Minister of Natural Resources Patricia Wiskes has disclosed that concessionaires in Viphya Plantations, which stretches across Mzimba and Nkhata Bay, owe the government over K500 million in concession fees.
Wiskes has since described the situation as worrisome.
Established in the 1950s, Viphya Plantations has 14 concessionaires, one of which, M’mbelwa Development Trust, entered into a memorandum of understanding (MoU) with the government.
Speaking in Mzimba District yesterday during an interface with the concessionaires, Wiskes expressed concern over the development and the overall performance of the concessionaires in managing the forestry resource as agreed.
She said that, in general, there is a lack of replanting activities by most of the concessionaires.
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Meanwhile, Wiskes disclosed that the ministry will conduct a review of individual concession agreements in the next 90 days.
The concessionaires entered into agreements with the government around 2021 through the Department of Forestry.
The concessionaires include Raiply Malawi, Total Landcare, Pyxus, Chisanga, Kawandama Hills Plantation, Consolidated Processing Industry and Reformed Timber Millers Union.
Representing the concessionaires, Paulos Mwale of Total Landcare said managing a forest is a long-term venture that can take up to 15 years of investment before returns are realised.
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Mwale also said they are fighting against illegal loggers and poachers, who at times use fire to hunt.
He further expressed concern that they pay high concession fees compared to others who also use public prime land.
“We are not the only ones using land, but others are paying lower fees than what we pay per hectare.
“Those engaged in agriculture or other ventures are paying about K1,000 to K2,000 for the lease of prime land, but we are paying $40 per hectare and on top of that we are expected to have export licences,” Mwale said.
The Viphya Plantations cover an approximate area of 53,000 hectares.
