A storm approaching

31 03 2025
Storms develop south of the local microlight club where we fly model aircraft

“Nah, it’s a ZANU-PF problem, they must sort it out themselves” Fabian responded when I asked him if he was going to join today’s protest march in the centre of Harare. Fabian was a non-combatant porter in Robert Mugbe’s ZANLA army as a young man in Zimbabwe/Rhodesia’s bush war which ended in 1980. He has little time for the ZANU-PF political party that Mugabe founded.

The current Zimbabwean president, Emerson Mnangagwa, is looking to extend his presidency to a third term of five years. Zimbabwe’s constitution forbids this and protests have been planned for today which will be spearheaded by Blessed Geza who was a ZANLA veteran. Not surprisingly this has led to accusations of treason from Mnangagwa even though demonstrations are allowed under the constitution. While a lot of Zimbabweans are thoroughly fed-up with an inept and kleptocratic government the cynics are saying that it’s just a changing of the guard – a different herd of snouts to the trough.

Last week saw amoured cars and troop carriers on the streets in an attempt to intimidate would-be protestors. There were road blocks manned by police stopping traffic going into town though yesterday evening, when I came back from the airfield, the one on the main road in had packed up.

The organizers of the protest were clear in their instructions to the general public; stay out of the city centre though this may have been disinformation by the government. Schools are shut today and most businesses are closed or working with reduced staff. There was very little traffic about when we went out to walk the dogs on ART farm. My business is working on essential staff only as we really didn’t know what to expect.

There were videos on social media this morning of protestors starting to march into town. They must have been aware that the last time this happened it all turned nasty when the army opened fire killing six. This is not like Turkey at the moment where thousands of students are gathering every evening to protest the collapse of the country’s democracy. They only have to put up with tear gas.

On the way back home I stopped at a local hardware store to get a jerrycan for my paramotor fuel. “Have a nice day” the cheerful teller girl said as I was leaving. “Yes”, I replied, “and tomorrow we’ll have a new government” giving her a large wink. She giggled, “So, what are you doing here then?” was her response.

It did rain last night. In some areas the storms were violent but here it was just 14mm of rain. Enough to make us thankful for the 4×4 capability of my truck on the very sticky ART farm roads.


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Gentleman John

21 11 2021

“Look what I’ve been given” Marianne said.

I turned around to see her admiring a large bunch of mainly red roses; she was positively purring.

“I got them from John” she added.

“Because you are my guardian angels” enthused John as a way of explanation. “Thank you for thinking of me”.

I told him that we had thought of him because he does good work which was quite true. He has cut out a number of diseased trees for us over the past five years and always does a good job and is reasonably priced to boot. And of course he is a gentleman too. So I had to think of a way to “get him back” so to speak. More about that later.

We turned out attention to the avocado tree in question. It had grown very big so the only way to get avocados off it was to wait for them to fall. Avocados don’t do falling well, especially from eight metres, and whilst they were not bad as humble grown-from-a-seed fruit of this type are, there are definitely better around. The plan was to cut the tree back to three stems, wait for new shoots to grow out, and then graft on several known cultivars that I like and get a tree that can produce for some 6 months or more.

I showed John where I wanted the main stems cut and with yet more thank yous for thinking of him he got to work.

Our president, E. D. Mnangagwa, or just ED as Zimbabweans know him, is not much like John. He has been at the COP 26 climate conference in Glasgow. Not one for scrimping on costs or being environmentally conscientious he took along 100 sycophants in a specially chartered jet. Technocrats were left behind in favour of party buddies. Judging by the videos on social media they know how to party too.

An address by ED to a nearly empty auditorium was picked up by the press, and whilst not that unusual at that time slot, plenty of mileage was got. Apparently ED has committed us to a 40% reduction in greenhouse gas emissions by 2030. Details on how this would be done were omitted. One social media wag commented that since the land invasions of the 2000s the destruction of the economy has already achieved the 40% reduction target – we just have to be careful the economy doesn’t grow. That shouldn’t be too difficult – the current regime is only interested in self-enrichment. He also made claims that the sanctions to which he and other party bigwigs are subjected are stifling Zimbabwe’s economy and hamstringing our economy. One of his sons recently imported, by air, a Rolls Royce car valued at some US$500,000.

