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AGRI-INPUTS

Zimbabwe is placing its hopes on fertilizer to enhance agricultural production.

As the planting season approached, Zimbabwe was making every effort to ensure farmers had access to essential agricultural inputs. The agricultural season and land preparation typically began at the end of September and continued into October, prompting the government to act decisively to prevent panic among farmers. The Ministry of Agriculture reassured the public about the availability of fertilizer, which officials believed would enhance food production.

During a recent visit to one of the country’s major fertilizer manufacturing facilities, the Ministry of Agriculture informed journalists that fertilizer prices had significantly decreased that year. They explained that this decrease followed a surge in prices caused by the war in Ukraine, a key global fertilizer production hub, which had made it difficult for farmers in poorer African nations to access this vital resource.

They noted that, in the last two years, the price of a tonne of fertilizer had skyrocketed to USD 1,600, putting immense pressure on importers and local farmers and making farming increasingly expensive. This price hike had also led to increased costs for basic commodities like grain, as local producers struggled to meet national food production goals.

They indicated that the current price of a tonne of fertilizer had dropped to USD 600, according to Obert Jiri, the Permanent Secretary for Lands and Agriculture. Obert mentioned that this significant reduction, attributed partly to local production, was expected to bring relief to farmers facing tough production conditions, with some reportedly reducing their land under cultivation in recent years.

Obert remarked that when the Russia-Ukraine war started, fertilizer prices had soared to about USD 1,600 per tonne, but now they were looking at around USD 600 per tonne. He explained that the massive price reduction was due not only to supplies from the Middle East but also to initiatives promoting local production.

While it was still too early to determine if farmers would benefit from this price drop, skepticism remained, particularly from Pholisile Ncube, a farmer focused on maize cultivation. She expressed concern that prices of everything were insane and mentioned that she had been shopping around for fertilizer but found it discouraging as October approached. Ncube, who lived in Bulawayo and cultivated land outside the city, stated that a quick survey of local retail outlets revealed the drop in fertilizer prices had not yet reached the average farmer. She pointed out that one store listed a 50 kg bag of compound D fertilizer at USD 35 and ammonium nitrate at USD 46, while the cost of feeding a family of six hovered between USD 450 and USD 500, according to the Consumer Council of Zimbabwe.

The Ministry of Agriculture continued to assure the public about fertilizer availability, emphasizing its importance in boosting food production. Ncube noted the need to balance buying fertilizer with purchasing food while trying to grow their own maize for mealie meal, reflecting the difficult choices many faced amid economic hardships.

Fertilizer manufacturers argued that to maintain price stability, the government needed to further support local production. Sean Durrad, the General Manager of SuperFert, mentioned that they had experienced a few shortages of ammonium nitrate, but nothing that would impact the country. He assured that they had secured the raw materials necessary to meet their contracted production capacity.

The government claimed it was doing everything possible to support local fertilizer producers, even as large manufacturers confronted challenges such as power outages and high raw material import costs. Obert expressed the aim of increasing local raw material support from 40% to 80% or 90%, ultimately achieving full local production.

Earlier that year, the government announced plans to position Zimbabwe as a significant fertilizer manufacturing hub, revitalizing the African Centre for Fertilizer Development established by the African Union in the 1980s, which had not been operating at full capacity.

For now, it remained to be seen whether the reported decrease in fertilizer prices would lead to full grain silos at a time when the country desperately needed relief amid ongoing grain imports.

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