‘AHCX to revolutionise agriculture sector’
Auction Holdings Limited (AHL) chief executive officer Evans Matabwa says the establishment of the AHL Commodities Exchange (AHCX) will set the terms of trade for the country’s agricultural produce.
He said the AHCX, developed to provide an organised and efficient commodity marketing platform for producers and traders of agricultural commodities other than tobacco, will also translate into an economic revolution for the country.
The benefits of the AHCX will accrue to the farmers, traders, financial institutions, service providers and the national economy.
At the business launch of the AHCX in Lilongwe last week, Matabwa said time has come for the Malawian farmer to benefit from his sweat.
Said Matabwa: “This is about the commitment of each and every stakeholder in ensuring that our farmers are equipped with relevant information which will help them bargain for better prices.
“This is about creating an environment where buyers and traders should reduce their operational costs because they are part of an organised marketing chain.”
He said AHCX has created a marketing situation where the buyer no longer dominates in determining the price, instead an equilibrium price will be discovered through a transparent and market-driven mechanism.
Chinese Ambassador to Malawi Pan Hejun, who was the guest of honour at the launch, commended AHL for setting up the AHCX because the country has potential for agricultural growth.
“The establishment of AHCX will improve Malawi’s marketing system and ensure that agricultural and other products from Malawi can effectively compete on the commodities front.
“More importantly, it will transform the current trading system to a more transparent, fair and efficient one,” he said.
Pan said agriculture does not only provide food to the people, but also acts as the basis for the development of almost all industries in the world.
“A solid agriculture foundation can ensure food security, generate wealth through export and supply raw materials to the manufacturing sector,” he said.
Deputy Minister of Agriculture Ulemu Chilapondwa also commended AHL for setting up the AHCX, noting that farmers will be the greatest winners.
“If we have more markets which are organised like the commodity exchange, then time to worry about middlemen is almost gone,” he said.
He said the AHCX will go a long way in supporting government’s agenda on agricultural diversification and National Export Strategy (NES) on agricultural produce aimed at complimenting tobacco in foreign exchange generation.