The local Zimbabwe dollar continues to lose traction in the economy. ED has buckled to the war veterans’ (loosely defined as those who supported the nationalists in the civil war of the 70s) demands that they get their pensions paid in US dollars. The civil servants saw this as an opportunity and made the same demand which was flatly refused. In other countries it would be unwise to anger one’s voter base but in Zimbabwe elections are predetermined so it’s not a big issue.

Our gardener comes from the rural north of the country and he says that there the US dollar holds sway – don’t bother offering local dollars. My senior foreman comes from the east and there the local dollar is still acceptable in some situations. While it’s not illegal to price in US dollars it is illegal to convert it to the local equivalent at anything but the official rate which is determined by the central bank’s (Reserve Bank of Zimbabwe) daily auction rate. Senior figures at a local company were charged for this infraction and I have noticed that signs claiming the rate of exchange used in their outlets became prominently displayed. Everyone else is ignoring it and the black market rate continues to climb. It’s now around 200 local dollars to 1 US dollar whereas the official rate is 105.

We paid Gentleman John in US dollars because we do like him and he does a good job, this one was no exception. My revenge on him giving him Marianne roses was to give him a bar of Lindt chocolate for his wife who I hoped would to ask why. I haven’t heard back.


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John the Baptist was a Zimbabwean

13 05 2019

The Herald in full sycophant form

It’s an old joke; apparently when asked if he was Christ, John the Baptist replied “I am not the one”. It’s also the favorite escape clause for Zimbabweans when faced with a potential penalty for some misdemeanor.

And so it was, two weeks ago, when I discovered that the electronic scale we use for weighing fertilizer and chemicals had been broken by someone overloading it – I got just that response from the person most likely to have been the culprit, “I am not the one”. I’m afraid to say I lost my temper. Then I realised that there were customers with small children in the nursery. I should have been embarrassed except I wasn’t though I did recognize that something needed to be done about my increasingly volatile temper – so now I’m on the “happy pills”.

When I saw this headline on The Herald (it’s a government-owned paper) I was struck by how the President, ED Mnangagwa, is effectively saying “I am the one, I am taking responsibility for what I say, trust me”. Well isn’t that interesting. His slogan for the election last year was “Zimbabwe is open for business”. Then in the troops hit the streets at the first sign of unrest and promptly shot dead 6 people in the back as they ran away. Footage was broadcast of a soldier taking aim and opening fire – clearly identifiable. At the inquest the army said it was very definitely not responsible; they were imposters who opened fire. Later ED Mnangagwa said he had ordered the troops onto the street i.e. he was the one responsible though initially he said he was NOT the one.

Back in the mid 1980s when the Ndebele people in the south-west of the country were being persecuted and massacred for supporting the then president Robert Mugabe’s nemesis, Joshua Nkomo, guess who was in charge of the Central Intelligence Organisation whilst North Korean trained 5th Brigade was committing the massacres? You guessed it, ED Mnangagwa. He hasn’t quite said he was not the one but he does claim that he didn’t know anything about it.

The Gukurahundi Massacres (around 20,000 victims) as they are known are back in the news and the President has said that justice must be seen to be done. Victims are being given proper burials and a commission has been set up to investigate what happened. I am sceptical that anyone will be held accountable, least of all ED or the then commander of the 5th Brigade, Perence Shiri, who happens to be the current Minister of Agriculture. So I think it should be quite likely that “the investors” in the article might also be a little cynical when the President “gives his word”. No I didn’t read the article. It wasn’t my newspaper – it was lying unopened in my local bank and I didn’t feel inclined to wade through what was bound to be a lot of sychophantic guff.

A friend of mine always used to buy The Herald; “you have to know your enemy” he’d admonish me when I asked him why but even the happy pills I’m taking don’t fortify my patience to that level. I don’t think they are meant to. But they might actually be calming my temper – I haven’t lost it since that day but then nobody has claimed they “are not the one”.


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The Zimbabwe economy beetle

1 12 2018

The economy beetle

The Zimbabwe economy and this beetle have more in common than one might think.

