Like NSSA, corporates can fund Command Agric too The Herald Established 1891

AGRICULTURE, as the backbone of Zimbabwe’s economy, is not a sector that should be left to Government alone to finance.

The sector requires a meeting of minds in the private and public sectors, together with development partners, especially when it comes to raising financial resources.

It is in this spirit that the National Social Security Authority has availed a $20 million term loan facility to a local commercial bank to facilitate the sourcing of fertiliser raw materials and stocks from a foreign supplier.

In this way, NSSA has contributed to Government’s Command Agriculture by clearing a potential bottleneck poised by the lack of foreign currency. The release of the $20 million facility for fertiliser will go a long way to boost agricultural production through Command Agriculture.

The programme seeks to achieve production of two million tonnes of maize this season, on about 400 000 hectares of land.

What is critical is that the move comes at a time when local fertiliser producers were struggling to stock up, mainly due to shortages of foreign currency, resulting in failure to meet demand. Failure to release fertiliser to farmers around the country would have had an adverse effect on Command Agriculture. This has been averted, thanks to NSSA. We are heartened by NSSA’s actions which should serve as a reference point for other companies and quasi-Government organisations.

Financing agriculture has always been a challenge in the country. Financial services institutions are usually slow to respond to requests for funding agriculture and when they do, usually the money comes at a premium because of the risk factor.

Therefore, the coming in of institutions such as NSSA should not be taken as a light gesture. It is a critical step which should be applauded. Command Agriculture is expected to be extended to other grains such as wheat and soya beans from next season.

In that regard, more financing would be required and this requires more financial players to sign up to the programme. If all players and stakeholders came together, Zimbabwe will be self-sufficient in food and this would mean minimal imports, if any.

The magnitude of savings if the country had enough stocks is huge. For instance, last year alone Government imported about 700 000 tonnes of grain as a result of the El Nino-in- duced drought.

The funding of agriculture by other players will leave Treasury with funds for other social services or infrastructure development.

NSSA’s actions fit very well with what other sectors have done. Grain millers are on standby to uptake 800 000 tonnes of maize from Command Agriculture.

It is in that spirit that we call upon other quasi-Government, private sector and development partners to sign up and work with Government on Command Agriculture.

It is not only financial involvement that is required, but technical support also.

Development partners and private companies that are knowledgeable in agriculture should come to the party and offer their services.

Technical capacity is required in the administration of Command Agriculture, relating to inputs distribution, logistics and general running of the programme.

Also technical support is required for the farmers in terms of general farm management, seed and other agricultural issues. Those com- panies which are involved in contract farming should also offer their experiences to the programme.

In that regard, technical activities should start in earnest ahead of next season.

Also, fertiliser companies and seed companies should begin preparations for next season in time so that we are not found wanting.

Many times we affect negatively our own harvest due to poor planning. In other seasons we have seen farmers complaining about shortages of seed and fertilisers well into the season.

Command Agriculture structures should solve some of these glitches as it is a focused programme. As such, building from the NSSA gesture, we should see a lot of activity in the corporate sector to ensure we plan effectively for subsequent seasons. Also, silo management should be supported. That means we must also capacitate the Grain Marketing Board in terms of grain handling. This is a critical area that needs support, technical and otherwise.

On the logistics side, the National Railways of Zimbabwe could also benefit from facilities such as the one released by NSSA.

We are aware of discussions between NRZ and some corporates such as Sable Chemicals to refurbish locomotives and we applaud this.

We need more corporates to come on board in their areas of expertise and make our agriculture a success.