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Business News of Wednesday, 2 June 2021


Reconsider decision to reduce subsidy on fertiliser – Peasant farmers tell government

• The Peasant Farmers Association has urged the government to reassess its decision to reduce the subsidy on fertiliser since it could have a major impact on the prices

• Charles Nyaaba, the head of policy and programs has said his outfit is scheduled to meet with the Ministry of Agric over the issue

• He said the government must reconsider its decision since the pandemic had a great impact on farmers

Peasant Farmers Association are calling on the government to reconsider its decision to reduce the subsidy component on the price of fertiliser for the 2021 farming season.

According to the farmers, the move by the government has resulted in the increase in price of fertiliser on the market and this according to them, poses a major challenge to them as they continue to battle with the impact of the COVID-19 on the economy.

Head of Programs and Policy for the Peasant Farmers Association, Charles Nyaaba, said his outfit is scheduled to meet with the Ministry of Agric over the issue in the coming days.

“We have already had that conversation with them. The ministry thinks that we have a case because, in the midst of COVID-19, things are hard for everybody, especially smallholder farmers. So if fertiliser prices are increasing, it means that farmers might not be able to buy at all and if we don’t take care, what we are experiencing this year will happen next year. Because if the fertiliser is available but the prices are so high that we can’t buy, it becomes a problem.”

He said the association is expecting positive feedback after the meeting.

“So we are expecting that when we meet them, there will be some arrangement. If not a whole shell reduction for every farmer, there should be an arrangement for smallholder farmers to be able to buy at a lower cost. So we are hoping that our meeting will yield a positive result,” he added.

However, Farmers were given subsidies on fertilisers under the Government’s Planting for Food and Jobs initiative and this is to help farmers improve crop yield.