They are both lying flat on their back.  Fuel queues have returned with a vengeance just 2 weeks after the last episode faded away and we breathe a sigh of relief. It turned out to be a temporary respite. Talking to a customer this morning he said that he’d pulled into a local filling station to be told that they were only accepting real US dollars (our local version is now known as “bond”) and that would be as international credit cards not cash, thank you.

The government insists that the local bond and the US dollar are still equal value but anyone, or should I say  everyone, knows that it is around 3:1. In a curious twist the local tax/revenue authority has announced that all taxes on revenue earned in US dollars must be paid in the same – even thought they are both officially valued the same. The accounting sector is flummoxed.

Neither has any idea how to get back on their feet.  President ED Mnangagwa’s international charm offensive prior to the recent general election was “Zimbabwe is open for business”. It drew a lot of interest as Zimbabwe is resource rich and potentially attractive to investors – an obvious way to get the economy going again. That all crashed in a bloody mess this past August when soldiers opened fire on protestors at a rally called by the opposition MDC Alliance to give vent at the blatantly fiddled results.

Both are hoping someone will be kind enough to help.  The beetle is pathetically waving its legs in the air, trying to get some purchase on the cement –  it has little chance of success. I don’t see any solution for the Zimbabwe economy either. The finance minister, Mthuli Ncube, has the dubious distinction of being in charge of the local Barbican Bank which collapsed a few years ago. He is also being advised by local economist Eddie Cross. Cross was a vocal supporter of the opposition MDC but now is a ruling party apologist. I have yet to hear him speak any sense. Back in 2016 when the local bond currency (so called because it was said by the government to be backed by a bond from the Afrexim Bank in Egypt) was introduced he predicted that the supermarket shelves would be empty within 2 weeks. They are not.

Everything is very expensive but Marianne (my wife) found Belgian butter on Tuesday at less the the price of local butter and half the price of a South African brand. At the time the Afrexim Bank would not provide details on the purported bond which was later discovered to be non-existent. The currency is based on an illusion. No-one can fathom why it still has any value at all. Perhaps the government is hoping it will collapse and then they won’t have to bother with it. Those people lucky enough to have an essential business with little or no competition are managing to successfully demand payment in US dollars and will likely survive. They are also taking the opportunity for a bit of price gouging.

My business is not one of these. I have a lot of competitors who are charging less in bond currency than I was charging in real US dollars 8 years ago. Given that fertilizer and chemical costs have more than doubled in the last 2 months I have no idea how they are going to replace them. I have had to slash my prices to compete and hopefully out-last them. I have enough raw materials and inputs for another 6 months or so – it’s going to be a nerve wracking process.

I picked up the beetle and put it on a patch of lawn where it quickly scuttled off. The Zimbabwe economy will not be so lucky.

 

 

 

 


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Open for business – sometimes

12 10 2018

Well I never, photo ops on stamps

The price spike when it came was as sharp and high as it was short. Last week a surprise announcement by the finance Minister triggered a slump in the exchange rate between local currency and the US dollar.

By Wednesday the value of the local dollar was 4 : 1 with the US dollar. Panic  buying spread to the supermarkets and taxi fares jumped 50%. I had managed to squeeze a pre-payment out of the company for whom we grow a large number of gum trees and dashed off to spend it. I was relieved to find that the fertilizer I bought had only doubled in price and I wondered what to do with the rest of it.

Yesterday I went shopping for roofing nails that we needed to finish off a carport for the new tenant in the cottage. The first hardware store I visited was shut. There were notices stuck to the doors but I did not bother getting out of the car to read them. The second store in the same shopping centre as the local Spar supermarket was also “Closed for Stocktaking” but they opened up when they saw me. The didn’t have the nails and were only accepting US dollars cash. The supermarket was closed

Closed for business

Only in Zimbabwe can one get a 90% discount

and Marianne told me that the previous day they were limiting items to one per customer – including toilet rolls. Panic buying was rife at other supermarkets that were said to be struggling with the influx of shoppers – nothing proliferates panic buying like panic buying.

