Admarc seeks K340bn for recapitalisation

The Agricultural Development and Marketing Corporation (Admarc) says it needs K340 billion for recapitalisation to ensure seamless and profitable operations of the State produce trader.

Admarc acting chief executive officer Felix Jumbe said this on Tuesday in Lilongwe when the parastatal’s management met parliamentary committees of, Agriculture and Food Security, Budget and Finance and Natural Resources.

“The role of Admarc to effect food security is supposed to be done through business,” said Jumbe, a former legislator.

He said the K340 billion recapitalisation will help Admarc to revamp itself as a serious business entity.

In April this year, Admarc also indicated that it wants to borrow K100 billion from Export Development Fund (EDF), a development finance institution.

Jumbe said the loan sourced through Parliament would be repaid to the external financiers over a period of time.

Speaking on behalf of the parliamentary committees, Agriculture and Food Security Committee chairperson Ulemu Chilapondwa said they support of Admarc’s resolve for recapitalisation, adding that farmers are suffering because of the institution’s inefficiencies and lack of sound capital.

“We will fully support this idea and the intention for the management to turn around Admarc,” Chilapondwa said.

He said the Parliamentary Committee will offer its support to ensure commercial visibility of Admarc.