This week, the Agricultural Marketing Authority said the Zimbabwean government should review downwards the 25% retention on macadamia nut export receipts. Currently, the government retains 25% of macadamia farmers’ foreign currency receipts, which it reimburses in local currency. However, farmers are arguing that the percentage is too high and unsustainable.
Macadamia nuts are viewed as a lucrative cash crop due to their multiple uses, international market value and a decades-long harvesting lifespan. However, according to the AMA report, merchants are complaining over a high retention threshold, indicating that it is crippling the sector.
AMA Agribusiness director Jonathan Mukuruba stated that various efforts have been made to review the retention level through government engagement: "We met the macadamia nut stakeholders and they have expressed concern over the 25% retention level which they say is too high and affecting their businesses and various steps have been made which include engaging government through our parent ministry to review the level for the sector to grow.”
Source: newsday.co.zw