Stakeholders in maize value chain have vowed to stamp out speculative buyers in order to streamline trade.

During a maize stakeholders meeting in Kigali on Wednesday, speculative buyers were cited as the main challenge impeding maize trading in the country.

Evariste Tugirinshuti, the president of maize farmers’ association said lack of maize collection centres was the main cause of persistent speculative buyers.

He said, "farmers have organised themselves in cooperatives through which they sell their produce. However, many of them sell to speculative buyers to avoid walking long distances to transit collection centres. If we had enough collection centres as it is for Irish potatoes, I think the issue of speculative buyers could be addressed.”

Daniel Niyitegeka, a farmer in Nyagatare said farmers could also be sensitised on the benefits of streamlined selling.

He said, "We have several benefits once streamlined, including access to finance as we can secure loans from banks using an electronic receipt from East African Exchange (EAX). Yet, many of our colleagues are not aware about these benefits.”

According to the ministry of Agriculture, Rwandan farmers expect good yields from season A 2016 despite climate change effects experienced in some areas.

For instance, in this 2016A season, around 285,203 hectares of maize were planted while 908,723 metric tonnes of produce are expected.

For this produce, 13,6308 metric tonnes (15 per cent) are expected to be lost in post harvest handling process, 499,797 metric tonnes (55 per cent) to be consumed by farmers while 272,616 metric tonnes (30 per cent) are expected to be a surplus for the market.

Tony Nsanganira, the state minister for Agriculture said the ministry is promoting structured trade of produce so that farmers benefit from better prices through provision of information about the minimum price per kilogramme and training on marketing strategy (market penetration & farming contracts).

During the meeting, maize stakeholders fixed the minimum price for a kilogram of maize, at Rwf160 per kilogram on farm gate as the production cost per kilogram turns around Rwf125.

François Kanimba, the minister for Trade and Industry said "we want farmers to have profitable markets. Several investors are engaged in buying maize produce and have different prices depending on grade of produce. This is what makes it profitable to farmers. However, as maize value chain stakeholders we need to build a strong system to bypass speculators who are a challenge to profitable trading in maize.”

For 2016A season, farmers should not worry about the market as different companies including maize processing plants, Rwanda Grain and Cereals cooperation (RGCC) and East African Exchange (EAX) are ready buy the produce on a profitable price.”

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