gmb1.jpgThe Grain Marketing Board says it needs an additional US$5 million to clear over 16 thousand tonnes of maize that was delivered up to the 25th of June this marketing season.

In a statement, the Grain Marketing Board said the US$1,5 million released by government to clear its arrears fall far short of the amount that is now required to pay for the deliveries received at depots countrywide.

The Grain reserve noted that while it is now paying farmers who delivered their maize, the US$1,5million received so far will only cover deliveries made up to last week ending on the 4th of May this season.

GMB indicated that there is likely to be another crisis as deliveries have shot up tremendously adding that what is now required is for Treasury to release an additional US$5 million as farmers are expecting to be paid on delivery.

The government, last week increased the producer price of grain to US$275 per tonne and GMB said farmers who delivered maize to its depots between April 1 and May 4 will be paid at the respective depots starting from Wednesday.

maize bags.jpgAgricultural analysts feel that there is need for the government to give priority to farmers by paying them on delivery as delays in releasing the fund is detrimental to the revival of the agricultural sector which is the mainstay of the economy while exposing farmers to fly by night buyers who are taking advantage of the poor payment system to rip farmers.