In a stark illustration of economic hardship, Malawian farmers are resorting to selling their crops well before harvest, accepting drastically reduced prices to meet immediate household needs. This desperate measure, driven by escalating financial pressures, threatens to undermine both farmer livelihoods and the nation’s agricultural economy.
Across the country, reports are emerging of farmers selling 50kg bags of maize for as little as K20,000, a pittance compared to the current market price of K100,000, and significantly below the K39,500 offered at state-run Agricultural Development and Marketing Corporation (Admarc) markets. Similarly, tobacco farmers are selling their “green gold” for a mere K1,000 to K1,500 per kilogram, a far cry from the potential K7,000 it could fetch at the official tobacco market.
“Farmers are effectively forfeiting K5,000 per kilogram,” lamented Abiel Kalima-Banda, president of Tama Farmers Trust. He warned that this practice not only deprives farmers of vital income but also risks affecting buyer demand and foreign exchange earnings. “For five years, we have struggled to meet buyer demand, and this is a major contributing factor.”
The practice, known as “side selling,” is a clear violation of the Tobacco Act, according to Nixon Lita, CEO of Tama Farmers Trust. He pointed out that such transactions fuel cross-border smuggling and contribute to loan defaults.
Maness Nkhata, president of the Farmers Union of Malawi, acknowledged the widespread desperation and called for urgent interventions. “We need to diversify farmers’ income sources to help them navigate these lean periods,” she said, advocating for contract farming and marketing arrangements to provide financial support.
Grace Mijiga Mhango, president of the Grain Traders Association of Malawi, expressed little surprise at the situation, citing widespread financial hardship. She added, “This price sets a dangerously low minimum buying price for maize in the current season.”
The situation has drawn the attention of Parliament, with Sameer Suleman, chairperson of the Parliamentary Committee on Agriculture, demanding immediate government action. However, Minister of Agriculture Sam Kawale remained unresponsive to requests for comment.
The Ministry of Agriculture, mandated to set minimum farmgate prices, faces increasing pressure to address the crisis and protect farmers from exploitation. The pre-harvest sales, a symptom of deep-seated economic vulnerability, highlight the urgent need for sustainable solutions to support Malawi’s agricultural sector.
