Farmers hail 2012 Budget

agricultural activities.
The farmers said lack of funding had over the years been the major drawback in production and if what has been promised in the Budget materialises, the sector is going to register significant growth. Of particular interest was the Three-Year Rolling Financing Strategy for the next three agricultural seasons, which farmers said would go a long way in enabling them to procure inputs on time.
Finance Minister Tendai Biti said this would align the annual budget provisions with the requirements and timing of the summer agricultural season and activities, allowing timeous and adequate preparations for the procurement of inputs without undermining cash budgeting principles.
Agricultural Marketing Authority operations manager Mr Maxwell Chikanda said as a farmer he was pleased by the efforts of the Government in funding agriculture.
He, however, noted that responsible authorities should make sure the inputs would be availed to farmers on time.
“Farmers had been failing not because of lack of inputs but late availability of the resources. Farming wholly depends on timing and delays result in huge losses in yields,” he said.
Zimbabwe Farmers’ Union chief economist Mr Prince Kuipa said the three-year rolling financing strategy for agricultural seasons that runs from 2011 to 2014 would allow farmers to access funding even before the announcement of the budgets.
“It means that there would be some kind of an ever-present fund that would take care of the agriculture industry’s financial requirements throughout the period if the plans come to materialise,” he said.
Mr Kuipa said it was good that the Budget had managed to include the 10 percent allocation as required by the Maputo Declaration of 2003.
To ensure that adequate resources were made available for agricultural production, the 2003 African Union (AU) Maputo Declaration directed all AU member countries to increase investment in the agriculture sector to at least 10 percent of their national annual budgets by 2008.
Mr Kuipa, however, said the 10 percent would not make the expected impact on production, as the entire budget itself was small.
“The agriculture sector requires US$2 billion annually that is expected to come from Government alone yet that same Government is reeling from serious liquidity challenges.
“It would make sense if the private sector and non-governmental organisations came in to assist Government to meet its targets in input manufacturing and distribution,” said Mr Kuipa.
A farmer in the Chesa area of Mt Darwin said Government’s allocation of US$41,5 million towards the rehabilitation and maintenance of both urban and rural roads was also a shot in the arm for the agricultural sector.
“The allocation of US$7 million to the District Development Fund that is responsible for maintaining the roads we use when taking produce to the markets or ferrying inputs to our farms will make our lives easier.
“Good road networks are critical wherever there are dreams of creating a vibrant agricultural sector,” said the farmer who requested anonymity.
He added that even if the funding was not directly injected into the coffers of the agricultural sector, its proper utilisation would have a positive impact on agricultural productivity.
Zimbabwe Commercial Farmers’ Union president Mr Donald Khumalo said the Budget would recondition agriculture since some considerable amount of funds had been channelled towards revamping various areas of the sector.
He said the commitment of funds to extension services was in itself critical since extension was a vital component aspect of farming.
Some farmers, however, complained that the US$50,2 million allocated to the Grain Marketing Board for the procurement of grain fell short of meeting their expectations.
They argued that GMB should be adequately funded to pay farmers upon delivering grain so that they did not hold grain or diversify into other less strategic crops.
“This will force some farmers to turn to such crops as tobacco and soyabeans that are paying instantly whereas GMB has been infamous for its delayed payments.
“It is critical to empower the GMB to buy grain and build the strategic grain reserves. Last time some farmers ended up swapping grain for inputs yet they might have had other plans on how to use the revenue generated from the sale of their maize,” complained Enoch Dzapasi of Marondera.