Government has, with immediate effect, increased subsidised roller meal price to ZWL$70 from ZWL$50 per 10kg blaming unscrupulous players for market and supply distortions.
The Ministry of Finance and Economic Development, in a press statement, says the wide gap between the market and the subsidised price has created undesirable arbitrage opportunities for unscrupulous players, resulting in the market and supply distortions.
“Government will announce a strengthened targeting system in due course such that deserving vulnerable citizens as intended by the subsidy policy benefit,” the press release says.
The government introduced the roller meal subsidy pegged last year in order to protect vulnerable groups in Zimbabwe.
The price increase coincides with the Grain Millers Association of Zimbabwe (GMAZ) Chairman Tafadzwa Musarara, allegedly accused of being an unscrupulous player in roller meal distribution, slapping the accusers with $10 million for defamation charges.
Suspended ruling party youths Godfrey Tsenengamu and Lewis Matutu at a media briefing accused Musarara of corruption, which is making Zimbabweans suffer.
Leaked court documents say the youths stated that Musarara was a corrupt businessman who was diverting maize meal to the black market thus causing shortages of that product in the shops.
Matutu and Tsenengamu were suspended from Zimbabwe’s ruling party after accusing Musarara of corruption relating to the distribution of maize meal.
Roller meal, which is Zimbabwe’s staple food as been in shortage after a drought led to poor harvests in 2018-19 agricultural season.
Zimbabwe will be importing 100 000 tonnes of maize to curb roller meal shortage in the country.
