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people resort to barter trade for basic commodities
Henry Makiwa, SW Radio Africa
October 16, 2007
http://www.swradioafrica.com/news161007/barter161007.htm
A report by seven key
organisations on Zimbabwe's agricultural situation says most
people have resorted to barter trading to acquire basic commodities,
as shops continue to be empty.
Details in a paper entitled:
Agricultural Coordination Working Group - September 2007,
portray a dire picture of how millions of people in the countryside
are trading their staple maize for casual labour and other basic
needs such as laundry soap and sugar.
It also highlights the
plummeting levels of wheat production on farms, underscoring the
warped land reform policies of the Robert Mugabe regime that has
seen 70% of commercial agriculture being destroyed in the past seven
years.
Among the organisations
involved in the compilation of the report are the Food and Agriculture
Organisation, Environment
Africa, Oxfam, the Ministry of Health and the Department of
Agricultural Research and Extension (Arex).
In the report, the state-controlled
Arex admits: "The prevalence of barter trade is high in all
(rural) districts with a wide range of commodities being exchanged
for grain (for example sugar, laundry soap, green vegetables and
casual labour).
Arex adds: "An
analysis of the barter trade activities indicate that the terms
of trade are favouring basic commodities over grain. The observed
worsening terms for trade of maize grain is the result of the acute
shortages of basic commodities and high prices on the parallel market."
The practice of barter
trade has also extended into cities and towns according to journalist,
Shakeman Mugari.
Mugari said: "Everyone
is feeling the pinch and we are witnessing this even here in Harare.
People are indeed pawning their assets for basic commodities and
formal business is collapsing.
"Its all a direct
result of the government's price blitz policy and this has
had an obvious domino effect on the poor showing of the economy,"
Mugari said.
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