Forex shortages bite agric firm

Forex shortages bite agric firm
Published: 31 May 2018
A Gweru-based firm, Linfield Farm, which is in the business of exporting peas and other horticultural products to Europe, is failing to expand its operations due to foreign currency shortages.

The firm's operations director Mr Tatenda Karimazondo said they were not accessing enough foreign currency to increase production.

"We have faced a number of challenges this season mainly because of the outbreak of diseases that affected us, but for us it is a learning curve," he said.

"The major challenge affecting us this year is the shortage of foreign currency.

"There are chemicals which are needed to control these pests which are not found locally.

"For our industry, the challenge is that at times you encounter unforeseen challenges like diseases and you need money timely to buy the pesticides to quickly control the disease.

"We are also not getting as much foreign currency as we would want, but we will soldier on since we want to be a reliable supplier for the foreign market."

Mr Karimazondo said they were optimistic that they would increase production this year.

"This year, in terms of peas, we had projected to export an average of 500 tonnes, but if we manage more than 300 tonnes we will be happy because of the challenges we had this year," he said.

Mr Karimazondo commended Government's efforts to avail foreign currency to enable them to finance their operations.

He implored Government to increase the allocation to the levels that other exporters were getting.

"Government has put in place some measures for us to get foreign currency, which has helped a lot.

"Those in gold sector get 70 percent in US dollars and 30 percent will be deposited in their bank accounts," said Mr Karimazondo.

"If we get such kind of allocation in the agricultural sector, it will be sufficient for farmers to produce enough to make Zimbabwe one of the agricultural hubs it used to be.

"We are also exporting and earning foreign currency for the country, so we need to be supported to produce more."
- the herald
Tags: Forex,

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