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Maize farming, which once made Zambia self-sufficient in food production and the bread basket of Africa, has today become a fairy tale, subjecting the people to living like beggars in a land richly endowed with good, fertile soil. And all because of poor agricultural policies
Long gone are the good old days of maize farming during the First and Second Republics, when President Dr Kenneth Kaunda guided the ship of state. For the past decade, ever since President Frederick Chiluba’s Movement for Multiparty Democracy (MMD) government came to power in 1991, Zambia has lived with the shame of being spoon-fed with maize imports. Yes. Zambia is at it again. With the poor maize harvest from the 2000 farming season, the country is severely devastated by hunger and starvation. (Editor’s note: Following the 27 December 2001 presidential elections, President Chiluba was replaced by President Levy Mwanawasa, also of the MMD).
In a frantic effort to cushion the impact of depleted maize stocks, the Zambian government embarked on the stigma of importing 150,000 metric tonnes of maize grain from South Africa and Uganda. Chiluba’s Vice-President, Mr Enoch Kavindele, said: «Negotiations with the new suppliers are under way to provide for guarantees that will help lower the high price of mealie meal in the country.»
Mr Kavindele was optimistic that the guarantees in the maize contracts would be signed, thereby ensuring an immediate flow of maize corn into the country, to cushion the impact of hunger and starvation in many parts of the country. He was hoping to achieve this before the crucial 27 December 2001 Presidential, Parliamentary and Local Government elections.
As usual, the government negotiated with the new maize suppliers on behalf of the Food Reserve Agency (FRA) of Zambia. But it was reported that before consigning their maize to Zambia, the suppliers were worried about delays in providing bank guarantees to cover the cost of the imported maize.
Previous maize scandals
While the MDD government was anxiously waiting for a breakthrough in this new maize deal agreement, political observers were keeping their fingers crossed, remembering previous maize deal scandals that have tarnished the Zambian government’s reputation in the recent past.
Do you remember the «Carlington Maizegate Scandal»? It’s on record that about US $2.5 million was paid to the Carlington Sales Company of Canada for the purchase of 50,000 metric tonnes of maize, in March 1998. There were allegations of highly sophisticated fraudulent methods, implicating President Frederik Chiluba. This finally led to the non-delivery of the maize consignment, because of Zambia’s failure to have faithfully honoured the maize import contract.
The Carlington Sales Company claims that «the funds initially paid out for the maize contract had, under President Chiluba’s executive powers, been channelled towards public relations consultations.»
Here’s another example of Zambia’s unreliability in meeting its maize import commitments. For three years, the government has still not paid about US$ 17 million plus interest, to the Grain Marketing Board of Zimbabwe (GMB) for maize imports amounting to 100,000 metric tonnes.
Investec Bank of South Africa financed the maize purchased by the Zambian Government on behalf of the FRA. According to a GMB document, entitled: «Non-Payment for Maize», there is sufficient proof that the FRA had acknowledged receipt of the maize consignment several times in writing. Unfortunately, full payment has still not been made!
The GMB points out that non-payment of essential commodities duly delivered, is unacceptable. The purchasers have repeatedly breached signed agreements. These agreements are still legally binding and cannot be disregarded.» The GMB has warned it intends to pursue any alternative means necessary to secure the long-outstanding debt. Zambia will bear the consequences for non-payment.
Given the Carlington maize scandal and the GMB maize debt episode, the Zambian government has done very little to establish herself as a credible debtor in the international arena, thereby raising a very big question mark on the feasibility of the new maize contracts.
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