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GMAZ drops court fight over grain levy as US$5.7m raised for farmers

THE Grain Millers Association of Zimbabwe withdrew its High Court challenge against government’s grain import levy on June 15, clearing the way for a policy that has already raised US$5.7 million for farmers and irrigation.

GMAZ, chaired by Tafadzwa Musarara, filed a Notice of Withdrawal at the High Court Commercial Division and tendered wasted costs to respondents including the Agricultural Marketing Authority, four ministers, Zimra, ZimStat and the Attorney-General.

The millers had sought to block Statutory Instrument 87 of 2025, arguing the levies would push up prices of bread, mealie meal and other basics.

Treasury initially questioned the legality of SI 87 in a March 3 letter, saying it was “beyond legal powers” and should be repealed. But on April 30, Finance Secretary George Guvamatanga backed a revised framework retaining the levies for the 2025/26 summer season.

Treasury said the gap between import and local grain prices threatened “producer viability, import substitution and broader macroeconomic stability”.

Under the framework, the Agricultural Marketing Authority collects the levies. Revenue goes to the Consolidated Revenue Fund, earmarked for Grain Marketing Board payments to farmers and smallholder irrigation schemes, subject to parliamentary approval.

Authorities say US$5.7 million has been raised so far. Funds are being channeled to irrigation infrastructure aimed at cutting future grain imports.

The levy is backed by farmer unions, the Indigenous Grain Millers Association and government, who say it protects local producers and strengthens food security.

IGMAZ argues heavy grain imports threaten the gains of the Land Reform Programme and Zimbabwe’s industrialisation drive.

Government lawyers cite the Agricultural Marketing Authority Act as empowering the state to impose levies for agricultural development.

President Emmerson Mnangagwa has called for Zimbabwe to become a producer of value-added goods, not an importer.

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