Government has removed import duty on maize and wheat,
among other basic commodities, as it seeks to ensure affordability of essential
foodstuffs and to mitigate the effects of the drought experienced last season.
Subsidies on grain purchases have also been removed for
millers and commercial users in line with an announcement by Finance and
Economic Development Minister Professor Mthuli Ncube in his 2020 national
budget statement last week.
This was said by Acting Minister of Information, Publicity
and Broadcasting Services, Cde Mangaliso Ndlovu, while presenting the 41st
Cabinet decisions matrix in Harare yesterday.
“Cabinet noted the need to ensure the continued
availability of essential foodstuffs in the market and to counter the effects
of the drought that was experienced during the 2018/19 agricultural season,” he
said.
“Accordingly, Cabinet has resolved to implement the
following temporary measures: removal of control of goods import permits for
maize grain, maize meal and wheat flour, with immediate effect; placement of
wheat flour on the Open General Import Licence (OGIL) with immediate effect.”
Other products that have been exempted include wheat flour
in packages of more than 50kgs, which was pegged at 20 percent duty, while
those packages of less than 50kgs used to attract 10 percent duty.
Maize meal, which was at 25 percent duty, has also been exempted.
“Millers and
commercial users of grain are hereby informed that following the pronouncement
in the 2020 national budget, the subsidy of grain has been removed with
immediate effect,” said Minister Ndlovu.
“In essence, all users of grain, including millers, will
now buy grain at cost prices which currently stand at $4 000 for maize and
small grain per tonne and $8 612 for wheat per tonne.
“Government will also be unveiling the mechanism for
targeted subsidy for basic foodstuffs, particularly maize meal as outlined per
2020 budget statement once the finer details are worked out. This is intended
as an additional cushion for vulnerable households and generality of
Zimbabweans.
“Cabinet, therefore, wishes to assure the nation that all
measures possible will continue to be taken in order to ease the challenges of
accessing food by all Zimbabweans. Herald
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