By Almot Maqolo.
HARARE (News of The South) – Zimbabwe government announced that it has adjusted the grain miller’s subsidy to allow a 10kg bag of mealie meal to remain within the reach of many at Z$70 while at the same time enhancing the viability of the sector.
The southern African nation introduced the subsidy on roller meal to cushion vulnerable groups against rising prices of maize and other inputs that kept pushing up manufacturing costs and thus the retail prices.
Industry and Commerce Minister Dr Sekai Nzenza said the government remains committed to ensure that prices of basic commodities remain within the reach of the vulnerable.
“It is in this spirit that the government will continue to subsidize the roller meal program so that it remains at Z$70 per 10 kg bag, whilst the millers will continue to deliver to retailers at Z$63 per 10 kg bag and receiving their subsidy as adjusted.
“The subsidy to millers has been adjusted from Z$73.90 per 10kg bag to Z$216.15,” she said.
Government will continue to review these prices in consultation with stakeholders, she added.
Delay in payments of roller meal subsidy refunds by government to millers have been singled out as the major problem which is affecting the constant supply of the product on the market.
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