Agricultural expert, Leonard Chimwaza, has called for the recapitalisation of the Agricultural Development and Marketing Corporation (ADMARC), saying increased investment in the state grain marketer would enhance food security and improve market access for farmers across Malawi.
His remarks come as ADMARC prepares to purchase approximately 5,500 metric tonnes of maize at a price of K45,000 per 50-kilogramme bag.
The exercise will be financed through K5 billion recently released by the government as part of a K60 billion maize purchase budget for the 2025/2026 agricultural season.
Speaking to Chanco Community Radio, Chimwaza described ADMARC as a strategic institution that requires adequate financing to effectively fulfil its mandate.
“ADMARC plays a critical role in ensuring that farmers have a reliable market for their produce while also helping the country maintain food security. For this reason, the institution needs sufficient capital to operate efficiently and independently,” said Chimwaza.
He noted that recapitalising ADMARC would not only improve its operational capacity but also increase confidence among farmers and potential investors.
“When ADMARC is adequately funded, it can purchase larger quantities of produce from farmers and make timely payments. This encourages farmers to increase production because they are assured of a ready market,” he explained.
However, Chimwaza expressed concern over the government’s decision to release funds in instalments, warning that the approach could negatively affect maize procurement.
“The challenge with releasing funds in small portions is that ADMARC may fail to reach all the farmers it intends to buy from. Some farmers may be forced to sell their maize to vendors at lower prices due to uncertainty or delays in accessing ADMARC markets,” he said.
According to Chimwaza, inadequate funding could also have broader implications for the country’s food security efforts.
He therefore urged government to consider long-term strategies aimed at making ADMARC financially sustainable.
