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Govt urged to realign Stop Order Act

by Staff reporter
29 May 2018 at 07:03hrs | Views
GOVERNMENT has been urged to revisit the Farmers Stop Order Act, in order to protect contractors and all financial institutions against small scale tobacco farmers who are side-marketing their crops.

Chapter 18, Section 11 of the Act has been failing to protect the contractors and financiers from side marketing and agronomists, feel it needs revisiting.

Tobacco agronomist, Mr Grant Nzombe, said Government has to realign the legislation as it still has loopholes, which make it difficult to fight side-marketing of the crop in breach of the agreed terms and conditions with contractors.

His comments come in the wake of the arrest of a 43-year-old Guruve farmer who side-marketed tobacco worth $800 while he was contracted by Mashonaland Tobacco Company.

"Currently, the law that is in effect is the 2001 amendment, which was passed back then during the land reform era when there were a few small-scale tobacco players. However, the farming industry is witnessing a fast growth in the number of small-scale growers due to the availability of several contractors.

"Some tobacco contractors are now offering favourable buying prices, tempting farmers who would have been contracted by other players to breach agreed terms and conditions," said Mr Nzombe.

Finance and Economic Development Minister, Patrick Chinamasa, also highlighted that there was need to work on developing a robust arrangement for the re-establishment of the stop order system for all agricultural crops.

The stop order facility is, however, not proof that farmers will not side-market their crop especially given the rise in the number tobacco buyers in the industry.

"The disappointing part is that contractors provide inputs like fertiliser and chemicals and expect a return on their investment. It is difficult to nail the side marketers since the current legislation has loopholes," said Mr Nzombe.

Source - the herald