Experts call for action on non-profitable markets

Agricultural experts have called on government and stakeholders in the agriculture sector to address the existence of non-profitable markets in the country.

Civil Society Agriculture Network (Cisanet) and its partners have said this ahead of the annual Agriculture Policy Conference which starts in Lilongwe today.

The conference is themed Africa Continental Free Trade Area: Opportunities and Challenges for Agriculture in Malawi.

In a statement, CisaNet national director Pamela Kuwali said few farmers in Malawi are market-oriented due to market failure that limits their ability to be linked to formal markets.

She said this is happening at a time the country has sound policies and plans such as National Agriculture Policy and National Agriculture Investment Plan to provide guidance for agriculture development in Malawi.

Kuwali explained that formal, predictable and profitable markets and the country’s inability to tap into regional and global markets remain a huge challenge in the agriculture sector.

“Agricultural marketing systems in Malawi have suffered from several challenges, including deficient or missing infrastructure, policy and regulatory incoherence, and low private and public investments,” he said.

Kuwali said harnessing the African Continental Free Trade Area is an opportunity for Malawi to get back on track on its policy targets, thereby promoting access to profitable markets for farmers.

The recent Comprehensive Africa Agriculture Development Programme Biennial Review Report (2020) shows that Malawi is off-track on all commitments, including that of promoting intra-African trade in agriculture commodities and services.

Mwapata Policy Institute acting executive director William Chadza noted that the key challenge affecting Malawi’s regional trade includes lack of diversification and inadequate value addition.

He called for the the need to improve infrastructure, including railway reconstruction which would facilitate ease of doing business.

African Institute for Corporate Citizenship acting chief executive officer Driana Lwanda said Malawi needs to reposition itself to reap benefits from the AfCFTA, which offers huge and seamless market opportunities which break barriers of regional trade blocks.

“We will be subjected to differential treatment where we participate favourably just like any other economy regardless of size,” he said.