World Bank has urged Malawi Government to reform Agricultural Development and Marketing Corporation (Admarc so that it is able to play the role to which the corporation was established.
Speaking at Bingu International Convention Centre (BICC) in Lilongwe during the launch of Enabling Business of Agriculture 2019 (EBA 19), World Bank Country Manager Greg Toulmin said Malawi should not just make reforms but should also be able to implement the reforms.
The event was jointly coordinated by the Ministry of Industry, Trade and Tourism (MoITT) and Ministry of Agriculture, Irrigation and Water Development (MoAIWD) in collaboration with the World Bank.
Greg says the EBA 19 report assess and ranks governments whether they make it easier or harder for farmers to operate their businesses.
The report identifies actionable reforms to remove obstacles for farmers seeking to grow their business of agriculture.
The Bank Country Manager said Malawi has fared badly in the report due to access to seeds, fertilizer sustaining livestock and failing to protect plant health.
Enabling the Business of Agriculture 2019 presents indicators that measure the laws, regulations and bureaucratic processes that affect farmers in 101 countries.
The study covers eight thematic areas: supplying seed, registering fertilizer, securing water, registering machinery, sustaining livestock, protecting plant health, trading food and accessing finance.
The report highlights global best performers and countries that made the most significant regulatory improvements in support of farmers.
According to Admarc chief executive officer Felix Jumbe, the State produce trader has over the years been dysfunctional, resulting in most farmers being at the mercy of intermediate buyers.
Jumbe said if Admarc will operate at a high-scale commercial rate, it will be able to deliver high-value products for both local and international markets.
He said: “The resuscitation of Admarc commercial arm will trigger efficient and sustainable production because farmers will be assured of ready markets within their reach.”
Jumbe said there is need to capitalise the commercial aspect of Admarc through commercial planning and also engaging commercially oriented experts to deliver the commercialisation plan.
He said other traders requiring large volumes may also be able to use Admarc to get aggregated volumes of farm produce.
Jumbe explained that through the commercial arm of Admarc, it will also help to enforce the adaptation of minimum prices set by government, saying most traders dupe farmers by offering prices below the set minimum.
Currently, Admarc operates 700 markets and nine major depots nationwide. Out of the markets, 205 are classified as uneconomic.Follow and Subscribe Nyasa TV :