Grain Millers Buying Wheat Below Stipulated Price - Farmers
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Wheat farmers are accusing the government of abandoning them and leaving them at the mercy of “unscrupulous” millers and contractors.
The government set the producer price of wheat at US$620 per tonne for the ordinary grade but millers and contractors are reportedly offering them between US$450 and US$500 per tonne.
A farmer who refused to be named told NewsDay that the Grain Marketing Board (GMB) is not buying wheat but has only offered storage facilities to the wheat farmers. Said the farmer:
Government said the producer must be paid US$620, but it is only on paper. GMB said it is not buying any wheat and the millers are offering way below the stipulated prices.
The bumper harvest that we experienced is now a curse and most farmers have vowed not to plant wheat again next year.
A representative from one of the millers’ associations said the government announced the new producer prices without consulting them. Said the representative:
The US$500 is the indicative price. The problem with our government is that it just announces the price without consulting.
Sometimes it becomes cheaper to import wheat of high quality than to buy it locally.
The other thing is that most of the wheat farmers are contracted. They have a prior arrangement with their contractors which stipulates the amount of money they are getting paid.