LESSONS FOR TODAY
Agriculture can be vital in generating the much-needed foreign currency that the country requires if farmers treat it as a business.
Farmers should take advantage of Government programmes such as Command agriculture and Pfumvudza/Intwasa, to ramp up production and ensure that the country produces more than its requirements so that the excess can be exported to other country. This is not impossible as demonstrated by the bumper harvests that the country produced in the 2017/2018, 2020/2021 seasons.
Agriculture can also be key in promoting Government’s import substitution thrust. Just recently, the Minister of Agriculture announced that Government was providing free sunflower seed to farmers through the Grain Marketing Board, to ensure that it ceases imports of between 60 000 and 65 000 tonnes of crude sunflower oil from South Africa annually, which was costing the country US$200 million.
The Agricultural Marketing Authority should take the lead in seeking new markets for farmers, which would enable them to earn enough money to finance their operations without having to wait for Government support.
Online Reporter