Chilli: Malawi’s highest priced crop, but ignored
In a small field in Kasungu, rows of chilli plants sit heavily laden with bright red pods catching the afternoon sun amid the traditional maize and tobacco fields that define this district.
Yet what grows here, quietly and in small quantities, has become one of the strangest puzzles in Malawi’s agricultural economy.
When the government announced the 2025/26 minimum farm-gate prices, chillies stood out at K7 000 per kilogramme (kg), the highest of any crop.
The price signalled the crop’s immense commercial value yet production in Malawi remains strikingly low.
“There are very few chilli farming cooperatives in Malawi because most farmers lack information about the crop and they do not have access to reliable markets, especially international markets,” observes Enalla Kanteleka, member of Kasungu Chilli Cooperative.
Many producers struggle to find dependable markets beyond a handful of buyers; and for Kasungu farmers, this is more than a missed opportunity as it reveals a value chain that is yet to receive the attention needed to unlock its potential.
Kanteleka believes Malawi could significantly increase foreign exchange earnings if chilli farming received the same policy support accorded to other cash crops.
According to the farmer, demand for Malawian chilli continues to outweigh supply as farmers are willing to venture into a crop with uncertain markets.
Kanteleka attributes the farmers’ hesitation, in part, to a deeper structural problem that she thinks limits government’s commitment to developing the chilli industry.
“There is little government commitment in promoting chilli farming at national level through interventions such as grants and affordable loans specifically for large-scale chilli production,” she observes.

For Kanteleka, chilli should no longer be viewed as just another horticultural crop: Instead, it deserves recognition as a strategic cash crop capable of contributing to Malawi’s foreign exchange earnings, alongside tobacco.
Another farmer, Spellina Makina, who has grown chilli long enough to know both its rewards and its frustrations, says the crop offers attractive returns while it requires relatively less labour than many crops.
“Chilli farming is rewarding and it is not as demanding as many people think,” explains Makina, adding that: “However, access to markets remains our biggest challenge because we mostly rely on off-takers.”
She further notes that dependence on a limited number of buyers leaves farmers with little negotiating power, often forcing them to accept prices determined by vendors rather than by open competition.
The farmer believes that opening up more local and international markets would encourage many more farmers to venture into chilli production.
But from the farms of Kasungu to the offices of Malawi’s Chilli Exporters in Salima, a strikingly different narrative emerges.
While chilli producers claim to be struggling to find buyers, exporters, say they are struggling to find enough farmers to satisfy an already existing market.
Vickam Products proprietor Chawanangwa Munthali says he has been trading in chilli since 2016, exporting to Malaysia, Germany and the Netherlands, but the company continues to face difficulties sourcing adequate quantities.
“We mobilise chilli growers, provide them with seed, technical capacity building and buy their produce at competitive prices,” explains Munthali, adding: “Chilli is one of the most profitable agricultural value chains because it requires relatively low inputs, while offering very high gross margins.”
Vickam is buying chilli at a minimum of $5 (about K8 680) per kg, exceeding government’s minimum set price of K7 000 per kg.
“The challenge is not the market. The challenge is that we have very few farmers producing chilli, making it difficult to source the volumes required by international buyers,” he says.
It is this gap, between the demand abroad and the supply at home that Vickam is now striving to close.
The company has launched Mission Triple 30, which seeks to mobilise 30 000 chilli growers capable of producing 30 000 tonnes of quality chilli by 2030.
According to the chilil entrepreneur, the early results the Mission Triple 30 have been encouraging.
“We are only two months into the initiative, but the response has been overwhelming: We have already registered more than 4 000 growers,” he explains.
The company operates across the country, supporting farmers with seed, technical training and guaranteed markets.
Among the groups that Vickam Products is working with is the Kasungu Chilli Cooperative, where Kanteleka belongs, a small but telling sign of how private-sector intervention is beginning to reach the ground.
For Munthali, chilli represents far more than a niche horticultural crop.
“This is a value chain that can substantially generate foreign exchange for Malawi if production is increased,” he explains: “Our goal is to become leaders in the chili value chain, while creating opportunities for thousands of farmers.”
The concerns raised by farmers are not entirely disputed by the government.
Ministry of Agriculture, Irrigation and Water Development public relations officer Salome Gangire said the ministry acknowledges that chilli has historically received less attention than crops such as tobacco, tea, sugarcane and groundnuts.
She said this is because these commodities already had established production systems, institutional support and export markets.
Gangire also acknowledges that fragmented production, inconsistent quality, low production volumes and weak market organisation have limited the development of a competitive export oriented chilli value chain.
Still, officials say the picture is beginning to shift: The government now recognises chilli as an emerging high value horticultural crop and it is strengthening efforts to commercialise the sector.
Among the interventions cited are linking farmers to structured markets through productive alliances; supporting farmer cooperatives and aggregation centres; promoting value addition and agro processing and facilitating export market awareness.
Other steps include encouraging irrigation farming and fostering partnerships between farmers and private investors.
Gangire further acknowledges that agricultural extension officers across the country are promoting chilli production under broader horticultural programmes.
“The ministry is also working with institutions responsible for export promotion to improve farmer capacity in grading, packaging, quality standards and export readiness, while encouraging investment in processing facilities,” she said.
According to the ministry, government is actively promoting private sector investment in high-value horticulture, including chilli production, processing and export.
“Through commercialisation programmes and investment promotion initiatives, Government is encouraging partnerships between farmer organisations, processors, exporters and agribusinesses,” reads the response.
“Several private companies are already working with smallholder farmers through contract farming, providing technical support, quality assurance and access to export markets,” the ministry adds.
However, the ministry acknowledges that investment continues to be constrained by inconsistent production volumes, limited irrigation infrastructure, inadequate processing capacity, high transport costs and challenges in meeting international quality and phyto-sanitary standards.
Both farmers and exporters agree that chili market is readily available with buyers waiting, dangling attractive price tags as demand exceeds supply, yet, failure to produce enough and quality chillies remain a stumbling block.
As Malawi continues searching for new sources of foreign exchange, and as the country seeks to diversify its agricultural exports, the country’s overlooked chilli sector presents a compelling question: What’s preventing Malawi from turning one of its most valuable crops into its next major export success?
For farmers such as Kanteleka and Makina in Kasungu, the answer may lie less in the soil than in the systems meant to support them and whether Malawi is ready to treat chilli not as an afterthought, but as a strategic crop that its price tag already suggests it is.



