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AgricultureBusiness

Government Slashes Farm Fees to Boost Agricultural Growth

IN a decisive step to support agricultural growth, the Government has significantly reduced regulatory fees for farmers involved in livestock, dairy, and stockfeed production, aiming to lower business costs and enhance productivity.”

In a major announcement on Wednesday 10 September, Finance Economic Development and Investment Promotion Minister Professor Mthuli Ncube revealed sweeping changes eliminating or reducing multiple permits and levies, aiming to relieve burdens on farmers and processors.”

The Minister viewed the changes as a landmark development in overhauling the country’s regulatory approach.

“For too long, our farmers and processors have struggled under the weight of unnecessary and costly permits,” he said.

“In some cases, dairy farmers required 25 permits from 12 agencies. Feed manufacturers needed 23 permits, while beef producers faced up to 18 requirements.

“This was unsustainable, it discouraged investment, and it stifled competitiveness. We are correcting that today (Wednesday).”

Under the new measures, farm registration fees under the Agricultural Marketing Authority have been cut to just US$1, while small and medium scale farmers will no longer pay the farm registration certificate fee.

Dairy processor registration has been reduced from US$350 annually to a one-time US$50, while feed manufacturing registration has been slashed from as much as US$250 to only US$20.

Livestock movement clearance fees also dropped sharply, from US$10 to US$5 per beast.

Other significant changes include the abolition of local authority duplicate permits, the scrapping of food handler health certificates, and the removal of Zimbabwe National Water Authority (ZINWA) borehole abstraction and water use fees.

The Environmental Management Agency (EMA)’s effluent disposal fee has been reduced from US$800 to US$100 annually, while the Environmental Impact Assessment licence has been lowered from 1.5 percent of project value to just 0.05 percent, capped at US$100 000.

Minister Ncube pointed out that the reforms sought to decrease costs while also promoting growth.

“These changes will create jobs, encourage exports, and support rural livelihoods. Agriculture is the backbone of our economy, sustaining 65 percent of households.

“By removing unnecessary hurdles, we are empowering farmers and positioning Zimbabwe as a competitive player in regional and global markets,” Minister Ncube said.

These measures, resulting from a multi-stakeholder engagement with World Bank support, initiate a broader reform agenda that will later include tourism, transport, and retail sectors.

“This is only the beginning. Going forward, no regulation will be introduced without a full impact assessment.

“Our commitment is clear: Zimbabwe must be open for business, efficient, and affordable for every investor, big or small,” he said.

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