ZIMBABWEAN millers are at the centre of a heated dispute involving a US$22 million grain purchase and supply tender deal in Malawi.
The Grain Millers Association of Zimbabwe (GMAZ) reportedly
signed the now-contested deal with Malawi’s Agricultural Development and
Marketing Corporation (Admarc) without following laid-down procedures.
Information at hand indicates that an agreement to supply
GMAZ with 100 000 tonnes of maize worth US$22 million is being disputed after
it emerged that it was signed by Admarc chairman, Alexander Kusamba Dzonzi and
not a management representative as required by the law in that country.
The deal has sparked controversy in Malawi, with that
country’s Parliament said to be questioning it.
Malawi President Lazarus Chakwera has reportedly consulted
his Finance minister Sosten Gwengwe to probe the matter amid reports his
country is also faced with a shortage of grain, and cannot afford to export.
However, indications are that the deal will sail through
with deliveries expected starting this month and up to the end of July given
that it had been cleared by Malawi’s top offices in Agriculture.
Contacted for comment, the Malawi Treasury chief Gwengwe
said: “I am in IMF [International Monetary Fund] negotiations, please talk to
Admarc.”
Dzonzi could, however, not be reached
Suspended Admarc chief executive Rhino Chiphiko declined to
comment, saying: “I have been suspended from work and, therefore, cannot speak
for Admarc.”
Chiphiko was suspended for allegedly purchasing an official
luxury vehicle that is above Admarc approved budget and specifications.
GMAZ national chairperson Tafadzwa Musarara yesterday said the deal was above board before claiming that they were being challenged by a clique of middlemen in Malawi whom he said were in the habit of profiteering from tenders through inflating prices and demanding kickbacks.
GMAZ met the Malawian Minister of Agriculture and successfully sought the requisite approval to procure 100 000 metric tonnes from Admarc Limited. GMAZ proceeded to meet Admarc CEO, chairman and other board members and successfully concluded the supply agreement. At all material times, the Admarc CEO was present, including at the signing ceremony that was done at Sunbird Vincent Restaurant,” Musarara said in an interview.
“GMAZ members have an aggregate annual revenue of US$12 billion and have the necessary wherewithal to transact directly with any supplier in the world. We see no commercial purpose to buy maize from Admarc via middlemen.
Zimbabwe requires 2,2 million tonnes of maize annually, 1,8
million for human consumption and the balance for stock feed.
If the maize tender deal is cancelled, the development will
spell doom for the country’s millers who are depending on the imports to stay
afloat following a poor summer rainfall season that affected many grain
farmers.
Zimbabwe’s poor grain harvest forced government to open the
borders for registered millers to import 400 000t of maize. Newsday
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