By Pemphero Malimba:
The Agricultural Development and Marketing Corporation (Admarc) says it will take time to revamp its operations because it needs at least K900 billion—an equivalent of 15 percent of the 2024-25 national budget—in the next five years.
The once-vibrant State grain trader has been sailing in troubled waters for years now, constantly seeking bailouts from government.
It barely fulfils its responsibility of being a “farmer’s friend”.
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Admarc Business and Operations Committee Chairperson Tamani Nkhono Mvula said the funds that the grain trader needs are for irrigation farming, agriculture input marketing, value addition and market rehabilitation, among other tasks.
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“It might take us a little bit of time to restore our glory, but what we are saying is that we have a strategic plan where, for the next five years, we should be around K900 billion. We should also be able to invest to achieve [goals of] our strategic plan,” Nkhono Mvula said.
He was speaking in Salima Wednesday when members of the Parliamentary Committee on Agriculture and Irrigation inspected Admarc markets in the district.
The inspection came barely a week after the parastatal commenced the purchase of farm commodities across the country.
Nkhono Mvula believes that if resources will be available, the investment that the State-owned company intends to venture in has the potential to help it achieve its goals.
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“For this year, what we had planned was for K100 billion, but we had an allocation of about K40 billion from the government. So, we will see how we can cover that gap.
“We believe that in the next five years, we will be able to make a significant change through all the activities that we have planned to do within the period,” he said.
The Admarc board member added that they expect more funds to come from the government, the company’s business ventures and banks.
“Some of the initiatives that we want to do have already started while others will start soon. For example, we are planning to start irrigation farming in Mangochi this year while the sale of fertiliser will start in July, when we expect to put on sale 200,000 metric tonnes,” he said.
Vice Chairperson for the Agriculture and Irrigation Committee of Parliament Ulemu Chilapondwa pledged that the lawmakers would support Admarc in its ventures.
Chilapondwa said they will push government to help the State grain producer invest in production.
“We have been supporting Admarc and we will always be there to support the corporation,” he said.
Chilapondwa also expressed satisfaction with how Admarc was undertaking the process of purchasing farm commodities in its markets.
“Government should continuously fund Admarc so that the institution does not, at any time, run out of resources,” he said.
Earlier this month, Admarc Chief Executive Officer Dan Makata said the parastatal had received funds from government and that K22 billion had been set aside for buying 33,848 metric tonnes of maize and other crops.
Government has set prices of maize at K650 per kilogramme (kg), soya at K800 per kg, paddy price at K650 per kg and beans at K1,200 per kg.
In 2020, Admarc said it needed at least K300 billion for re-capitalisation to help the institution run its operations, including buying farm produce.
