CASTEL MALAWI TO START CONTRACT FARMING
Castel Malawi has communicated to Government through the Ministry of Agriculture that it plans to start contract farming for maize and rice with local farmers as soon as possible.
Speaking at a meeting held in Lilongwe on Monday 17th August 2020 with the Minister of Agriculture, Hon. Lobin Lowe MP, Castel Malawi officials said Malawi has a lot of maize and rice yet they import. As such, they want to work with the current government to localize their supplies which will help boost the country’s economy.
“CASTEL Malawi is ready to start a long term contract farming for maize and rice with the local farmers. We plan to provide inputs and trainings to the farmers, to also identify a company that will be processing maize grains into maize grits. Imagine 2500 Metric Tonnes of rice is being imported than being supplied locally.” said Herve Milhade, Managing Director of Castel Malawi.
The company also asked government to help them in tackling some of their challenges such as heavy taxes, the overpricing on sugar by Illovo Sugar Malawi and the unsustainable supply of maize and it’s market price.
In response to the complaints made, the Minister of Agriculture, Hon. Lobin Lowe MP, said, “Government is ready to support Castel Malawi in contract farming. I am pleased with this development as it will create a maize and rice market for local people thus closing the marketing gap. I’ll call for an interface meeting with Principal Secretary for Agriculture, Illovo Sugar Malawi and Castel Malawi.”
Castel Malawi Limited operates in 25 African countries. It uses Agro-raw materials such as Maize, rice, sugarcane and millet to manufacture different beverages.