Boosting Malawi’s Agricultural Economy: What Cotton Farmers Can Expect in the Upcoming Sales Season
Key Business Points
- Cotton prices are expected to rise, with the government setting a minimum buying price of K1,400 per kilogramme, up from K900 per kg last year.
- Farmers are projected to sell 22,000 metric tonnes of cotton this season, a significant increase from last year’s production of less than 10,000 metric tonnes.
- Investment in the cotton sector is expected to boost output, with an injection of K2.8 billion helping to provision certified seed and pesticides, leading to a potential 238% jump in cotton output.
The cotton industry in Malawi is gearing up for the long-awaited opening of the Cotton Marketing Season, which is set to take place on Friday. Farmers have expressed satisfaction with the government-set minimum price of K1,400 per kilogramme, a significant increase from last year’s price of K900 per kg. This price hike is expected to benefit farmers, who are projecting to sell around 22,000 metric tonnes of cotton this season.
Cotton is a key crop to Malawi’s economy, and the country is expecting a fair season with improved production. The Cotton Council of Malawi spokesperson, Prisca Jamali, said that preparations are going well, and they expect a good season with improved production. However, some farmers have expressed concerns about the impact of dry spells, which delayed planting in some areas and affected the crop’s output.
The Cotton Farmers Association of Malawi president, Labson Zidana, acknowledged improvements in the number of farmers that have grown cotton this year, but noted that dry spells have affected the crop’s output. Salima-based cotton farmer, Vincent Manda, said that he expects to harvest 30 bales from three hectares, but noted that the production this year will be affected by dry spells.
The Malawi Cotton Company Limited field manager, Yohane Jim, said that ginners are ready to roll out the exercise in coordination with the council, but noted that it’s difficult to predict how much they will buy as it depends on supply. The Cotton Council of Malawi executive director, Cosmas Luwanda, said that cotton output will jump by 238% this season thanks to an injection of K2.8 billion that helped to boost output through provision of certified seed.
The council has projected that this year’s crop is expected to raise K30.8 billion at an average price of K1,400 per kg, compared to K5.9 billion realised during the previous season. As cotton is the country’s fourth foreign exchange earner after tobacco, tea, and sugar, a good season is expected to have a positive impact on the economy. With investment in the cotton sector expected to boost output, there are opportunities for local entrepreneurs and investors to get involved in the sector. As Malawians say, "Mangolo ndi mphunzitsi" – the future is in the hands of those who prepare for it.
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