Mozambican sugar hits Malawian market

Mozambican makes its way to the Malawian market

 Mozambican manufactured sugar is being exported to Malawi, as a response to the sugar problem in that nation .

20 licenses to local firms to import sugar from Mozambique, Zimbabwe, South Africa and Brazil have been issued by Malawi's Ministry of Industry and Commerce.

The liberalization of the sugar market in Malawi comes at a time when the two local companies producing this product have found their capacity reduced , due to a number of constraints imposed on their production chain as a result of climate change.

Malawi has been in a severe crisis as a result of sugar shortage on the national market .

Consumers revolted as a consequence of hoarding of sugar and subsequent prices' increases which became the trend, where a kilo soared from the old 1700 kwachas, around 64 meticais to 3,000 kwachas, around 115 meticais.

The government, through the ministry of industry and commerce, was forced to liberalize the market, as a way of increasing supply and reducing the price of the product to the consumer.

The monopolistic sugar companies of Malawi contestation of the measures taken, will not, according to commerce minister Sosten Gwengwe , not make the government to revoke its decision, to ensure greater commercial competitiveness.

As of writing, the Malawian government has ordered seven commercial establishments to close due to exbortintant sugar prices.

The executive director of the Malawi consumer association, John Kapito, says the government's decision is welcome and commendable, as the monopolization of the market was a real ordeal for the people.