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Demand for Malawi Rice on the rise—EDF

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With the allure of tobacco fast dwindling on the global market, demand for Malawi’s kilombero rice seems to be on the rise with countries such as Venezuela enquiring for 200 000 metric tonnes (MT) this year.

Malawi’s kilombero rice is famed for its aromatic flavour and is one of the most sought agricultural produce worldwide.

Figures from Export Development Fund (EDF), a financing institution for export business, show that the Democratic Republic of Congo (DRC) and Zambia are each looking for 100 000MT while Zimbabwe wants 56 000MT.

Demand for Malawi Rice on the rise

 

This demand has compelled EDF to engage farmers under cooperatives to grow rice on its behalf in view of the available market.

In an interview on Monday, EDF chief executive officer Rodrick Wiyo said they engaged some farmers who are expected to produce 100 000MT of rice this year and that EDF has already started buying the crop.

EDF has engaged cooperatives from Bwanje in Ntcheu, Bua in Nkhotakota, Madisi in Dowa, Santhe in Kasungu, Wovwe and Hara in Karonga and Limphasa in Nkhata Bay.

Said Wiyo: “Farmers have already started harvesting their rice already started harvesting and we are on the ground buying and taking it to the processors at Mtalimanja Factory in Nkhotakota.  Other farmers were doubting this initiative, but they have now joined the cooperatives.”

He said a delegation from Venezuela is in the country to discuss potential deals.

“Due to the increase in demand, we are challenging farmers who have land to form cooperatives. We will till the land for them for free and provide them with seed,” he said.

Wiyo said they are buying a kilogramme (kg) of rice at between K250 and K300, compared to K200 per kg vendors are offering.

Mtalimanja Holdings group chairperson Napoleon Dzombe said in an interview on Monday they are working with EDF on several rice projects to empower farmers.

“EDF is doing quite a lot and we are excited. By engaging many farmers to grow rice even in areas where rice does not do well and it means that our machines will be kept busy.

“With tobacco facing challenges, we need alternative crops and rice is one of them,” he said.

Dzombe said the factory at Mpamantha was underutilised due to lack of electricity and low availability of rice.

Mtalimanja Factory processes 30 tonnes of rice per day, but has the capacity to process 300 tonnes.

The Malawi government through the Enhanced Integrated Framework (EIF)Project is helping the  rice milling factory through market linkages.

Malawi Investment and Trade Centre (Mitc) earlier said the factory  has the capacity to process rice  valued at $300 million (K219 billion) annually when operating at full capacity.

The factory has been idle most of the time because of lack of rice to process. n

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