Struggling Agricultural Development and Marketing Corporation (Admarc) says it needs about K40 billion for the purchase of farm produce, against the K4 billion allocated in the national budget.
Updating the Parliamentary Committee on Agriculture regarding progress the firm is making on the purchase of farm produce, Admarc acting general manager Ethel Zilirakhasu said Admarc was since given K1.5 billion from the allocation.
She further said the money was released on May 5, 2023 but ended up being used to pay salary arrears for February 2023 to April 2023.
However Zilirakhasu disclosed that Admarc started buying produce on June 1 2023, using funds carried over from last year’s funding.
A sum of K1.85 billion was carried over from the K2.5 billion that the institution received. She said Admarc is still waiting for the remaining K2.5 billion for this year’s allocation to continue carrying out its operations.
Admarc head of finance Chrissy Nyirenda told the committee that the institution has huge debts which are affecting the company’s efforts to implement its business plan. She said there is need for government to come in and recapitalize Admarc.
Meanwhile, Chairperson of Parliamentary Committee on Agriculture Sameer Suleman said it is clear that Admarc is in trouble and more effort is needed to get it back to its feet.
He observed that there is no commitment to fund Admarc so that it is able to sustain itself.
“Government should have just said we are shutting down Admarc completely,” said Suleman.
He also expressed sadness that despite Admarc having infrastructure that can help it go commercial and benefit the country, it is just being wasted.-(Story credit: George Singini, Nation Online)
