Millers look to discontinue grain imports
Isaac Pinielo | Friday August 18, 2017 15:45
Currently, the millers consume a total of 120,000 tonnes of white maize per annum, of which the majority is imported from South Africa (SA) and other global suppliers such as the United States (US), Mexico, Argentina and Brazil.
According to the Botswana Millers Association chairperson, Nkosi Mwaba, if farmers commercialise their harvests reach levels of about 120,000 tonnes, subject to acceptable price and quality, millers are willing to take up the entire crop.
“It is entirely up to farmers to produce as much as they can. Once the local demand is exceeded, Botswana will become a net exporter of maize,” he said. He also explained that millers are spending a maximum of P40 million on local harvest while over P450 million is spent on farmers in South Africa and other global suppliers.
“Our highest consumption figures in recent years show that millers have only been able to access eight percent of maize crop from local farmers which is less than 10,000 tonnes,” he said.
Although projections from local farmers and the Botswana Agricultural Marketing Board point to a bumper harvest this year, Mwaba said there is still a lot of work to be done in commercialising crop production in Botswana. He stated that local milling companies, through their association, have committed to fully support local farmers and make them a priority.
“We have matured as an industry to a point where we are ready to make a firm commitment to support local farmers by buying their crop,” Mwaba said.
Expressing enthusiasm, he said the association does not need to be forced to do so by statute nor by internal pressure but has a responsibility to help develop farming and agribusiness in Botswana. He also indicated that if Botswana was self-sufficient in maize farming, it would not need to buy a single grain or tonne of maize from outside the borders.
As millers, he said they can only guarantee the market for farmers, adding that the government has to step in with relevant programmes to support and sustain commercial grain farming in Botswana.
“The internal value chain will have to be structured to support increased farming activities and this involves issues surrounding storage and logistics as well as modern farming technology, techniques and financing solutions,” Mwaba said.
He said all players in the value chain will have to coordinate their efforts to achieve this objective, noting that the millers association is a critical part of the value chain and recognise the fact that they are the end market for farmers.
He further stated that the P500 million spent on raw material purchases in grain belongs to Batswana farmers, subject to acceptance and agreement on price and quality in accordance with regional standards and practice.
Mwaba said millers also recognise that they are a critical component of the economy with regard to food security, adding that they have full capability and capacity to feed every single person in Botswana with maize meal and related products.
Combined with sorghum millers, he said maize millers provide sufficient staple food for the nation and its people. “We therefore have to reduce as much as possible our dependence on SA and suppliers overseas for our raw material needs in food production,” he said. He therefore noted that it is important for the government to assist in securing this position by providing supportive and protective mechanisms and tools for the key players and stakeholders in the sector.
Furthermore, he said they are in discussion with the Ministry of Agricultural Development and Food Security on a collaborative effort to help boost the commercialisation of maize farming in Botswana.
“We have received great support and enthusiasm so far in this regard,” said Mwaba.