The Millers Association of Zambia (MAZ) says it is a fallacy to expect that the price of mealie meal in the country would remain unchanged after government increased the maize floor price from K65 to K70 for a 50kg bag of the grain.
Agriculture and Livestock Minister Wilbur Simuusa had recently called on the association for the second time to further explain the high price of mealie meal reported in some parts of the country despite the association’s earlier clarification that it had no hand in the reported high price.
MAZ chairperson Allan Sakala has told Qfm News that whether the country has a bumper harvest or not, there are some factors that are at play behind the reported high price of mealie meal in some far flung areas of the country.
Mr. Sakala has maintained that besides the increased floor price for maize, the escalated fuel costs, hiked electricity tariffs and the revised minimum wage have a part to play in triggering the increase in the price of mealie meal especially in the far flung areas of the country.
He says unless the cost of production is controlled, the price of mealie meal in some parts of the country will stabilize around the prices of K70 and 75 for a 25Kg break fast bag whether the country has a bumper harvest of the grain or not.
And Mr. Sakala has observed that it is also important to note that the removal of subsidies on fuel and maize has also played a major role especially the maize grain has become a tradable commodity in the country.
He says for as long as the maize grain is not controlled it will sell at the price that the public demands to sell it.
The MAZ chairperson says this does not however mean that government should introduce price controls.
He says the market should be allowed to set its own price.