Malawi Trade Commission Cracks Down on Feed, Fertilizer Price Hikes
The Commission's action reflects growing concern over the impact of rising agricultural input costs on small-scale farmers and poultry producers.
LILONGWE, Malawi — The Competition and Fair Trading Commission of Malawi issued emergency orders Tuesday to halt what it calls "excessive pricing and unconscionable conduct" by eleven major agricultural supply companies, marking an unprecedented intervention in the country's farm input market, writes Winston Mwale.
The regulatory action targets nine fertiliser distributors and two poultry feed manufacturers, including industry leaders Export Trading Group (ETG) and Farmers World.
Under the cease-and-desist orders, these companies must maintain current prices and ensure consistent market supply until the Commission completes its investigation.
"We are acting with urgency to prevent serious, irreparable damage to consumers," said Lloyds Vincent Nkhoma, Chief Executive Officer of the Commission.
The orders were issued under Section 23 of the Competition and Fair Trading Act, which empowers the Commission to take immediate action when it identifies potential market violations.
The affected fertilizer companies include Malawi Fertilizer Company, Dalitso General Supplies, Paramount Holdings Limited, Optichem 2000 Limited, Rabs Processors Limited, Brussels Fertilizers Limited, and Agora Limited. CP Feeds and Proto Feeds, two major poultry feed producers, were also served orders.
Companies failing to comply could face criminal prosecution, according to the Commission's statement.
The regulatory body has established multiple channels for public reporting of violations, including a toll-free hotline and WhatsApp messaging service.
This intervention comes at a critical time for Malawi's agricultural sector, which forms the backbone of the country's economy.
The Commission's action reflects growing concern over the impact of rising agricultural input costs on small-scale farmers and poultry producers.
The Commission has not specified how long the interim orders will remain in effect, stating only that they will continue until a final determination is reached on the matter.