The country’s grain stockists, the Grain Marketing Board (GMB) has literally become dry and left with maize stocks for only three days in the wake of a looming price hike of roller meal after the struggling parastatal last week hiked the price of maize by 77%.
GMB last week raised maize grain prices to $12 329 up from $6 958 per tonne. The price increases come despite the government ordering businesses to reduce prices of basic commodities to prices obtaining in the market as of March 25.
In the wake of the grain price hike, it has emerged that millers now want prices of the subsidised commodity to go up by close to 100%.
A Grain Millers’ Association of Zimbabwe (GMAZ) letter penned by the association’s general manager Lynnette Veremu which was leaked to the private media reveals that the millers want to hike the prices from $72 to $260 per 10kg packet of subsidized roller meal.
GMAZ argues that the new price of maize revised upwards without increasing the current subsidy.
“Should millers proceed to adjust prices of maize meal accordingly at the current subsidy level, the new prices will be, miller to retail, $230,61 and retail to customers, $260,59,” reads the letter dated 28 April. The price of maize has moved from $6 958 00 from Grain Marketing Board to $12 329.72 which is a 77,2% upward movement.”