SFFRFM fertiliser plant project stalls

Smallholder Farmers Fertiliser Revolving Fund of Malawi (SFFRFM) says its planned fertiliser manufacturing plant project in Blantyre is still at feasibility stage and its viability will depend on the outcome of the study.

SFFRFM chief executive officer Richard Chikunkhuzeni said in an interview yesterday the delay in having the facility in place is due to procedures involved in the recruitment of a consultant.

He said: “Procedures for recruitment of consultants take long as there are many issues involved.

“You need to advertise, shortlist and get PPDA [Public Procurement and Disposal of Assets Authority] approval. So, the procedure takes time, but there is still need for results of the feasibility study to map the way forward.”

Chikunkhuzeni could not say when the feasibility study will be completed, but indicated that international companies are still willing to invest in the project.

In a separate interview, Parliamentary Committee on Agriculture and Food Security chairperson Sameer Suleman cast doubt on the capacity of SFFRFM to embark on such a project. 

Malawi Agriculture Policy Advancement Agenda (Mwapata) executive director William Chadza also doubted if the country will have the plant

“It is very unlikely for Malawi to establish the plant. I don’t know how much the fertiliser will be sold, but the rate of return would be quite longer. Maybe if could engage regional market so that the fertiliser is also sold to other markets,” he saidy.

SFFRFM announced plans to establish the plant in 2018 and said it would be up and running by 2022.

The establishment of the fertiliser manufacturing plant is part of SFFRFM reforms to ensure that the country has steady supply of fertiliser and that fertiliser prices do not escalate.