On the way to work I visited another hardware store. They didn’t have quite what I wanted but we made a plan and I was given a 90% discount for using US cash. This is of course not comparable to the comparison between the local currency and US dollars in November 2008 but that had been years in development, not days.

On the way to the Central Sorting Office this morning to collect a parcel I attempted to get past a queue for fuel on Glenara South Avenue. Just as I thought I was making progress cars started to pass on my right and soon there was 4 lanes of traffic going one direction on a road designed for 2. Fortunately there was a road to a field on my right and I managed to get turned around and take the longer, but quieter, route.

The ladies at the sorting office asked me how I was. Resisting a facetious reply I answered in one of the few Zulu words I still know which translates to “I am here”. We agreed it was appropriate.

Getting back to the nursery I contacted Tony who has the keys to the fuel tank where I store the diesel I bought earlier in the year when there was another fuel shortage scare that didn’t develop into much. He told me his son, who follows these things, had told him the rate had dropped to 2 local dollars  to 1 US dollar and the whole spike had been driven by the government buying US dollars to pay off a debt the country owes. By 5 p.m. this afternoon my staff told me that the rate was 1.9 local to 1 US, down from 4.8 yesterday. Perhaps a sense of normality has returned but I suspect rates as reflected in the shops will not be this low – people will be very jittery and will want to maintain a buffer. I strongly suspect that some outlets will continue to demand US dollars.

Zimbabwe’s president, E D Mnangagwa campaigned with the slogan that “Zimbabwe is open for business”. I was unaware that he’d gone so far as to get the slogan put onto stamps with him schmoozing at Davos earlier this year with the likes of Christine Lagarde and the Chinese premier, among others. Investment has been slow in coming, not least because of the violent repression of protestors after the recent general election that was heavily slanted towards the ruling party, ZANU-PF. The past 10 days of chaos are unlikely to convince anyone that now is the time to invest.

On Wednesday there was a small horticultural expo at a local hotel. I went along hoping to pass out business cards and make a few useful contacts. It was a very small affair geared mainly towards the export flower market but I did have an interesting conversation with a French representative of the rose breeding company, Meilland. He recounted a meeting with the local French ambassador the previous day where he was told that there was considerable interest in Zimbabwe but potential investors were not ready to commit just yet. We may be open for business but investors are not convinced.

 


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Waiting to see – as we usually do

26 07 2018

Heading towards the worst month in the nursery since 2009. Will it change after the election?

We’ve done a  lot of waiting and seeing in Zimbabwe but this is arguable the most crucial one. There’s a general and presidential election on the 30th of this month and the outcome really will define the foreseeable future of the country.

After a slow start the campaign for all concerned has got into high gear. Trees, lampposts and walls everywhere are festooned with posters for the hopefuls – and there are many of them. Not surprisingly politics is seen as the path to easy wealth and everyone wants a share. By far the most expensive campaign has been by the incumbent party (ZANU-PF) and the current president E.D. Mnangagwa who is usually just known as ED. His visage is on billboards throughout Harare often with the slogan “Zimbabwe is open for business”. Indeed, he has been saying all the right things that might interest investors including scrapping the 51% indigenous ownership of foreign based companies, compensation for commercial farmers (mainly white) who were kicked off their farms by the Mugabe regime and a free and fair election. Anyone is welcome to come and observe the elections and indeed on Wednesday I saw an EU observer team vehicle parked in town. ED has come across so far as supremely confident that he and his party will win the election without any obvious subterfuge. The key word of course is obvious because, as always in Zimbabwe, all is not as it seems.

The Zimbabwe Electoral Commission (ZEC) which is responsible for organizing all aspects of the election is most certainly partisan to the ruling ZANU-PF. Among their transgressions have been not releasing an electronic voters’ roll to the opposition parties, not listing presidential candidates in alphabetical order (ED’s name and photo is top thus biasing his chances), making the voting form a double sheet of paper (it should be single) and saying they are not answerable to anyone. The head of the ZEC has also been photographed wearing ED’s trademark Zimbabwe colours scarf and wouldn’t say when the photo was taken. Ghost voters abound on the roll some of whom are evidently the oldest people in the world. Whilst the bio-metric voters roll was put together in a rush and errors were bound to crop up people are wondering if they will be corrected in time for the poll.

