GMB maize intake dwindles

Published: 17 April 2014

The Grain Marketing Board has witnessed a continual decline in maize intake over the past five years as farmers opted to sell their grain to private buyers due to delays by the company in making payments to farmers for their crop.

The GMB used to be the sole buyer of maize until 2009 when the market was liberalised. Now GMB competes with private buyers to buy grain from farmers and usually sets a high and viable floor price.

However, the company has been struggling to pay farmers for the grain brought to them on time resulting in most grain being sold to private buyers for a lesser price.

In a performance update for the 2013/14 season, GMB chairman Charles Chikaura said the decrease in maize received could be attributed to late payments and delayed inputs.

Deliveries to the GMB reached their peak in the 2010/11 season when farmers delivered close to 250 000 tonnes of maize. This is enough for the Strategic Grain Reserve which the government pays for through the GMB.

However, deliveries went down in the following season to 213 000 tonnes.

A further decline in deliveries was witnessed in the 2012/13 season when the company received only 81 000 tonnes.

Cumulative maize deliveries amounted to 33 273 metric tonnes valued at $12,6 million for the 2013/14 marketing season.

"The decrease in maize deliveries was a result of erratic climatic conditions which affected production, delayed inputs, late farmer payments and crop production shifts as most farmers have resorted to high-earning crops like tobacco," Chikaura said.

For the period under review, small grains amounted to 395 metric tones with wheat deliveries closing the year at 7644 metric tones valued at $3,6 million. Payments amounting to $3,1 million have been made to wheat producers so far.
- BH24

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