The Sunday Mail
THE Grain Millers Association of Zimbabwe (GMAZ) has announced a 15 percent increase in mealie-meal and bread flour prices.
In a statement on Thursday GMAZ chairman, Mr Tafadzwa Musarara, said the new prices are a result of the ongoing global tensions and uncertainty in Eastern Europe.
“The Grain Marketing Board had increased the cost of maize from $43 000 to $50 000 per metric tonne, necessitating an upward review in mealie-meal prices.
Coupled with this, fuel prices have also surged following the play of geo-politics in the Balkan region, in particular the Russia-Ukraine conflict, adding substantially to operating costs,” said Mr Musarara.
He warned that the prices could increase further, due to supply chain disruptions.
“Maize-meal retail price for 10kg Roller Meal will increase by 15 percent from $955 to $1 099.
“Bread flour will move up by 14,74 percent from $119 000 to $136 544 per metric tonne,” Mr Musarara said.
He said the landing price for wheat has increased by US$200 from US$475 to $675.
Wheat constitutes 30 to 42 percent of the cost of bread and prices of the staple are expected to go up soon.
“The government-sponsored wheat farming programmes have recorded the highest yield since the commencement of wheat farming in Zimbabwe. However, the tensions in Ukraine have greatly affected dynamics leading to the price increase,” Mr Musarara said.
Zimbabwe consumes 16 000 metric tonnes of bread flour monthly, and approximately 1,2 million loaves a day.
According to GMAZ 2021 local winter wheat harvested saved the country US$146 million.
“This proves to be a profitable import substitution transaction. However, the country will need to import 155 000 metric tonnes of wheat to mitigate the variance between local production and national demand,” he added.