Staff Reporter

THE Grain Marketing Board (GMB) has announced the producer prices for the 2022/23 summer crops and said that the new prices would motivate farmers to go back to the field.

Addressing the media today in Harare, Minister of Lands, Agriculture, Fisheries, Water and Rural Development, Dr Anxious Masuka said that Government had set the summer crops producer prices for strategic commodities for the summer season of 2022/2023 in US dollars with maize set at US$335 per tonne in a new pricing model meant to ensure food security and macro-economic stability.

“The following floor producer prices (minimum support prices) for the 2023 marketing season are approved.  A floor producer price of USD335/MT for maize paid to farmers by GMB as USD200.00 in foreign currency plus USD135.00 in ZWL at the interbank rate of every Tuesday. A floor producer price of USD335/MT for traditional grains derived from the determined maize pre-planting floor producer price paid to farmers by GMB as USD200 in foreign currency plus USD135 in ZWL at the interbank rate of every Tuesday,” said Minister Masuka.

The Minister added that Government also approved a floor producer price of USD580 per metric tonne for soya bean paid to farmers by GMB as USD348.00 in foreign currency plus USD232.00 in local currency at the interbank rate of every Tuesday.

GMB would purchase sunflower from farmers at USD696.00 per metric tonne and would be paid as USD418 in foreign currency plus USD278 in local currency at the interbank rate of every Tuesday.

The Minister said that the price determination was based on the approved pricing policy which uses a standardised maize production model, cost-plus pricing model, an average yield level of 5,5MT/hectare and a 15 percent margin above break-even price.

According to Minister Masuka, there are four categories of farmers: farmers financed under Climate Proofed Presidential Input Scheme (Pfumvudza/Intwasa), self-financed farmers, National Enhanced Agriculture Productivity Scheme financed farmers supported by AFC and CBZ and farmers financed by private contractors.

Meanwhile, the average yield for commercial maize was 3,68MT per hectare in the 2020/21 and 3,89MT per hectare in the 2021/22 season. From the model, the total cost of producing a hectare of maize is US$1 602, 20 and the break-even price is US$291, 31.