Govt ponders milling plants set up in provinces
Published On September 23, 2014 » 1579 Views» By Davies M.M Chanda » Business, Stories
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. Simuusa

. Simuusa

By JUDITH NAMUTOWE –
THE Government will consider establishing milling plants in various parts of the country as a long-term option to reduce the current mealie meal prices in the country, Agriculture and Livestock Minister Wylbur Simuusa has said.
Mr Simuusa said in Lusaka that he would soon be meeting with sector players with a view to address the high cost of mealie meal in Zambia.
The minister said that he was aware that the cost of mealie meal in the country had remained high despite Zambia recording bumper harvest and that it was something that Government could not afford to ignore.
“The idea of establishing milling companies in all provincial centres is something that as Government, we want to encourage.
“So if the current situation in the country does not change, then we will consider that option as long as we know that it will be an idea that will permanently address the current situation in the country,” Mr Simuusa said.
Agriculture still remains the key driver of economic growth and poverty reduction.
This year, Zambia achieved a record maize harvest of 3.4 million tonnes but the prices of the main product, mealie meal have remained high.
Mr Simuusa urged sector players to play their part in as far as reducing the cost of mealie meal prices was concerned.
At the weekend, Zambia Consumer Association (ZACA) urged the Government to consider establishing milling companies in all provincial centre in the country.
ZACA executive secretary Samuel Simutunda said that there was need to establish milling companies in all the provincial towns in the country to help mitigate the high cost of mealie meal.
Mr Simutunda said that despite Zambia recording the bumper harvest the cost of mealie meal prices in the country and the rural parts in particular have continued to be high.
Milling companies would  generate employment opportunities for people in rural areas and further offer competition to milling companies that exist as opposed to the current situation.
Mr Simutunda said that once competition was created for private companies, prices of mealie meal would automatically come down as there would be no need to ask the companies reduce prices.

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