By Brenda Kayo:
Spot checks in several districts have established that farmgate prices for maize fall below the K1,050 minimum for a kilogramme set by the government.
Farmers in Nkhotakota, Kasungu, Dowa and Lilongwe districts testify that they are selling their maize at prices as low as K650 per kilogram, or K32,500 for a 50 kilogramme bag.
The development is making farmers suffer financial losses at a time when prices of farm inputs are high and expenses drive production costs high.
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In an interview, one of the farmers from Nkhotakota, Thomas Kapelula confirmed that some traders are buying maize below the recommended minimum price in some markets.
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Kapelula said farmers are being pushed into accepting low prices because the Agricultural Development and Marketing Corporation (Admarc) has not yet started purchasing maize, leaving them with limited options.
“We have no choice. Admarc has not yet started buying maize, which forces us to sell our maize to vendors,” he said.
Agricultural policy expert, Leonard Chimwaza, has since called on relevant authorities, including the Malawi Police Service, Competition and Fair Trading Commission, and the Ministry of Agriculture, to strengthen market monitoring to protect farmers from exploitation.
Chimwaza said authorities should investigate and take action against the exploitative vendors.
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However, the Ministry of Agriculture, Irrigation and Water Development insists that mechanisms are in place to monitor and enforce minimum farmgate prices through market surveillance by Development Divisions (ADDs), District Agriculture Offices, local councils, traditional leaders and law enforcement agencies.
Ministry of Agriculture spokesperson, Salomy Gangire, said the measures are currently being implemented, with field officers conducting market inspections and sensitising stakeholders to ensure compliance.
“The Ministry wishes to emphasize that minimum farmgate prices are instituted to protect farmers from unfair trading practices and to promote equitable participation in agricultural markets,” she said.
Meanwhile, National Food Reserve Agency (NFRA) has announced plans to procure 108,000 metric tonnes of maize for the country’s strategic grain reserve.
NFRA Chief Executive Officer Bruce Munthali said the agency will procure 86,500 metric tonnes through a competitive tendering process, while the remaining 21,500 metric tonnes will be purchased from traders, setting the price at K1000.
