CZI initiate study on soya-bean value chain

Published: 01 August 2017

The Confederation of Zimbabwe Industries in conjunction with the Zimbabwe Economic Policy Analysis and Research Unit have begun a study on soya value chain that is expected to ascertain the linkages within the sector and its ultimate revival.

Results of the study are expected by end of this month."The objective of the study is to understand the current linkages that exist between the various soya bean value chain actors and sub actors, understand how linkages can be strengthened between all players within the value chain to drive inclusive economic growth," said CZI in their second quarter update.

CZI has identified 18 value chains and from these, the lobby group has recommended five, inclusive of the soya bean, for prioritisation.

The soya bean value chain study is also expected to identify the level of throughput at each value chain stage as well as inhibiting fiscal, macro, policy, market and supply issues that impact on effective value chains.

Zimbabwe needs about 220 000 tonnes of soya annually for food, feed and other industrial needs such as cooking oil production.

Soya bean is identified as one of the common crops with multiple benefits to farmers, industry and the economy.

CZI noted the study should help: "To understand the cost drivers at each segment of the value chain, to understand the cost drivers at each segment of value chain and to suggest policy measures and incentive that are key to the sector's revival and growth.

Last year, Zimbabwe imported crude soya bean oil worth $119, 9 million and the figure is likely to go up this year as few farmers havegrown soya bean.

In the 2016/17 farming season, the number of soya bean farmers decreased as they migrated to maize production under the command agriculture scheme.

Indications are that the programme would spread to other key crops such as wheat and soya bean.
- BH24

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