PRESIDENT Lungu says Government will soon set up milling plants across the country under the public private partnership (PPP) to reduce the price of mealie meal.
President Lungu said the involvement of the private sector will result in the reduction of the price of the commodity.
“As people in the private sector growing maize, you must work with government to ensure a reduction. As Government, we will listen to your suggestions and work with you under PPP in setting up milling plants across the country,” he said.
The President said this during an interactive meeting with the business community at Protea Hotel in Chipata on Friday evening.
He said the role of Government is to provide a conducive environment for the private sector and businesses to flourish and not to compete with the state on the market.
He said instead of asking Government to be actively involved in running businesses, the business community needed to point out the challenges they are facing.
On the revival of the Zambia, Malawi and Mozambique growth triangle, President Lungu said he would engage the two countries on how to handle the issue.
Minister of Justice Ngosa Simbyakula said Government, through the Ministry of Commerce and Trade is revising business regulations.
Meeee tooooo……
This was Sata’s idea and plan. Good continuity ECL, continue with the legacy and 2016 will be a walk over under 5 hech hech
Edgar is either lazy or boring. His behavior is too much of common man. Zambia needs a radical president, these who are taking over from the dead presidents are not good enough.
BA BOSS THE IDEA OF SETTING UP MILLING PLANTS WILL WIN YOU AN EXPRESS TICKET TO ANOTHER TERM OF PRESIDENCY NEXT YEAR. BUT, TRY TO APPEND TIME TO EVERYTHING YOU PROMISE. SOON DOESN’T TELL EXACTLY WHEN. PEOPLE CAN’T WAIT FOREVER. PEOPLE WANT TO KNOW WHEN THE COST OF MAIZE MEAL WILL DRASTICALLY DROP AND MILLING PLANT IN RURAL AREAS IS THE ONLY GUARANTEE FOR THESE PRICES DROP OF MAIZE MEAL. BOTSWANA HAS DONE THE SAME IN RURAL AREAS VERY NICELY I ADMIRED THE WAY THE GOVERNMENT HAS PUT UP STATE-OF-THE-ART MILLING PLANTS IN RURAL BOTSWANA. GRZ HAS FAILED TO PROVIDE OUTSIDE MARKETS FOR FARMERS- THIS IS THE ONLY WAY FARMERS ARE GUARANTEED OF READY MARKETS LOCALLY AND FARMING WILL INCREASE.
PPP is the best that GRZ should employ in all sectors to save money and channel it to key sectors. Setting up GRZ milling plants will pummel Private millers into competitive prices and we should aim at reducing smuggling of Mealie meal into neighbouring countries by exporting the commodity and using the proceeds to empower the largest producers of maize, peasant farmers.
Promote hammermills as well. They empower the smallest farmers and community level entrepreneurs.
its a good move as it will provide self price control without lubinda pleading with private millers on reducing the prices on the stable food. your campaign promises are indeed coming to fruition
sending GBM milling to sleep…. Oh my God. nangu nikachakolwa kalikwata amano @alex chikwanda
Thought we had government milling plants in each province under the Kaunda regime. Were millie meal prices reasonable, NO. Pleople were being given coupons to subsidise the commodity. Lungu, stop the idea of putting tax payers money in things that wont work. Spend money in PPP to set up industries that are going to produce goods for local and export markets and there by creating employment. If you cant create jobs forget it. You are busy crying of tribalism because people did not vote for you in some part of the country. Address the problems that caused tribalism. One zambia one nation slogan is not a solution. You are out of your depth to think chiefs alone can resolve those problems.
Actuall it is PPP, its not GRZ to run these Milling Plants
wishful thinking ……….the lobby group on milling wont allow this….
keep dreaming….
you voted for more money in your pockets? kikikikikiwhat a joke..
Its a very fruitful move Mr. President. In Chingola we have gov milling plant which has been dormant for years and years, if that one can be brought to life, definitely it will help to reduce mealie meal price.
Why has it been dormant for years?
BECAUSE GOVERNMENT HAS FAILED TO MAKE IT WORK!
And now Lungu wants to waste more taxpayers money flogging a dead horse.
“President Lungu said the involvement of the private sector will result in the reduction of the price of the commodity.”
So what is his plan? — NO PLAN!
Point of correction PPP is not MCS’s idea but LPM. Every one else just jumped on the band wagon. While PPP is a good idea that can help reduce the price of m.meal, it will in my opinion not going to give the kind of reduction which pipo expect. And if I may ask what price for mealie meal can be considered affordable? Someone please answer.
The biggest variable in the cost equation for m.meal is maize grain. So If ECL wants to see a big reduction in the price of m.mealie, I suggest he finds a way to reduce the cost of producing maize. Maize in Zambia is VERY EXPENSIVE. Starting point to reduce FRA purchase price to K50 or lower per bag, the price of mealie meal will fall. After this, then work to increase maize productivity by s.s. farmers, which will assure continued supply of cheap…
@ Duckfoot John how I’d wish for your second paragraph to somehow get to ECL’s head!
Whatever the case subsidy on maize was almost the same thing in the sense that these private companies had to be met somehow by Govt (public resources) which led to price reduction. It worked well with LPM and Magande. The problem is the removal of this subsidy.
PPP is like asking foreigners to come and help us mine our minerals. PPP has to be a commercial venture to earn a reasonable return to the investor who pumps in more money than GRZ. The Investor will ask for all sorts of tax concessions on imported milling equipment, distribution vehicles, electricity tariffs. The poor citizen will still be the burden bearer of all concessions given. Setting up a milling plant in an area where 80% of people are farmers & yet one expects the same people to sell the maize to the milling company and then buy back the expensive mealie meal? Madness of policy?..take cheaper electricity & hammer mills to the small scale farmers….is the answer! Businesses are there to pay taxes so that GRZ uses the funds to solve problems not For business to solve…
The ideal scenario is that these are implements where family food grain will be taken to be milled into their staple for the period between harvest and next planting… Zimbabwe has done that over the years (not sure if they are still doing so) even in urban areas. The problem with Zambia I foresee is that the next thing these families will be expecting is the provision of the maize grain as well. Therein lies the tale. I think we did have a proliferation of hammer mills circa 90s but they all fizzled out as disrepair and dishonesty (as is usual) took hold.
PF should not run away from solving or fulfilling it’s campaign promises. GRZ is more adept, through our high taxes, at solving social issues aimed at serving society through valuable governmental or public service roles. Business people do not have the requisite skills to deliver on social issues regardless of their success in the field of business…they will always gravitate towards business and profit seeking. It is ludicrous to grant business people more power through PPP because they were not elected by citizens and have no accountability to the public. President ECL is mad and is being cheated. To combine social power and profit making power in the hands of one group would be akin to encouraging the suicide of democracy!
Good idea Mr President!!this is the only solution to high m.meal prices!!!if PF do this,then pay farmers early next year,lift wage freeze and register more youths,victory will be 100% for PF!!!bravo ECL!!!
Mr president this idea cant work , how do you start reducing the price of mealie meal before reducing the price of Maize , are you bringing back subsidies ? the flow price of maize is k70 per 50 kg, you expect the mealier to sell the mealie meal lower than the cost of maize ? what a president!
If the distances between millers and farmers and millers and consumers are reduced, the transport saving will help reduce the final price.
There is nothing wrong with this idea.It is sometimes good to appreciate good ideas unlike always condemning everything just because the idea is being said by some personality you detest.
His Excellency should go ahead with this idea after all jobs will be created and also Forex will start flowing through export of mealie-meal.
Excellent idea.
The concept can be replicated for all our other primary products then once the processing plants are up and running they are sold to Zambian businesses.