Farmers who deliver their maize and other traditional grains will now enjoy the 30 percent incentive after the Grain Marketing Board directed all its depots to start paying the money.
Cabinet recently approved the 30 percent incentive on the floor producer prices for maize and traditional grains.
In an internal memo signed by the GMB chief executive Rockie Mutenha, the organisation effected the increase for the 2020/2021marketing season.
“Cabinet approved a 30 percent incentive on the floor producer prices for maize and traditional grains for deliveries made between 1 April 2020 and 31 July 2020. In the same spirit, you are directed to review these prices accordingly,” read the memo.
The incentive will see the producer price for maize going for $16 028.64 from $12 329.72 traditional grains $16 725.53 from $12, 865.79.
Last week, Information, Publicity and Broadcasting Services Minister Monica Mutsvangwa told a media briefing on the 17th Cabinet Meeting decision matrix that approved payment of the 30 percent incentive to farmers.
“Cabinet considered and approved the payment of a 30 percent incentive to those farmers who deliver maize early to the Grain Marketing Board in order to maximise the delivery of maize. This is over and above the maize producer price which was recently announced by Government,” she said.
Agriculture remains a key component in Zimbabwe’s economic development, as it ensures food security, creates employment and reduces poverty.
According to the Ministry of Lands, Agriculture, Water, Climate and Rural Resettlement’s latest national report, agriculture contributes 15-18 percent of Gross Domestic Product, 23 percent of the total formal employment and offers livelihoods to close to 70 percent rural residents, 54 percent of them women.