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๐Ÿ‡ฟ๐Ÿ‡ผ Zimbabwe /Economy & Trade

Treasury Reaffirms Grain Import Levies As GMAZ Legal Challenge Loses Momentum

From AllAfrica Zimbabwe · () English

Summarized and contextualized by DistantNews.

At a glance

News Named sources New plan
  • Zimbabwe's Treasury has reaffirmed its commitment to grain import levies, despite earlier legal concerns.
  • The levies, revised for the 2025/26 season, aim to protect local farmers and fund irrigation infrastructure.
  • Revenues will support farmer payments and irrigation development, with the Agricultural Marketing Authority designated as the collecting agent.

Zimbabwe's Treasury has reaffirmed its support for a grain import levy framework, signaling continued government backing for policies designed to protect local farmers and bolster agricultural infrastructure. This comes despite earlier legal challenges and concerns raised about the framework's constitutionality.

Fresh correspondence from the Ministry of Finance, dated April 30, 2026, indicates that revised levies and charges linked to grain imports will remain in effect for the 2025/26 summer season. This communication, signed by Finance Secretary George Guvamatanga, clarifies the government's stance following a March 3, 2026 letter that had suggested the initial Statutory Instrument 87 of 2025 was unconstitutional and should be repealed.

These variances have material fiscal and market implications, particularly with respect to producer viability, import substitution, and broader macro-economic stability objectives.

โ€” George GuvamatangaIn a letter to the Secretary for Agriculture, Mechanisation and Water Resources Development, detailing the fiscal and market implications of price disparities between imported and local grain.

The latest directive, addressed to the Secretary for Agriculture, Mechanisation and Water Resources Development, outlines implementation details for the upcoming season. It acknowledges recommendations from a Joint Technical Committee, highlighting significant price disparities between imported grain and locally produced commodities. For maize, the gap is US$40 per metric tonne, and for soyabeans, it is US$50 per metric tonne. Guvamatanga noted these variances have "material fiscal and market implications, particularly with respect to producer viability, import substitution, and broader macro-economic stability objectives."

Treasury also endorsed maintaining a 70% local wheat and 30% imported wheat blending ratio. Imports exceeding this threshold will face "an appropriate levy or charge" to ensure parity. The Agricultural Marketing Authority (AMA) is now designated as the collecting agent for these levies at the permit issuance stage. Funds collected will go to the Consolidated Revenue Fund and, subject to parliamentary approval, will be ring-fenced for farmer payments via the Grain Marketing Board and for financing smallholder irrigation programs.

an appropriate levy or charge

โ€” TreasuryRegarding imports exceeding the prescribed wheat blending ratio, to ensure parity between imported and locally produced commodities.
DistantNews Editorial

Originally published by AllAfrica Zimbabwe. Summarized and contextualized by our editorial team with added local perspective. Read our editorial standards.