Millers arm- twisting Govt over maize?
SOMEmillers are trying to arm-twist Government into signing an agreement which will enable them to access subsidised maize from the Food Reserve Agency (FRA), the Daily Nation has learnt.
The millers are claiming that there is a shortage of maize on the market which might result in mealie meal price hikes.
Authorities have however dismissed the claims, saying that the millers were just playing tricks with Government to access subsidised FRA maize.
But Millers Association of Zambia (MAZ) president Andrew Chintala said the organisation and Grain Traders Association Zambia (GTAZ) and other stakeholders had enough maize stock that would meet the national demand.
Mr Chintala said the current mealie meal prices were reflective of the prevailing market price of maize.
He explained that millers bought 60 percent of the targeted 1.5 million tonnes and that it was adequate to sustain the domestic market.
Mr Chintala said the local demand has reduced and the country would not experience a shortage of mealie meal despite not meeting the target.
"For now we are monitoring the situation and should we find that it calls for intervention, then we will engage the stakeholders including Government," Mr Chintala said.
He said millers do not have intentions of engaging Government for a tripartite intervention.
"I am not aware of any individual miller that can go and trigger a tripartite agreement because a tripartite agreement can only be signed once an assessment is done," Mr Chintala said.
He said each miller had a different cost structure and the uniform prices of mealie meal can only be initiated once an intervention such as a tripartite agreement is signed.
Mr Chintala said there was low demand for mealie meal and that prices were dictated by the prices of maize on the market.