Sun, 24 Sep 2017 11:05:27 +0000
By BENNIE MUNDANDO and MUKOSELA
KASALWE
THE Government must ban the export of raw maize to maximise the foreign exchange value that comes with exporting finished products, the Zambia Union of Financial Institutions and Allied Workers (ZUFIAW) has said.
And the farners’ union has urged Government to make agriculture competitive by coming up with incentives that will translate into a lower cost of production for the local farmers while increasing duty on some imported agricultural products to level the playing field.
ZUFIAW president Ackim Mweemba said Zambia had remained a mono-economy because successive governments have been turning a blind eye to sectors such as agriculture which had the potential to add to the revenue base of the country through foreign exchange earnings.
“Zambia is not only a mono-economy but evidently appears not to go beyond rhetoric. For example, in the last 10 years, the country has had on several occasions, including this year produced surplus crops, particularly maize.
“Instead of exporting finished products such as mealie meal, the country still exports grain. What this means is that the country is not maximising on foreign exchange value that comes with exporting finished products which can bring more foreign exchange to help sustain the stability of the Kwacha. Let there be policies that forbid the export of raw maize,” Mr. Mweemba said.
He also said Government had continued losing revenue through externalisation of profits made by multi-national companies which were granted exclusive ownership in their investments in Zambia hence the need to come up with policies that gave a share to the locals as a revenue retention measure.
“Let there be policies that make it a requirement that for any foreign company to do business in Zambia, there must be joint-venture ownership with local firms. Can you imagine what would happen if these multi-million dollar contracts given to foreigners in the construction sector had a considerable Zambian share? There would be retention of foreign currency which would go a long way in stabilising the foreign-exchange market, apart from other benefits such as growth of local enterprises,” Mr Mweemba said.
Meanwhile, ZNFU president Jervis Zimba expressed gratitude that Government had made agriculture the mainstay of Zambia’s economy but said benefits of such a policy direction had not been fully realised.
