Zimbabwe cuts regulatory fees for farmers to boost agricultural growth and competitiveness

Richard Muponde-Zimpapers Politics Hub

The Government has drastically cut regulatory fees for livestock, dairy, and stockfeed farmers in a bold move to ease the cost of doing business and boost agricultural productivity.

Finance, Economic Development and Investment Promotion Minister, Professor Mthuli Ncube, on Wednesday announced sweeping reforms that slash or abolish dozens of permits and levies which had long suffocated farmers and processors.

The Minister said the changes mark a turning point in the country’s regulatory framework.

“For too long, our farmers and processors have struggled under the weight of unnecessary and costly permits,” he said.

“In some cases, dairy farmers required 25 permits from 12 agencies. Feed manufacturers needed 23 permits, while beef producers faced up to 18 requirements.

“This was unsustainable, it discouraged investment, and it stifled competitiveness. We are correcting that today (Wednesday).”

Under the new measures, farm registration fees under the Agricultural Marketing Authority have been cut to just US$1, while small and medium scale farmers will no longer pay the farm registration certificate fee.

Dairy processor registration has been reduced from US$350 annually to a one-time US$50, while feed manufacturing registration has been slashed from as much as US$250 to only US$20.

Livestock movement clearance fees also dropped sharply, from US$10 to US$5 per beast.

Other significant changes include the abolition of local authority duplicate permits, the scrapping of food handler health certificates, and the removal of Zimbabwe National Water Authority (ZINWA) borehole abstraction and water use fees.

The Environmental Management Agency (EMA)’s effluent disposal fee has been reduced from US$800 to US$100 annually, while the Environmental Impact Assessment licence has been lowered from 1.5 percent of project value to just 0.05 percent, capped at US$100 000.

Prof Ncube stressed that the reforms were designed not only to lower costs but also to stimulate growth.

“These changes will create jobs, encourage exports, and support rural livelihoods. Agriculture is the backbone of our economy, sustaining 65 percent of households.

“By removing unnecessary hurdles, we are empowering farmers and positioning Zimbabwe as a competitive player in regional and global markets,” Prof Ncube said.

The measures, developed through a multi-stakeholder process with support from the World Bank, form the first phase of broader reforms that will later extend to tourism, transport, and retail.

“This is only the beginning. Going forward, no regulation will be introduced without a full impact assessment.

“Our commitment is clear: Zimbabwe must be open for business, efficient, and affordable for every investor, big or small,” he said.

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