By A Correspondent- Presenting his Mid-Term Fiscal Policy Review and Supplementary Budget Statement last Thursday, Finance and Economic Development Minister Mthuli Ncube is set to allocate a further $2.8 billion towards Command Agriculture for the 2019/ 2020 summer cropping season.

Prof Ncube told parliament that the money will benefit farmers with good track records of repaying loans and producing high yields as government targets to support agricultural production for an estimated 210 000 hectares of maize and 30 000 hectares of soya beans.

Said Prof Ncube”

“Ordinarily, agricultural programmes outside the Vulnerable Inputs Support Scheme are best supported by private financing given budgetary constraints.

However, given last year’s drought, the capacity of our ‘infant’ farmers has been compromised, necessitating further Government support through loan financing arrangements, which include private sector players.

As a result, Government is extending the programme for another year to restore food security. The programme targets 210 000 hectares under maize and 30 000 hectares under soyabeans at a cost of $2,8 billion.

Accordingly, the supplementary budget is making an additional provision of $1,03 billion to kick-start the programme. To close the loopholes during the forthcoming agriculture season, Government is adopting a targeted approach, which selects exclusively farmers with a track record of honouring their loan obligations from previous programmes and have a history of producing high yields.

The selection of farmers will be done in a transparent way and measures will be put in place to recover all the loans. For the 2019/20 agriculture season, the Supplementary Budget is proposing an additional $437 million for grain inputs (maize, sorghum and pearl millet).

Beneficiaries of the programme will be selected based on their repayment track record and their delivery record to Cottco.

Cognisant of the prevailing severe drought and the need to revive the agriculture sector, Government will extend support towards the agriculture sector during the 2019/20 agriculture season, while nurturing the private sector to play a greater role in subsequent years.

As a result, the 2019 Mid-Term Review is setting aside $1,67 billion towards support of strategic crops of grain, soyabeans and cotton under the following programmes.”