The 2024/25 farming season is a pivotal moment for Zambia, requiring unified action to combat counterfeit seeds, price instability, inadequate insurance, and market access challenges, with innovative measures critical to securing agricultural sustainability and the UPND’s political legacy.
Lusaka, Nov. 21 – Zambia’s small-scale farmers are entering the 2024/25 season with optimism, buoyed by recent improvements in the agricultural sector. Early payments for the Farmer Input Support Program (FISP), timely availability of inputs, and increased adoption of climate-smart agricultural practices have placed the sector in a promising position. However, critical risks demand urgent attention from the UPND government to sustain these gains and protect farmers’ livelihoods.
Also Read: UPND manifesto on the agric sector – What we need to do! We urgently need an Indaba of like-minded stakeholders in the sector.
Without decisive action, challenges such as counterfeit seeds, price volatility, limited crop insurance coverage, and poor market access could undermine food security, disrupt market stability, and tarnish the UPND government’s reputation ahead of the 2026 elections.
◾Key Risks and Their Implications
▪️ Infiltration of Fake Seeds: The overwhelming demand for high-performing maize seeds has created shortages in many areas. This situation has provided a window of opportunity for unscrupulous traders to flood the market with counterfeit seeds. If farmers unknowingly plant fake seeds, yields could plummet, compromising food security and triggering widespread discontent.
▪️ Commodity Price Risks: While current high food prices may significantly motivate farmers to expand their cultivated areas, an abundant harvest could result in a market glut. Without safeguards, falling prices would leave many farmers in financial distress, undermining their livelihoods and discouraging future investments.
▪️ Crop Insurance Gaps: Farmers outside the FISP index-based insurance program remain highly vulnerable. Even with forecasts of good rains, unanticipated weather events such as hailstorms or floods or even diseases could devastate uninsured farmers, leading to significant losses.
▪️ Market Access Challenges: Surplus crops may go unsold if effective market facilitation strategies are not implemented. Poor access to reliable markets will not only reduce farmers’ incomes but also tarnish the UPND government’s track record, potentially giving the opposition a strong campaign point for the 2026 elections.
◾Recommendations for the UPND Government
▪️ Strengthen Seed Quality Controls: Partner with institutions like ZABS and ZARI to enforce stringent quality checks on seed production and especially distribution. Roll out robust farmer awareness campaigns to help farmers identify genuine seed suppliers and avoid counterfeit products.
▪️ Promote Commodity Price Stabilization Measures: Leverage the Warehouse Receipt System (WRS). The WRS, managed under the Zambia Agricultural Commodities Exchange (ZAMACE), allows farmers to store their produce in certified warehouses. Farmers can then use receipts issued against stored commodities as collateral for loans or wait for favorable market conditions to sell their produce, thus hedging against price volatility. Support the establishment of forward contracts between farmers and grain buyers to guarantee predictable pricing and reduce the risk of market gluts.
▪️ Expand Crop Insurance Coverage: Provide incentives such as subsidies to encourage private-sector participation in crop insurance. Extend index-based insurance to cover a broader range of crops, particularly those critical for food security.
▪️ Enhance Market Facilitation: Invest in rural infrastructure to improve access to markets and reduce post-harvest losses. Expedite the use of Constituency Development Funds (CDF) to support road development and storage facility construction. Collaborate with trade partners to secure regional and international markets for surplus produce.
◾Recommendations for the Private Sector
▪️ Improve Seed Distribution and Traceability: Develop digital traceability systems to verify seed authenticity, reducing the prevalence of counterfeit products. Partner with agro-dealers to ensure that high-quality seeds are available in rural and remote areas.
▪️ Invest in Agro-Processing and Storage: Build more storage facilities to reduce post-harvest losses and ensure produce remains market-ready. Engage cooperatives operating under government-facilitated solar milling plants to create viable aggregation and value-addition hubs.
◾Recommendations for the Farmers
▪️ Diversify Crops and Income Streams: Reduce reliance on maize by cultivating high-value crops like soya beans, groundnuts, and horticultural produce. Explore alternative income streams such as poultry and aquaculture to mitigate financial risks.
▪️ Plan Early for Market Access: Identify potential buyers and secure contracts before harvest. Join cooperatives to gain access to larger markets and negotiate better prices.
▪️ Prioritize Insurance Coverage: Take advantage of crop insurance schemes, even outside FISP, to protect against unpredictable weather-related losses.
Also Read: Boosting Rural Resilience: How NHIMA, FISP, and Cash-for-Work Can Secure Zambia’s Food Future. By adapting the cash-for-work program to benefit rural farmers, and improving the efficiency of NHIMA and FISP through targeted reforms, Zambia can create a more resilient and sustainable food system.
◾The Value of the Warehouse Receipt System in Price Risk Management
The WRS is a game-changer for Zambia’s small-scale farmers. It enables farmers to deposit their harvests in certified warehouses, where the quality and quantity are independently verified. In return, farmers receive a receipt representing their produce. This receipt can be used to secure short-term financing, allowing farmers to cover immediate needs without selling their crops during periods of low market prices.
The WRS also promotes price stability by reducing post-harvest pressures to sell immediately, which often results in a price crash during bumper harvests. By delaying sales, farmers can strategically release their produce to the market when prices are more favorable. Moreover, the system integrates farmers into formal market structures, increasing transparency and trust among stakeholders. When fully operationalized, the WRS can significantly mitigate price risks, improve farmers’ bargaining power, and enhance food security. The value of WRS has often been underplayed by successive governments in Zambia and UPND is challenged to make it work for the Zambian farmer.
◾Conclusion
The 2024/25 farming season offers a crucial opportunity for Zambia’s agricultural sector. However, the UPND government, private sector, and farmers must act collectively to address the pressing risks of counterfeit seeds, price volatility, inadequate insurance, and limited market access.
Innovative solutions like the Warehouse Receipt System, stronger seed quality controls, expanded crop insurance, and better market facilitation strategies must be prioritized to ensure a successful season. Failure to address these challenges could have severe implications for Zambia’s agricultural sustainability and the UPND’s political future.
About The Author: Hon. Ponde Chunga Mecha is the immediate past MP for Chifunabuli Constituency. He has worked and executed various development programmes in the agriculture sector under various funding sources including GRZ, World Bank, NORAD, FINNIDA, FAO, Melinda and Bill Gates Foundation, USAID and the EU.
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