SHARE


The Agricultural Development and Marketing Corporation (ADMARC) has assured small scale farmers in the country that it will buy their maize.

These sentiments follow fears that ADMARC will not be able to buy maize from farmers in the country due to accumulated debts it has with banks.

Maize flour

ADMARC will buy maize from farmers.

But speaking to members of the press in Lilongwe on Tuesday, ADMARC acting Chief Executive Officer (CEO) Roka Mauwa said they have been funded by government to buy maize from small scale farmers.

Mauwa added that they have since bought 26,000 metric tonnes of maize from local farmers from all parts of the country.

“We got the first K6 billion and last week we got the last K5 billion, making a total of K11 billion. Our storage capacity can hold up to 400,000 metric tonnes of maize,” said Mauwa.

She added further that ADMARC is to despatch a stock of maize to National Food Reserve Agency (NFRA).

The Malawi government directed ADMARC to buy maize from farmers following a maize exportation ban in the country.

The ban has since stirred debate as some stakeholders have argued that the move will punish smallholder farmers.

ADMARC is currently failing to pay Zambia Cooperative Federation (ZFC) for over 4000 metric tonnes of maize the Malawian parastatal bought from the company.

The grain marketer was expected to pay ZCF using a K26 billion loan obtained from PTA Bank.

However, the loan was sourced through a Letter of Credit which required that payment was to be made upon delivery of all the 100,00 metric tonnes of maize and with only 4000 metric tonnes of maize being delivered in Malawi, ADMARC failed to access the K26 billion as the Letter of Credit expired on December 31, 2016.



Source link

LEAVE A REPLY

Please enter your comment!
Please enter your name here