open to ideas on promoting local products
Lack of consistency in quality, overpricing, and low capacity among local producers have been singled out as major setbacks to implementation of the Buy Malawi Strategy.
Launched in 2016, the strategy is aimed at enhancing competitiveness of local firms, stimulating local production, promoting industrialisation and enhancing the import substitution drive.
But about seven years down the line, benefits of the initiative are yet to be seen, if what consumers and commentators say is anything to go by.
Speaking on Friday at a Buy Malawi Town Hall meeting organised by the Institute of Marketing in Malawi (IMM) in Blantyre, Consumers Association of Malawi (Cama) Executive Director John Kapito faulted local producers for the strategy’s failure.
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“Many producers do not have the capacity to produce on a large scale. Also, they have been able to get away with substandard products and packaging which cannot compete with foreign products,” Kapito said.
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While the strategy was crafted to facilitate lowering of the country’s import bill, over the years, Malawi’s trade deficit has widened further.
Minister of Trade and Industry Simplex Chithyola Banda said the government has made strides in the promotion and marketing of local products but is open to input as a new strategy will be put in place.
“There are a lot of incentives that local businesses enjoy in order to promote them to produce quality products that can even compete on the international market.
“When it comes to the issue of standards, right now, the Malawi Bureau of Standards is recognised as having one of the best laboratories on the continent and, therefore, some of the challenges we were facing have been taken care of,” Chithyola Banda said.
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IMM President Isabel Kachinjika said the institute is positioning itself for active involvement in policy making, hence the Town Hall meeting.
Malawi remains a net importer with its import bill seen at $3 billion per year while annual revenue from imports stands at $1 billion.
Various policies and strategies have over the years failed to bring the meaningful and desired change in narrowing the glaring gap.
Among other things, the country is implementing the National Export Strategy II (2021-26).
Malawi, a predominantly importing nation suffers from an insatiable appetite for imports coupled with low level of exports.
