The government sees the future of the industry as lying at least partly in the reintroduction of some protection for local producers and an expansion of its own role in agricultural marketing. However, the World Bank disclosed on Monday that it would oppose the reintroduction of protectionism and a stronger government hand in the industry. The organisation transformed into a common market in 1994. It established a free trade area, which offers duty free market access among its members, last year. They now want to see the government introducing trade barriers to curb what they allege is produce dumping on the Zambian market.
Economic observers see neighbouring Zimbabwe as the main culprit.
The reality is that Zambia's agricultural sector is in a mess. For example, the number of wheat farmers has fallen by more than 70 percent over the past three years. While the national demand for wheat is estimated at 150,000 mt per year, production has remained around 60,000 mt. Millers continue to prefer cheaper wheat from abroad. All Egyptian diplomatic missions in the Comesa region will, starting May, be required to endorse certificates of origin in their respective stations to facilitate exportation of goods to the country.