Seed price increases could result in high costs of production

23 Nov, 2014 - 00:11 0 Views
Seed price increases could result in high costs of production seedco

The Sunday News

maize seedMesabe Ncube  Business Reporter
THE Zimbabwe Farmers Union has said the increase in the price of seed by production houses could have been of little significance to farmers if the Grain Marketing Board was honouring its mandate of paying for deliveries to the parastatal.Seed houses have raised the prices of seed maize by about 25 percent.

A 10 kilogramme seed pack now costs between $23 and $28 while a 25 kilogramme bag is between $69 and $113.

Last season a 10kg bag cost between $21 and $24 while 25 kilogramme was between $57 and $96.

This has seen some farmers complaining that this may affect their output.

However, ZFU president Mr Abdul Nyathi said if farmers had received their dues from GMB then, this increase could have been of little significance.

He said it was unavoidable for seed companies to increase prices but as long as farmers had their money, they could have managed to secure the inputs.

“We are trying to chase the rain season and we need that money because now we are left with no choice but to dig deeper when we are owed money by GMB,” he said.

He said farmers would be forced to pass the cost to their end products although in most cases it was impossible as they did not peg prices of most of their produce.

“The ideal situation is to pass the cost but it could be difficult.”

Farmers, however, said the increases would have a big effect on their output.

A plot holder from Kensington on the outskirts of Bulawayo, Miss Silinganisiwe Ndlovu said she would reduce the area under maize at her six-hectare plot because of the pricing of seed.

Another farmer from Nyamandlovu said he would not be able on his own to buy enough seed for her farm.

“The price of seed is high this year,” said Mr Zenzo Bhebhe, “I will have to depend on seed bought by my children because I cannot afford on my own. I need 50 kilogrammes for the farm and that means I need more than $120.”

Subsistence farmers said they were banking on inputs supplied under the Presidential input scheme.

“We have no choice but to bank on the seeds that the Government usually supplies,” said Mr Mthulisi Moyo, a subsistence farmer from Bulilima, who also said he ended up buying 10kg instead of the 25kg needed to meet his needs.

Commenting about the Government input scheme, Mr Nyathi said some farmers had begun receiving the inputs.

“The Government input scheme is already on but it will only benefit communal and A1 farmers,” he said.

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