Government will next month issue a statutory instrument that will allow the Zambian Commodity Exchange (ZAMACE) to oversee warehousing and promotion of grain commodities on both the local and international market.
Minister of Agriculture Emmanuel Chenda said the country was faced with the challenge of marketing agro products on the international market despite having surplus harvests.
Mr. Chenda was speaking in Lusaka today at a ZAMECA consultative meeting which was discussing the role of the Zambian commodity exchange in grain warehouse organisation.
He said ZAMACE will act as a warehouse agent and assist in lessening the dependence on the Food Reserve Agency FRA by offering even better services.
Mr. Chenda said ZAMACE will issue receipts to farmers and help them access financial loans for their farming activities and act as an interface between Zambia and the South African stock exchange.
And ZAMACE Executive Director Brian Tembo appealed to government to quickly implement the agricultural credit Act of 2010 which allows the minister to appoint an organisation to oversee grain warehouse administration in the country.
Meanwhile, a South African Commodity Derivatives Director Chris Sturgess said Zambia has a potential to supply food to the region due to the continued stability in surplus grain production.
Mr. Sturgess said there was need to promote enabling government policies that will encourage small scale farmers who make 90 percent of grain producers in the country.
The Zambian agricultural credit Act was formulated in 2010 and last year adopted ZAMACE to take up the role of warehousing and sourcing market for grain produce in the country.