19 November 2008
editorial
IT is more than certain that the solution to the oscillating price of maize meal in Zambia lies not in importing the grain, but in the Food Reserve Agency (FRA) offloading strategic reserves onto the market.
The strategic reserves under FRA are meant for crisis situations and Zambia happens to find itself in need of an extra-ordinary solution to an extra-ordinary problem.
The price of our staple food, maize meal has in the last few weeks risen to astronomical levels, which is worrying to Government.
Out of grave concerns, Government ordered a maize audit to ascertain the availability of the commodity after it was established that a deficit was looming.
While we are awaiting the outcome of the maize audit, Government must sanction the use of strategic reserves to mitigate both the impending shortage and the unstable pricing.
We would like to support the suggestions that time for FRA to dip into their reserves to mitigate the uncertainties around maize marketing is now.
Any further delay could cause hardships for Zambians who have already been forced to buy maize meal at astronomical prices.
The calls on FRA to offload maize tucked away in silos for emergency situations were ignited by Forum for Democracy and Development (FDD) leader Edith Nawakwi two days ago.
According to Ms Nawakwi, Government must not be pleading with the Millers Association of Zambia (MAZ) over a straightforward issue.
Besides, in critical moments like this, Government should not rely on the private sector for a solution to a burning problem affecting a majority of its citizens.
Instead, the State must solve the problem by flooding the market with maize to arrest the spiraling price of mealie meal.
The millers themselves have joined the calls, which is enough reason for Government to act.
Importing maize when there are enough stocks around may not be the best solution to the problem.
There are issues of transportation and the exchange rate of the Kwacha to the US Dollar at play, which may make the landed cost of the imported maize unaffordable.
The millers themselves have said the cost of importing maize will make its by-product, mealie meal even more expensive because of the depreciation of the Kwacha.
We therefore agree with the millers that importing may not be the solution when the landed cost will adversely affect Zambians.
Instead, the FRA must justify its existence as strategic reserve agency and offload the maize to meet the demand on the market.
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