The Chronicle
Patrick Chitumba, Midlands Bureau Chief
SEED companies in the country have defended their product pricing and are calling on farmers to invest in high quality inputs to achieve good yields.
While famers have complained over what they called ‘exorbitant’ pricing of seed and other inputs, seed companies and dealers argue that their product value is commensurate with the pegged costs. Farmers’ unions across the country have complained that if seed price is beyond the reach, this might cripple prospects for fruitful 2020/21 cropping.
Most hybrid seeds and inputs like fertilisers and chemicals are sold in United States dollars or local currency equivalent but there are disparities in the exchange rate applied. A snap survey carried out by Business Chronicle has revealed that a 10kg bag of seed maize was pegged at average ZWL$2, 783 with 25kg going for above $9,000, 50kg Compound D fertiliser at ZWL$2 050 while ammonium nitrate costs about ZWL$2 600.
Acting president of the Zimbabwe Seed Trade Association (Zsta), Dr John McRoberts, said their product prices have not changed over time in United States dollar-terms.
“The seed prices in Zimbabwe have not changed over time in United States dollar terms. The issue is the value contained in the seed,” he said.
Zsta is an umbrella association for all seed companies in Zimbabwe that include; Seed Co, K2, Pannar, Pioneer, Agriseeds, Arda seeds, Mukushi, Syngenta, among others.
Dr McRoberts said seed companies have been investing heavily in research to bring out new and improved varieties that have great yield potential and resistance or tolerance to biotic and abiotic stresses.
He said the sector has also invested in modern infrastructure to provide farmers with timely and high-quality seed. The seed production and processing cycle is long and risky, requiring 2-3 seasons, skilled farmers, irrigation and advanced technology, said Mr McRoberts.
“Seed is one of the best investments farmers can make because it is the one input that gives a great return. Consider a farmer who spends say US$70 for 1 ha maize seed and yields 7t/ha at a grain price of US$200/t, he has achieved a return of 20x his investment in seed,” he said.
The Zsta leader said it was critical then for farmers to focus on achieving high yields of quality grain from their fields. He explained that all seed companies have varieties that can enable farmers to achieve good yields depending on their management and environment.
Commenting, Syngenta Agro marketing support manager, Mr Tawanda Mangisi, said the seed prices were comparatively at their lowest in United States dollar terms post 2010. He, however, said the macro-economic dynamics were beyond seed producers as retailers determine pricing regimes.
“Syngenta products are sold through local indigenous partners who understand the market dynamics and can adapt as necessary. At the moment our seed distributor Intaba Trading is selling at significantly lower than benchmark prices on the open market for all our hybrids,” he said.
Mr Mangisi urged farmers in Matabeleland region and other dry regions to consider quality and recommended varieties that perform very well under specified ecological conditions.
Although the Government is regularly sponsoring input schemes such as the Command Agriculture programme as well as the Pfumvudza/Intwasa initiatives, which are already distributing inputs like seed and fertiliser to communal farmers or small holder farmers across the country, these alone are not enough. Given the subdued level of disposable incomes, the challenge of input affordability has raised concerns that some farmers countrywide might reduce the hectarage they initially planned to plant. Agronomists have suggested a stakeholder engagement that will harmonise the input pricing structure.
