Zimbabwe Roundup: El Niño drought alarm, Starlink U-turn, VAT removal on rice
WHO commends health sector
Outgoing World Health Organization (WHO) country representative, Professor Jean Marie Dangou, has commended Zimbabwe for its progress in the health sector during a farewell visit to Vice President Dr. Constantino Chiwenga in Harare. Dangou praised the excellent collaboration between Zimbabwe and WHO, highlighting the country's commitment to achieving international health standards under President Mnangagwa's health strategy. “I was bidding farewell to the Honourable Vice President, Dr. Chiwenga, as you recall, when I joined Zimbabwe last year in February, he was the Minister of Health and Child Care. The collaboration between the World Health Organization and the Government of Zimbabwe is excellent. I have been to several countries, and what I have seen here in Zimbabwe, I should say that it makes WHO proud, but also the Government of Zimbabwe should be proud of this collaboration. WHO is the first advisor of the Ministry of Health and the Government of Zimbabwe,” he is quoted by The Herald.
El Niño drought alarm
Pressure is mounting on President Emmerson Mnangagwa to declare a drought in Zimbabwe following reports that nearly all crops planted during the 2023–24 summer cropping season have been decimated, a Senate committee was informed on Tuesday. Speaking before the Senate thematic committee on peace and security, Professor Obert Jiri, the secretary for lands, agriculture, water, fisheries, and rural resettlement, highlighted that dry land maize, including crops planted under the Pfumvunza scheme and traditional grains, have been entirely wiped out due to drought conditions, The Zimbabwe Mail reports. According to Jiri, Zimbabwe now anticipates harvesting between 700,000 and 800,000 metric tonnes of all cereals planted for the 2023–24 summer season, significantly below the annual national requirement of 1.2 million metric tonnes. The Ministry of Agriculture's latest crop and livestock assessment report warned of potential panic purchases and grain hoarding by households and traders, exacerbating the situation and leading to significant increases in cereal prices. “Panic purchases and grain hoarding by households and traders are expected, which will deplete the grain earlier than expected, even in areas with surplus production. This will cause significant increases in cereal prices,” the Ministry of Agriculture noted. Furthermore, the ministry noted a decline in the area planted with corn, a staple in Zimbabwe's diet, from 1.96 million hectares in the previous year to 1.73 million hectares in the 2023–24 season.
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New tobacco season opens
Vice President Constantino Chiwenga has inaugurated the 2024 tobacco marketing season, marking the commencement of auctions for the highly valued crop. The first bale of tobacco fetched US$4.92 per kilogramme, reflecting an increase from last year's opening price of US$4.35. Tobacco stands as Zimbabwe's second-largest foreign currency earner, trailing only behind gold in its economic contribution, the Sunday Mail has reported. Despite challenges posed by a prolonged dry spell induced by the El Niño weather phenomenon, the yield of the golden leaf is anticipated to experience a slight decline this year. Vice President Chiwenga, while officially launching the marketing season, said, “As has been explained by the Minister of Lands, Agriculture, Fisheries, Water, and Rural Development, the El Niño phenomenon has taken a toll on our crops. However, this has not dampened our efforts to attain a US$5 billion tobacco industry. The following season might be better.” He urged concerted efforts from all stakeholders to overcome challenges and work towards realizing the ambitious target of a thriving tobacco industry in the near future.
Removal of VAT on rice
Local retailers have lauded the recent removal of value-added tax (VAT) on rice and potato seed, along with the relaxation of grain imports, recognizing these measures as significant steps towards enhancing food security in Zimbabwe. The President of the Confederation of Zimbabwe Retailers (CZR), Denford Mutashu, expressed appreciation for the government's decision, highlighting its positive impact on easing the financial burden on the general population. He emphasized the importance of making essential food items such as rice more accessible to households, especially as a viable substitute for maize. “The removal of the value-added tax on rice is a welcome move. As the next substitute for maize, rice must be affordable to all households. This is in line with regional parity and will ensure our retailers can compete with imports. We are happy that all our recommendations have been taken on board. We hope that the necessary statutory instruments will be fast-tracked to ensure that this development reflects on the shelves,” said Mutashu. The Sunday Mail further reports that he expressed confidence in the reactivation of the Grain Mobilization Committee, believing it will enhance transparency within the sector and contribute to the effective management of grain resources in Zimbabwe.
Starlink U-turn
Zimbabwe appears to have reversed its stance on Starlink, with reports emerging of ongoing discussions between senior government officials and the satellite internet service provider owned by Elon Musk. Despite concerns over security reasons, Zimbabwe had not previously licensed Starlink to operate in the country, even though various entities, including companies, parastatals, and individuals, were already utilizing its services. However, according to sources involved, government representatives are currently engaged in talks with Starlink officials, News Day reports. The source suggested contacting Minister of Information Communication Technology, Postal and Courier Services, Tatenda Mavetera, for further details, although Mavetera indicated that the matter was still confidential and requested to postpone comments until a later date.
