The Monitor :: Wheat Levy Chokes Local Millers
Banners
Banners
Banners
Banners
Last Updated
Wednesday 19 September 2018, 14:07 pm.
Banners
Wheat Levy Chokes Local Millers

The Botswana Milling Association (BMA) is reeling from effects of the wheat levy, which has affected investor confidence and might result in 120 job losses as businesses adjust their models.
By Pauline Dikuelo Mon 18 Jun 2018, 13:06 pm (GMT +2)
The Monitor :: Wheat Levy Chokes Local Millers








Currently, the levy is at nine percent following the reduction from 15% by the Ministry of Investment, Trade and Industry (MITI) last April.

BMA chairperson, Nkosi Mwaba said investor confidence in the local milling industry is at its lowest while shareholders are hesitant to make further investments.

“With this rate of the levy, the industry would collapse because investors and some members of the association have started exploring other markets and adjusting their business models away from manufacturing,” he revealed.

Mwaba said despite the government’s efforts, the current levy is not an efficient mechanism to address the threat noting that South African millers have already started to invade the local market with excess flour.

South African millers produce three tonnes of flour per annum while Botswana produces 120,000 tonnes of the same products in a year.

“Local millers are the only market for white maize farmers and are the largest suppliers of animal

Banners

feed to the beef sector in the country,” he said.

“Without the milling industry, the beef sector would be fully dependant on South Africa and Zambia for maize and wheat bran supplies.”

Mwaba however noted that the Bakers Association, which is made up of 96% in-store bakeries in the retail sector and four percent of the market, support the levy as it allows them to access flour at a cheaper price from the neighbouring country.

“They have vowed not to support local millers and informed us that they would rather buy flour from South Africa as the levy makes buying locally more expensive,” he said.

When the government initially introduced the levy, it was thought it would prevent dumping of cheap imports into the country by South African millers, which was making the local milling unsustainable. The levy is being phased out at a rate of 1.5% per annum.

Subscribe to our Newsletter
Banners
Banners
Banners


Business
Mon 18 Jun 2018, 18:00 pm
Mon 18 Jun 2018, 13:06 pm
Mon 18 Jun 2018, 13:06 pm
Mon 18 Jun 2018, 13:04 pm
Mon 18 Jun 2018, 13:04 pm
Mon 11 Jun 2018, 18:00 pm
Mon 11 Jun 2018, 13:09 pm
Mon 11 Jun 2018, 13:07 pm
Mon 04 Jun 2018, 18:00 pm
Mon 04 Jun 2018, 12:37 pm
Mon 04 Jun 2018, 12:32 pm
Mon 28 May 2018, 18:00 pm
Mon 28 May 2018, 12:46 pm
Mon 28 May 2018, 12:16 pm
Mon 21 May 2018, 18:00 pm
Mon 21 May 2018, 14:39 pm
Mon 21 May 2018, 14:36 pm
Mon 21 May 2018, 14:33 pm
Mon 14 May 2018, 18:00 pm
Mon 14 May 2018, 14:41 pm
Mon 14 May 2018, 14:18 pm
Mon 14 May 2018, 14:18 pm
Mon 07 May 2018, 18:00 pm
Mon 07 May 2018, 13:34 pm
Mon 07 May 2018, 13:33 pm
Banners
Banners
Exchange Rates
FOREIGN EXCHANGE: Wednesday, 17 Jan 2018
FOREIGN / PULA
PULA / FOREIGN
1 USD = Pula   9.7656
1 GBP = Pula   13.4590
1 EUR = Pula   11.9617
1 YEN = Pula   0.0882
1 ZAR = Pula   0.7938
1 Pula = USD   0.1024
1 Pula = GBP   0.0743
1 Pula = EUR   0.0836
1 Pula = YEN   11.34
1 Pula = ZAR   1.2597
Subscribe to our Newsletter
have a story? Send us a Tip
Banners
  • Previous
    The Predator
    Next
    Masa Centre
    ::: Friday 14 Sep - Thursday 20 Sep :::
    The Predator
    The Nun
    Mile 22
    Crazy Rich Asians
    Hotel Transylvania 3: A Monster Vacation
  • Previous
    The Nun
    Next
    Riverwalk
    ::: Friday 14 Sep - Thursday 20 Sep :::
    The Nun
    The Predator
    Hotel Transylvania 3: A Monster Vacation
    The Equalizer 2
  • Previous
    The Meg
    Next
    Gamecity
    ::: Friday 10 Aug - Sunday 07 Aug :::
    The Meg
    Sgt. Stubby: An American Hero
    The Predator
    The Nun
    Mile 22
    Hotel Transylvania 3: A Monster Vacation
    The Equalizer 2
Selefu
Maruping go a boelwa.
Banners
Banners
istanbul escort