POLICY UNCERTAINTY HAMPERS FARMERS AND TRADERS AHEAD OF AGRI BILLS VOTE

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Posted by admin on February 24, 2026 at 5:18 AM

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Farmers and traders in Zambia’s agriculture sector are struggling to plan and invest because of growing policy uncertainty; stakeholders warned during a policy engagement in Lusaka last week.

Speaking during the policy engagement in Lusaka, Grain Traders Association executive director Yotam Mkandawire, NASFA executive director Frank Kayula and IAPRI executive director Brian Mulenga said three bills before Parliament — the Food Reserve Bill, the Agricultural Marketing Bill, and the Agricultural Credit and Warehousing Receipts Bill — could, if well implemented, resolve long‑standing market failures but are currently creating uncertainty for producers and traders.

What the bills propose is Food Reserve Bill — Clarifies the role of the Food Reserve Agency (FRA) in managing strategic reserves and aims to ensure timely payments to farmers.

Agricultural Marketing Bill — Proposes a council of government and private‑sector representatives to guide trade and export decisions, promoting transparency and inclusive decision‑making.

Agricultural Credit and Warehousing Receipts Bill — Allows farmers to store crops in certified warehouses and use warehouse receipts as collateral to access loans, reducing post‑harvest losses and improving financing.

Yotam Mkandawire said the sector has long suffered from confusion and inconsistent policies, and that the Marketing Bill could stabilise trade by creating a structured decision‑making system.

Frank Kayula argued that clear rules and accountability would protect smallholder producers who face unstable prices and limited access to finance.

Dr Brian Mulenga noted that predictable policies are essential to unlocking growth, and that warehouse receipts could significantly improve farmers’ access to credit and marketing choices.

Policy uncertainty undermines investment decisions, discouraging farmers from purchasing inputs, hiring labour, or expanding production — with direct consequences for rural employment and incomes.

If implemented effectively, the bills could stabilise incomes, expand access to finance, and reduce post‑harvest losses, supporting more secure, better‑paid agricultural work and stronger rural markets.

Rebuilding confidence will require not only passage of the laws but consistent implementation, timely payments, and clear communication with farmers and traders.

The three bills remain before Parliament and are widely seen as key to stabilising Zambia’s agriculture industry. Stakeholders urged lawmakers to prioritise implementation details, enforcement mechanisms, and stakeholder engagement to ensure the reforms translate into tangible benefits for producers, traders, and agricultural workers.