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The Times Group > Blog > Business > Agriculture’s resource allocations skewed
Business

Agriculture’s resource allocations skewed

Times News
Last updated: 2026/02/05 at 6:01 PM
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MAIZE
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By Mcloyd Chilangiza:

Malawi’s food system is being weakened by persistent underfunding and one-sided public spending, with maize getting over 40 percent of agricultural sector resources.

This is according to findings by agriculture policy think-tank Mwapata Institute.

The findings are contained in its December 2025 Policy Brief, titled ‘Policy Lessons for Localising the Food Systems Transformation Agenda in Malawi’.

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It says between the 2016-17 and 2021-22 fiscal years, government agricultural expenditure was skewed towards short-term consumption support rather than competitive and resilient agri-business sector investments.

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According to the brief, 41 percent of the agriculture budget was used for inputs, largely maize seed and fertiliser, under subsidy programmes.

About 12 percent was absorbed by food aid and maize distribution, the institute says.

In contrast, commercial agriculture received minimal funding, with irrigation accounting and extension services receiving 6 percent each, and research and training getting 4 percent.

The Mwapata analysis further shows that key support systems for agribusiness development such as storage infrastructure, post-harvest handling, food safety enforcement and waste management remain severely underfunded, increasing losses along the value chain.

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The study, which was piloted in districts that include Mzimba, Dedza and Chikwawa, further documents weak enforcement of food safety standards, misuse of agrochemicals and poor waste disposal practices as factors that raise production costs for agribusinesses while exposing farmers and consumers to health and environmental risks.

Mwapata proposed rebalancing public spending to accommodate irrigation, research, extension services and diversified crop value chains to avert food insecurity, nutrition deficits and climate vulnerabilities.

In the 2025-26 revised budget, the government allocated K241 billion to the Farm Inputs Subsidy Programme.

The findings come at a time Malawi is grappling with mounting fiscal pressure and rising public debt, estimated at over K22 trillion, which could affect financing of long-term agricultural initiatives.

Agriculture policy expert Tamani Nkhono Mvula warned that the continued prioritisation of short-term consumption support over productivity-enhancing investments posed serious risks to economic growth and food security.

Mvula said Malawi’s current investment model remained heavily focused on rain-fed and subsistence production, centred on maize, which limits the sector’s ability to grow.

“Public debt is already unsustainable and agriculture is one of the sectors where we should be investing strategically to get out of this trap,” he said.

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Times News February 5, 2026
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