ZCFU approaches Agribank for loan

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THE Zimbabwe Commercial Farmers’ Union (ZCFU) has approached Agribank for a loan facility

THE Zimbabwe Commercial Farmers’ Union (ZCFU) has approached Agribank for a loan facility that will enable it to grow about 500 hectares of potatoes to mitigate against food shortages in the country.

Report by Gamma Mudarikiri

ZCFU president Wonder Chapikwa told the Southern Eye yesterday that they had met commercial farmers and agreed to plant potatoes to avert looming food shortages.

This followed indications that wheat production will be depressed with only 2 000 hectares of the crop having been planted this year.

“We have approached Agribank seeking a loan to finance the planting of above 500 hectares of potatoes as a mitigation measure against food shortages in the country” Chapikwa said.

“I cannot disclose the actual size of the loan at the moment as negotiations with the bank are still underway.”

Chapikwa, however, said they were targeting high level production of potatoes at an estimated cost of $15 000 per hectare, which translate to $750 000 in total.

He said they would be using the already installed irrigation facilities in the production of the potatoes after reaching a consensus with various farmer organisations.

The planting of the crop is expected to start in July.

Zimbabwe, once a major food producer in Africa, has been hit by acute food shortages in recent years as it grapples with poor farming infrastructure and low levels of investment in the sector.

The World Food Programme this year estimated that up to 1,6 million people will require food aid due to poor harvests.

The 2012-2013 summer cropping season saw a drastic reduction of the maize yield from the annual of 2,2 million metric tonnes to around 1,2 million metric tonnes and this was partly attributed to erratic rainfall.

The government has long touted irrigation schemes as key infrastructure that could boost agricultural production.

But financing such projects has been tough since Zimbabwe’s chaotic land reform programme, which began in 2000, pushed many banks to withdraw support for agricultural activities.

According to the Commercial Farmers’ Union land seizures under the programme led to a rapid decline in farming as the new owners had little or no expertise.

Food production plunged in that period, from two million tonnes of maize in 2000 to 400 000 in 2010.