Senate summons minister over soaring food prices

KIGALI - The Senate has summoned the Minister of Commerce, Monique Nsanzabaganwa ,to explain why the  prices are persistently increasing. The Senators say soaring food prices are affecting the population and they want her to appear as soon as possible though the date has not yet been set. The minister will explain what her ministry is doing to regulate the prices of these products and strategies to stop exploitation of farmers by cooperatives in the agribusiness.

Saturday, April 19, 2008
Minister of Commerce Monique Nsanzabaganwa. (File photo).

KIGALI - The Senate has summoned the Minister of Commerce, Monique Nsanzabaganwa ,to explain why the  prices are persistently increasing. The Senators say soaring food prices are affecting the population and they want her to appear as soon as possible though the date has not yet been set. The minister will explain what her ministry is doing to regulate the prices of these products and strategies to stop exploitation of farmers by cooperatives in the agribusiness.

The decision to summon the Commerce minister follows a report by the Senate Commission on Economic Affairs detailing how various cooperatives were exploiting farmers and regulating the market prices of agricultural produce.

Senator Spéciose Ayinkamiye, the chairperson of the Commission presented the report on Wednesday to the plenary session.

"It is necessary to summon the line ministry to explain the intensity of the matter before farmers lose trust in the Green Revolution programme,” Ayinkamiye said.

She explained that the Green Revolution was meant to increase agricultural products and farmers had fully participated, but it would be meaningless if their products were not given consideration.

"We must work hard to see how the prices of agricultural products are regulated to eliminate the exploitation of our farmers,” she added.

The president of the Senate, Dr. Vincent Biruta, explained that it was the duty of the Ministry of Commerce to regulate cooperatives which deal in agricultural produce so that farmers are not exploited.

"We have to protect our farmers if we are to reach a per-capita income of $900 by the year 2020,” Senator Aloysie Inyumba said.

Inyumba said that the minister’s explanations would enable farmers’ cooperatives to work in a free environment after settling these problems.

Senator Prosper Higiro questioned the authenticity of cooperatives which levy heavy taxes on agricultural produce and regulate their prices.

He said that all these intermediaries in the sector should be eliminated to enable farmers to bring their own produce to the market.

According to the report, farmers’ cooperatives that were formed to help local farmers to benefit from their work have been neglected since they are not allowed to bring their produce to the market.

The report gave an example of Abadahemuka cooperative society which  monopolizes the sell of agricultural products countrywide.

"Abadahemuka does not allow other cooperatives to sell products like Irish potatoes and bananas directly to consumers except when they have paid some taxes to them,” according to the report.

"If farmers’ cooperatives are not protected, the country will not achieve the main objective of improving the social and economic welfare of our farmers,” Senator Joseph Karemera stressed.

"It is not the first time such problems arise, but it would be dangerous if we did not help farmers to gain from their sweat,” he added. The report also highlights the problem of access to fertilizers and improved seeds by farmers in the country.

Farmers have to get a certificate issued by the Rwanda Agricultural Development Authority (RADA) before being allowed to own improved seeds and fertilizers, according to the report.

The Senators said called for the line ministry to intervene to enable easy access of these essential items. They also resolved to convene a meeting with all stakeholders in the agriculture sector to see how best the sector could benefit the majority of Rwandans who depend on agriculture.

Ends