Illovo Sugar Malawi’s production has fallen by approximately 25 percent from its 2021 peak of 297,000 tonnes, with the company now producing just over 200,000 tonnes annually, Managing Director Ronald Ngwira said on Monday.
Figures show that the company produced 272,000 tonnes in 2015, and the output peaked, at 297,000 tonnes, in 2021 before it dropped to 223,000 tonnes in 2025.
Speaking at a media engagement in Blantyre City, Ngwira attributed the decline to adverse weather and shifting rainfall patterns that have reduced processing capacity.
“Over the last 10 years, you have, indeed, seen quite a bit of fluctuation. The company hit a low of 211,000 tonnes following five adverse weather events including three cyclones and two floods within five years.
“This year, rainfall in Dwangwa [Nkhotakota District] continued until the end of May, six weeks longer than normal, causing the factory to lose six weeks of processing capacity. Nchalo lost about one month at the beginning of the season. You cannot process sugar in the rainy season. So, when the weather [and] seasons change, it impacts how much sugar we can produce,” Ngwira said.
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The company has more than 70,000 tonnes of sugar in warehouses, enough to supply the domestic market through to April, when processing is expected to resume.
Illovo has been forced to adjust its export strategy as domestic consumption has surged from 150,000 to 160,000 tonnes a decade ago to over 200,000 tonnes, driven by what Ngwira described as illegal cross-border trade.
Exports have dropped from 120,000 tonnes annually five years ago to just 12,000 tonnes in the 2025 financial year.
“Export predictability is important to ensure that we have the customers and we keep those customers. The reduced exports have put pressure on foreign exchange generation needed for operations,” Ngwira said.
