By Court Correspondent
HARARE — The Grain Millers Association of Zimbabwe (GMAZ), led by suspended Zanu PF Mazowe DCC chairman Tafadzwa Musarara, has backed down from a court battle against the government’s grain import levy regime after withdrawing its High Court application.
Musarara’s High Court application had sought to block the implementation of Statutory Instrument (SI) 87 of 2025.
According to a Notice of Withdrawal filed in the High Court’s Commercial Division on June 15, 2026, GMAZ abandoned the application and agreed to pay wasted costs incurred by the respondents.
The respondents in the matter were the Agricultural Marketing Authority (AMA), the ministers responsible for Agriculture, Finance, Justice, and Industry and Commerce, the Zimbabwe Revenue Authority (Zimra), the Zimbabwe National Statistics Agency (ZimStat), and the Attorney-General.
GMAZ had approached the court seeking urgent relief against the grain levy framework, arguing that the charges imposed on imports would increase production costs for millers and trigger price hikes for bread, mealie meal and other basic commodities.
The dispute emerged amid controversy surrounding SI 87 of 2025, which introduced levies on imported grain as part of Government’s efforts to support local agricultural production and reduce reliance on imports.
The policy came under scrutiny after a Treasury communication dated March 3, 2026, reportedly questioned the legality of the statutory instrument, describing it as potentially inconsistent with constitutional provisions and recommending its repeal.
However, Treasury subsequently revised its position.
In a letter dated April 30, 2026, Finance Secretary George Guvamatanga endorsed a restructured grain marketing framework that retained levies and charges on grain imports under the 2025/26 summer season arrangements.
Treasury argued that the gap between import parity prices and domestic production costs had significant implications for the viability of local farmers, import substitution efforts and overall macroeconomic stability.
Under the framework, AMA was designated as the collection agent for the levies, with proceeds channelled into the Consolidated Revenue Fund.
Subject to parliamentary appropriation, the funds are intended to support farmer payments through the Grain Marketing Board (GMB), and finance smallholder irrigation projects.
Government officials say the levy framework has already generated about US$5.7 million, part of which is being invested in irrigation infrastructure and programmes aimed at reducing Zimbabwe’s dependence on grain imports.
The policy has attracted support from farmer organisations, indigenous millers and Government officials, who argue that it is critical for protecting local producers, strengthening national food security and reducing the country’s import bill.
The Indigenous Grain Millers Association of Zimbabwe (IGMAZ) has previously defended the levy system, arguing that excessive dependence on imported grain undermines domestic production and weakens gains made under the Land Reform Programme.
Supporters of the framework also contend that the Agricultural Marketing Authority Act empowers the authority to impose and collect levies for agricultural development and the administration of sector support funds.
The dispute forms part of a wider national debate over Zimbabwe’s import substitution strategy and efforts to promote local production and value addition.
President Emmerson Mnangagwa has repeatedly called for Zimbabwe to move up global value chains through value addition and beneficiation, while Jacob Mudenda has warned that a growing import bill poses risks to industrial development and economic sovereignty.
