JB commissions cotton ginnery in Karonga

President Joyce Banda yesterday officially opened a K7 billion (US$16 746 411.5) cotton processing ginnery at Ngara in Karonga.

Admarc has also constructed two other ginneries in Balaka and Ngabu, Chikhwawa.

Admarc chief executive officer Jerry Jana said in an interview at the site that the ginneries have a capacity to process 400 000 metric tonnes of seed cotton in a year.

But he said presently, due to low production of cotton, the ginneries process 150 000 metric tonnes of seed cotton which when processed into lint will earn the country $60 million (about K24 billion) annually.

Jana said Admarc is facing a challenge of low production of cotton in the country despite high demand for the produce on the international market.

“We have already received orders from the Middle East, South Africa and Germany. Our cotton is on demand because it has long fibres which they usually blend with other cotton,” he said.

Jana said to address the challenge, Admarc has contracted smallholder and cooperative growers with chemicals and seeds to improve on quantity and quality.

Speaking at the function, the President said her government is committed to promoting cotton growing through provision of loans to growers for the country to produce more cotton.

She said the ginneries are also part of the social protection programmes which her government is promoting.

The ginneries were constructed under the Indian credit line facility. Construction started in June 2012 and completed in July 2013.

In Karonga, 50 000 cotton growers are expected to benefit with a ready market for their produce.