adminThis comes after speculation that some traders were buying grain from farmers at low prices for resale to the GMB. GMB is paying US$285 for a tonne of maize while most private buyers who pay cash on the spot are buying at prices ranging between US$130 and US$180 per tonne.
Most of the traders do not mind waiting for payment from GMB as they make super profits at the expense of poor farmers.
The parastatal’s general manager, Mr Albert Mandizha, at the weekend said GMB depots were under strict instructions to buy maize straight from farmers only.
“Grain traders buying maize from farmers for speculative purposes are also strongly advised that GMB will not purchase any grain from them.”
“The producer price offered by GMB on behalf of the Government is meant to benefit local farmers for purposes of promoting production and improvement of standard of living,” he said.
GMB employees are also not allowed to buy grain from farmers as this was tantamount to conflict of interest.
“There has been a remarkable improvement in grain deliveries to our depots in the last few weeks with 19 484 tonnes being received in seven days during the week ending August 4 2011,” he said.
So far, GMB has received a cumulative delivery of 123 306 tonnes of grain. GMB usually experiences problems paying farmers on time because it does not have ready cash but relies on funds from Treasury.
The board recently received US$6,4 million tonnes to pay for the 22 791, 578 tonnes of grain that had been delivered by farmers.
It is, however, still in need of US$28,7 million to pay for the 100 514, 422 tonnes delivered from June 30.
GMB has since communicated with Treasury asking for additional funds.
Agriculture experts have continuously called for the recapitalisation of the GMB so that it is able to buy grain from farmers and pay instantly.
GMB has the mandate to buy grain from farmers for national food security.
Online Reporter