“The minimum price for a kilogramme of maize should be sh500," says finance minister Matia Kasaija.
KAMPALA - As maize prices continue to shrink across the country, Government has advised farmers not to sell maize at less than sh500 per kilogramme.
According to finance minister Matia Kasaija, Government has been forced to interfere with the liberal political economy of free market forces to set the maize price at sh500 in order to rescue the farmers, who have failed to get profitable market for their produce.
“The minimum price for a kilogramme of maize should be sh500. Therefore farmers should not sell maize at less than sh500,” he said.
Speaking to journalists at the Uganda Media Centre in Kampala, Kasaija revealed that a series of meetings between government officials, top maize traders in the country and commercial banks were held on Monday this week to rescue the farmers.
Working with maize traders, Government and commercial banks will advance low interest loans to traders to enable them buy maize from farmers at sh500 and above.
Kasaija, however, urged farmers to ensure quality if they are to benefit from the interventions.
“Farmers should also be mindful of the maize quality and therefore harvest maize which is properly dry because good maize attracts a good price."
The dropping maize prices, which in most areas are as low as sh150 per kilogramme, have caused a stir within the public.
Parliament urged Government to urgently intervene to save farmers from suffering devastating losses.