K74bn GBA project faces funding challenges
The Greenbelt Authority (GBA) has said funding challenges are hindering efforts to implement the K44 billion Nchalo Cotton Irrigation Scheme in Chikwawa and the K30 billion Nthola Ilora Rice Irrigation Scheme in Karonga.
GBA infrastructure development manager Synoden Kautsi said on Thursday, to implement the first phase of the Nthola Ilora Rice Scheme the authority needs K15 billion while K21 billion is required for the Nchalo scheme.
But Kautsi said government has only allocated about K3 billion for each project since they were launched almost three years ago, leaving the Nchalo project stuck at 10 percent completion while the Karonga one is at 5 percent.
Said Kautsi: “The first phase is expected to be completed in 2024 and we are not on course. By now some of the works should have been completed. For example, the rice factory needed to be completed by June this year so that we could start processing rice which farmers have harvested.”
In total, GBA needs K36 billion to complete the first phase of the two projects and embark on production of the crops, which will be for both local and international markets.
“We want to generate forex for the country. We are facing a shortage of forex. We want to export the rice because other countries are looking for our rice.
“For cotton, we import a lot of fabric and it is draining our forex. So, for a start, we want to focus on the local market because that will be one way of easing pressure on forex through import substitution,” said Kautsi.
GBA has since called on the Parliamentary Committee on Transport and Public Infrastructure to help push for increased allocations during the Mid-Year Budget Review.
On his part, the committee’s chairperson Enock Phale said they will help push for funding to ensure that the schemes are constructed.
“These two projects, if completed and running, are game changers,” he said.
But Phale said the GBA should also consider engaging the private sector to invest in the projects.
According to the GBA, at full scale the Karonga scheme has potential to produce 9 000 metric tonnes of rice while the Nchalo scheme has potential to produce 10 000 tonnes of cotton. Cultivation will be twice a year through irrigation and rain fed agriculture.
