AHL chief executive officer Evance Matabwa said this at a commodity exchange conference in Lilongwe that the project is expected to start between July and August this year.
“We have already identified warehouses across the country where farmers will be selling their produce through aggregators. The crops will either be sold within or outside the country,” he said.
Matabwa said the company realised that tobacco is the only crop doing well because its market system is organised; hence, its decision to venture into the project.
“We have worked hard for two years to ensure that the markets are set up and in Lilongwe, a plot has already been identified where a warehouse will be set up and aggregators, including Admarc, will bring the crops to AHL,” said Matabwa.
He said in some places, AHL will be asking Admarc to use their deports.
“We expect the project to reduce operational costs for both buyers and sellers,” he said.
Minister of Agriculture Professor Peter Mwanza, who opened the conference, said through the project, government foresees increased production of different crops because farmers will have a ready market.
“Through this project, Malawi will be able to export its produce and create opportunities for farmers, banks, transporters, brokers and insurance companies,” he said.