Farmers in Zimbabwe have been granted access to fuel through the newly launched ZiG currency at selected service stations. This development marks a significant acceptance of the new currency across various sectors, including airlines, supermarkets, and other essential service providers. The move comes as the government has allocated substantial resources to support the crucial agriculture sector, aiming for a robust winter crop harvest to address food shortages caused by the previous summer drought.
Under the arrangement, farmers can now purchase fuel from the Agricultural Marketing Authority (AMA), which previously operated a similar scheme. To be eligible for the program, farmers must be affiliated with a farmers' organization and register with AMA. Professor Obert Jiri, the Permanent Secretary of the Ministry of Lands, Agriculture, Fisheries, Water, and Rural Development, encouraged farmers to register with AMA to access ZiG currency fuel at Petrotrade fuel stations.
Prof. Jiri particularly urged wheat farmers to take advantage of this facility to enhance productivity and reduce production costs. He highlighted that the program allows farmers to carry out field operations, such as tillage, with ease, while the government focuses on ensuring the availability of seeds, fertilizers, and chemicals.
Meanwhile, Mr. Cliff Chiduku, an AMA communications expert, emphasized the importance of wheat farmers registering with the organization to ensure uninterrupted supply of electricity and water, thereby boosting this season's production.
The President of the Tobacco Farmers' Union Trust, Mr. Victor Mariranyika, expressed satisfaction with the fuel facility, noting that the majority of farmers cannot afford to purchase fuel in foreign currency. He highlighted the positive impact of this development in reducing production costs and stressed the need for more awareness programs to inform rural farmers about the availability of the facility.
Dr. Shadreck Makombe, the President of the Zimbabwe Commercial Farmers Union (ZCFU), acknowledged the helpfulness of the scheme, particularly for land preparation, which requires significant fuel usage. He called for improved fuel availability to ensure continued benefits for farmers.
Mr. Daniel Chinyemba, the ZCFU Chairman for Mashonaland Central, also welcomed the initiative, emphasizing that the ZiG currency fuel would alleviate the challenges faced by farmers who receive their income in ZiG but are expected to make purchases in USD. He believed that this development would enhance farmers' productivity, as fuel is a critical component of their operations.
The ZiG currency was introduced by the Reserve Bank of Zimbabwe Governor, Dr. John Mushayavanhu, during his first Monetary Policy Statement on April 5. Dr. Mushayavanhu expressed confidence that the new currency would combat the black market and assured its stability in relation to the US dollar.
