The General Secretary of the General Agricultural Workers Union (GAWU), Edward Kareweh, has criticised the government for removing subsidies for farmers.
Speaking on Joy News PM Express on Wednesday, he stressed the importance of subsidies as a developmental tool.
“There is no country that has developed without using it. If you mismanage your subsidy, you need to correct it…we shall not allow government to run away from giving subsidy because it is a tragedy for any government to say it won’t give subsidy,” he said.
Mr Kareweh added, “We must learn how to subsidize without creating waste. What we have done is deliberate regarding the smuggling of fertilizer to neighbouring countries to sell. We know those who are smuggling the fertilizer.
“People are responsible for ensuring that the fertilizer gets to a target group but they don’t do so. The Planting for Food and Jobs phase 2 is a nonstarter for trying to take away the subsidy. Don’t run away when there is mismanagement, you have to correct it.”
Dr. Charles Nyaaba, the former president of the Peasant Farmers Association, called for transparency, noting that the phase 2 fertilizer distribution under the Planting for Food and Jobs program lacks clear criteria.
“There is a component they claim the fertilizer is given for free, but it is only the Agric Ministry that determines which farmer qualifies to get it,” he stated.
Dr Nyaaba also pointed out, “The initial concept developed for the policy was fantastic but when it came to the implementation, they changed everything.”
However, Agricultural Economist Prof. Onumah disagrees with the need for subsidies.
He noted that “apart from the World Trade Organisation (WTO) frowning on subsidies, farmers are also better off to get credit facilities.”
Prof. Onumah believes that credit facilities would allow farmers to expand more effectively than relying on subsidies.
“Attitudinal issues with beneficiaries need to be addressed. If you give the farmers credit facilities, they can access the market and compete fairly, make a profit and pay off their loan facilities.
“Besides, the subsidies are not sustainable, let rather tool farmers with agricultural financing,” he said.
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