Govt wants K200m debt from Chikangawa sawyers
Malawi Government has asked timber millers in Chikangawa Forest in Mzimba to settle a debt of about K200 million, saying failure to clear it is crippling operations of the Department of Forestry.
The sawyers, through their Timber Millers Cooperative Union, have since made a commitment to obtain a bank loan of K100 million to give government as collateral for the debt.
Minister of Environment and Climate Change Management Halima Daudi told the cooperatives on Thursday not to abuse government’s leniency by not paying the money.
Daudi said this during her maiden tour of the forest.
“Whoever owes us money, we ask the chairperson of the union to ensure that all pay it. It will be fair for us not to issue licences to whoever owes us money. There are trees ready to harvest, but we cannot just let people harvest them until payment is made.
“You are doing a good job. We want to help one another but government deserves its dues. I have a list of those who owe us, some K5 million, K2 million, K300 000. If you don’t pay, the Department of Forestry cannot work effectively.
“Tell us how you will pay. Make a commitment,” said Daudi, who was accompanied by her principal secretary Yanira Ntumpanyama.
The minister could not mention the figure owed, but said it was “huge” and “in millions of kwacha”.
But chairperson of the union Ben Nyondo hinted that the debt, which dates back to two years ago, is around K200 million.
The millers are panicking because their licences expired on June 30 2013 and government has to renew the papers for them to harvest the trees that are ready.
Nyondo said the millers made a commitment to obtain a K100 million bank loan as a collateral while they organise themselves to complete payment within six months.
“We owe government under K200 million. Some of it is from individual sawyers and some of the people who are no longer in the forest and the other part from cooperatives. We will pay off government and continue,” he said.