The most credible opposition is the MDC Alliance. Once the MDC (Movement for Democratic Change) was a single party but I have lost count of how many factions there now are. For the moment they seem to have patched over their differences and their presidential candidate is one Nelson Chamisa who has impressed me not at all so far. He seems prone to making silly campaign promises such as a high speed train that will link the capital Harare and Bulawayo the second city in the south of the country. Given that is 450km that will make it the fastest train in the world. That aside he has been touring the country and if the pictures are to be believed the stadiums have been packed. The colour of choice for the MDC Alliance is red which does rather remind me of the EFF (Economic Freedom Fighters) party in South Africa which is known for it’s extreme views on taking land without compensation. It’s headed by the firebrand Julius Malema who has a very thin grasp of economics and models himself on the late Hugo Chavez. I hope that the colour is the only thing in common between the MDC and the EFF.

What I have not heard from any political party is any coherent policy to alleviate the critical cash shortage. The head of the central bank has stated that after the election he will flood the country with US dollars to put the black market traders out of business. Quite where the money will come from has not been stated.

The currency black market is flourishing at a level reminiscent of the Zimbabwe dollar days. My friend Shelton, who is also my French teacher, tells me that the currency traders are openly trading in the centre of Harare (he also tells me that the marijuana dealers are also trading openly but that’s another story). There are several rates depending on what is being traded. Bank transfers for US cash commands about 1.8 or more to US$1 cash. Bond notes, the Zimbabwe equivalent to a US dollar but only valid in the country, trade at about 1.6 or 1.7 to US$1 cash. Mobile banking on a cell phone is about the same as a bank transfer. Apparently there is no shortage of of either type of cash which is curious given that it is vanishingly rare in the shops and banks.

About 2 weeks ago a rumour did the rounds suggesting that the central bank was going to start issuing Zimbabwe dollars again. This started panic buying of US dollars cash and the rate, which had been stable for about 8 months, started to run. I wouldn’t be surprised if the rumour was started by those with the cash (both types), who are known to be the political fat cats, to force a run on the rates before the election.

All my accounts, both company and personal, are in US dollars – it says so very clearly at the top. We all know that they are not US dollars as we cannot go to the banks and get any and the “street rate” is fast closing on 1:2. This is going to pose a major problem for whoever wins the election. Zimbabwe imports a lot of goods, mostly from South Africa, and prices have gone up because those who are doing the importing are doing so at inflated rates. I bought a sheet of plywood this week to put in some extra cupboards at the office and it had more than doubled in a year. I paid by debit card so that would go into the seller’s bank account and immediately be registered as US dollars. Assuming that we do revert to “real” US dollars after the election those who have been charging at the street rates stand to have made a lot of money. I deal in seedlings and when the rates started to run towards the end of last year tried to put up my prices. My customers raised merry hell and I had to bring them down again or risk losing customers. That they put up with increasing prices elsewhere for chemicals, hardware and general cost of living didn’t seem to bother them as odd.

The public’s mistrust of the banks and the banking system is profound so that any cash released into the banking system will soon be mopped up by withdrawals that most certainly will not be redeposited and we’ll end up with a cash shortage of the type we’re experiencing now. I don’t see how this can be solved in the short term. The nation has made significant progress towards becoming “cashless” – payments are made using debit cards and a number of mobile phone platforms. As a result I have little need for cash but I would like to have the choice of using it if I want to.

As I write this the election campaigns are running furiously. The incumbent president, ED Mnangagwa, has gone so far as to woo the white electorate with a purpose-designed rally at Borrowdale racecourse in Harare. He must be feeling a bit nervous to go to that effort; there are very few whites left in the country and their vote is all but inconsequential. I predict a close result. Quite what the military, who were instrumental in removing Mugabe from power and installing ED will do if the opposition wins remains to be seen. Will they throw their lot in with the MDC and Nelson Chamisa? They must be only too aware that should the MDC win they and others in ZANU-PF may well be held accountable for their sins in violent election fixing in past elections. As usual, we will wait and see.


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