The Food Reserve Agency – FRA has announced that it will maintain the purchase price in the 2019/2020 crop marking season and purchase a K50Kg bag of white Maize at K110 and has fixed the price of a 50Kg bag of Soya beans at K150 and Paddy rice at K70 for a 40Kg bag.
Ministry of Agriculture had two weeks ago directed FRA to outline its plans for the 2020 crop marketing season and avail to the public its buying price for maize and other designated commodities.
And FRA Executive Director Chola Kafwabulula has explained that in arriving at determined prices for 2020, the Agency acknowledged that this year is unique in nature and notes the urgent need to replenish the strategic grain reserves from a dynamic grain market obtaining locally and in the region.
The Agency is also expected to purchase 1 million metric tonnes of maize for the national reserves, indicating a surplus increase of more than 710,000 metric tonnes, from the usual purchase annual purchase of 500,000 metric tonnes.
Speaking at a media briefing in Lusaka on May 29, 2020, Kafwabulula said it is anticipated that the FRA prices shall not disadvantage the private sector who are expected to purchase the larger share of the 3.4 million metric tons produced in the case of maize.
He said FRA undertook a process of crop price scenario analysis that includes a survey of the prevailing farm gate and open market prices, indicative crop gross margin budgets taking care of input costs in relation to commercial pricing and the subsidy beneficiaries of the government farmer input support programme (FISP).
The agency since wishes to remind and urge farmers to adhere to the general practice of ensuring they clean the maize at their farmsteads to avoid congestion at the FRA depots.
“I wish to also implore all FRA personnel and other stakeholders to uphold rationality, prudence, transparency and accountability for public resources that have been entrusted in our charge,” He added
Agriculture Minister Michael Katambo had last week announced that this year’s maize production is forecast to increase to about 3.4 million, up from about 2 million metric tonnes produced last season presenting an increase of 69%.
