President Lazarus Chakwera this morning commissioned Pyxus Agriculture Limited’s groundnut processing plant which has a daily capacity of up to 50,000 metric tonnes and is expected to create close to 2000 jobs.
The plant is also being touted as the biggest groundnut shelling plant on the African continent outside South Africa.
Speaking during the event, Chakwera said the factory is a landmark achievement and Pyxus has his administration’s full support.
Chakwera added that Malawi’s strength lies in agriculture and Pyxus has invested in an asset that builds on that strength, something which he wants to be replicated.
“So I am here to tell the whole private sector in Malawi that my administration will do everything to support anyone who will pursue this approach,” said Chakwera.
According to the Malawi leader, the practical way in which the support will be provided is through the Presidential Delivery Unit which he said has been removing hundreds of bottlenecks that were blocking or delaying government projects.
Minister of Trade Mark Katsonga said Malawi has prioritized industrialization to promote value addition for agricultural products and that groundnut is one of the priority products for agro-industrialisation to promote exports.
Katsonga added that Pyxus is currently working with over 6000 farmers involved in groundnut production and there is potential that 30,000 people will directly benefit.
“This is a milestone in history of oilseed processing sector since the farmers will create wealth. This has potential to create jobs, tax revenue and foreign exchange generation. 
“Production of value added products will have spillover effect on the economic development of our country,” said Katsonga.
Pyxus managing director Ronald Ngwira said Pyxus has invested in research and development where they looked at many varieties of groundnuts and four of the varieties will be taken to Ministry of Agriculture for release to farmers within the next few months.
He added that Pyxus has made upfront investment in irrigation, mechanization and multiplication of the new varieties to give farmers better yields.
“We have over 150 well trained extension officers training farmers on a daily basis to get better yields and better quality. We have installed traceability systems, loan management system and distribution systems with the intention of expanding our farmer base to 30,000 farmers in the near future,” said Ngwira.
He added that the factory is a key to unlocking the potential of agricultural industrialisation in Malawi and the company’s vision is to have 30,000 farmers growing the right variety of groundnut that is highly sought after in the global market which will in the end generate foreign exchange.
Ngwira, however, urged government to create a groundnut council, engage with other countries to unlock marketing opportunities and collaborate with the private sector on reviewing regulations that impede investors.
