The Common Market for Eastern and Southern Africa (Comesa) and the Government of Malawi, have signed a €900,000 (about K1.75 billion) sub-delegation agreement to construct a cross-border market in Mchinji District.
The market will be constructed some 20 Kilomiters from the Mchinji/Mwami One Stop Border Post.
Trade Minister Sosten Gwengwe signed the agreement on behalf of Malawi while Comesa Secretary General, Chileshe Mpundu Kapwepwe signed on behalf of Comesa a virtual event.
Comesa said in a statement that the traders’ market is funded by the European Union, under the 11 European Development Fund (EDF), Small Scale Cross Border Trade Initiative (SSCBTI).
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SSCBTI supports the provision of gender sensitive basic infrastructure for use by small scale cross border traders.
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Among others, the facility will have a market shelter, breastfeeding shelter, warehouse, shops, office block and public ablution block for the market.
According to Comesa, the provision of this market infrastructure is expected to boost formal small-scale cross-border trade flows between Malawi and Zambia.
It further says this will lead to higher revenue collection for governments, increased security and higher income for the small-scale cross-border traders.
“The availability of border market infrastructure will increase the connection between traders and customers and lead to reduced losses, especially in perishable stock, according to an assessment carried out by consulting firm, Imani Development in May 2017.
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“The assessment was conducted at the following border posts; Kasumbalesa (DRC and Zambia), Chirundu (Zambia and Zimbabwe), Nakonde/Tunduma (Zambia and Tanzania), Mwami/Mchinji (Zambia and Malawi) and Moyale (Ethiopia and Kenya). The assessment identified basic workspace infrastructure at the border as a major requirement of small-scale traders,” reads the statement in part.
Gwengwe, applauded Comesa and the European Union for the support that has been given to the Government of Malawi.
The Trade Minister promised to ensure that through this support, a well-designed structure will be built, through the selection of an appropriate construction firm to ensure that the market meets the needs of traders in Mchinji.
On her part, Kapwepwe said the modalities of implementation of the sub-delegated activities provides an opportunity for Malawi to maximize the benefits of small-scale cross border trade with Zambia and other members of Comesa.
“This development comes at an opportune time for Malawi and will complement the increased trade expected at Mwami-Mchinji One Stop Border Post,” she said.
