By Cathy Maulidi:
Parliament Wednesday passed the long-awaited Sugarcane Bill, which has dragged for over 11 years.
Presenting the bill in Parliament, Agriculture Minister Sam Kawale said the bill aimed to establish a comprehensive legal framework for promoting and regulating sugarcane cultivation for industrial purposes.
“The industry has, since its introduction in Malawi, remained unregulated. As a result, growth of the industry has been slow. Further, the industry has encountered challenges, especially with respect to managing the relationship between stakeholders in the industry.” Kawale said.
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A key provision of the bill is the establishment of the Malawi Sugarcane Industry Commission, which will serve as the central regulatory body.
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The commission, according to the bill, would be responsible for promoting industry growth and overseeing its operations.
“To address pricing concerns, the bill empowers the commission to determine the price of sugarcane following consultations with all relevant stakeholders. Additionally, it proposes a formula for sharing benefits derived from sugarcane by-products.
“The bill also introduces a requirement for commission approval before the Ministry of Trade can issue sugar import or export licences, with decisions based on the domestic sugar supply situation,” Kawale said.
Another significant component of the proposed legislation is the establishment of a Sugarcane Industry Tribunal to adjudicate disputes among industry stakeholders.
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“I would like to assure Malawians that the sugarcane industry law will introduce sanity in the industry. The bill also includes provisions for the regulation of sugarcane research and grants, where the commission will have the authority to impose administrative penalties for breaches of the Act,” Kawale said.
The bill has also mandated the registration and outlines the obligations of various stakeholders, including individual sugarcane growers, sugarcane growers’ associations, transporters, millers and their respective associations.
Kawale added that the bill, once assented to by the President, was expected to enhance productivity and increase investment in the sugarcane industry, improve the quality of life of sugarcane growers through enhanced income generation and strengthen Malawi’s competitiveness in regional and global sugar markets.
Commenting on the issue of the bill, Opposition Democratic Progressive Party (DPP) spokesperson on the matter, Ralph Jooma, supported it but recommended that the ministry should include sugarcane experts, such as growers, in the commission.
The Agriculture Committee of Parliament, through Vice Chairperson Ulemu Chilapondwa, also supported the bill but recommended amendments, noting some gaps within it.
The committee made the following recommendations: “That the commission should have 13 members of which two will come from the growers’ associations and two from the miller’s association; The bill should consider the fact that some millers and growers have own lorries and trucks for transporting sugarcane;
“The bill should clearly stipulate that the Cane Supply Agreement shall conform to the guidelines set out by the commission and that the Cane Supply Agreement shall state the functions to be performed by the commission in its execution.”
During the committee stage, the minister and the House settled to have one representative from growers associations and one millers association included in the commission.
Former speaker of Parliament Henry Chimunthu Banda, who is also Member of Parliament for Nkhotakota North, could not hide his excitement following the bill’s approval by Parliament.
Chimunthu Banda, who is also a sugarcane grower, has been advocating for the tabling and passing of the bill for years.
