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Millers, bakers cry foul over grain, oilseeds levies
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The Grain Millers Association of Zimbabwe (GMAZ) and the National Bakers Association of Zimbabwe (NBAZ) have called for the immediate repeal of Statutory Instrument 87 of 2025, warning that newly introduced levies on imported grains and oilseeds will significantly push up food prices and threaten national food security.
In a strongly worded letter dated May 27 addressed to the Ministry of Agriculture's Permanent Secretary Obert Jiri, GMAZ national chairman Tafadzwa Musarara said the levies introduced by the Agricultural Marketing Authority (AMA) would place an additional burden on consumers already struggling with high living costs.
The new charges, which came into effect on May 11, 2026, include US$89.25 per metric tonne on imported soft wheat, US$40 per tonne on imported maize, and US$35 per tonne on imported soya meal.
According to projections by the two associations, the levies are expected to drive up the cost of basic commodities, with a 10kg bag of roller meal rising from US$4.60 to US$5.20 — an increase of about 13 percent. Bread prices could climb to at least US$1.15 per loaf, while stockfeed is expected to rise by around 18 percent, potentially increasing the cost of meat and dairy products.
"We are astounded by the imposition of these levies as they will hit hard on consumer affordability of basic commodities," Musarara wrote.
The associations argue that the measures will disproportionately affect Matabeleland provinces, where local maize production has consistently failed to meet demand. They noted that millers in the region rely heavily on imports to bridge supply gaps.
They further pointed out that 21 milling companies in Bulawayo reportedly shut down in 2025 due to shortages of locally produced maize.
"It is only prudent that these provinces be allowed to import maize from South Africa to mitigate the huge disparity between demand and local stocks. Imposing a US$40 import levy in such a scenario is insensitive, unfair and unreasonable," the letter reads.
Beyond economic concerns, GMAZ and NBAZ also challenged the legality of the statutory instrument, arguing that it conflicts with constitutional provisions and the Agricultural Marketing Act. They maintained that imported grains have traditionally been exempt from customs duty and VAT due to their critical role in staple food production.
The associations are demanding the immediate repeal of SI 87 of 2025 and the refund of approximately US$9 million in levies already collected by the AMA.
They have warned that failure to reverse the measures will result in urgent legal action.
The Ministry of Agriculture has not yet issued a formal response to the demand letter, leaving uncertainty over whether the government will review or defend the new levy structure as concerns over food inflation continue to mount.
In a strongly worded letter dated May 27 addressed to the Ministry of Agriculture's Permanent Secretary Obert Jiri, GMAZ national chairman Tafadzwa Musarara said the levies introduced by the Agricultural Marketing Authority (AMA) would place an additional burden on consumers already struggling with high living costs.
The new charges, which came into effect on May 11, 2026, include US$89.25 per metric tonne on imported soft wheat, US$40 per tonne on imported maize, and US$35 per tonne on imported soya meal.
According to projections by the two associations, the levies are expected to drive up the cost of basic commodities, with a 10kg bag of roller meal rising from US$4.60 to US$5.20 — an increase of about 13 percent. Bread prices could climb to at least US$1.15 per loaf, while stockfeed is expected to rise by around 18 percent, potentially increasing the cost of meat and dairy products.
"We are astounded by the imposition of these levies as they will hit hard on consumer affordability of basic commodities," Musarara wrote.
The associations argue that the measures will disproportionately affect Matabeleland provinces, where local maize production has consistently failed to meet demand. They noted that millers in the region rely heavily on imports to bridge supply gaps.
"It is only prudent that these provinces be allowed to import maize from South Africa to mitigate the huge disparity between demand and local stocks. Imposing a US$40 import levy in such a scenario is insensitive, unfair and unreasonable," the letter reads.
Beyond economic concerns, GMAZ and NBAZ also challenged the legality of the statutory instrument, arguing that it conflicts with constitutional provisions and the Agricultural Marketing Act. They maintained that imported grains have traditionally been exempt from customs duty and VAT due to their critical role in staple food production.
The associations are demanding the immediate repeal of SI 87 of 2025 and the refund of approximately US$9 million in levies already collected by the AMA.
They have warned that failure to reverse the measures will result in urgent legal action.
The Ministry of Agriculture has not yet issued a formal response to the demand letter, leaving uncertainty over whether the government will review or defend the new levy structure as concerns over food inflation continue to mount.
Source - Southern Eye
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