Aquaculture Cooperatives in the country are set to receive seven refrigerated trucks and one non-refrigerated truck worth MK50 Million on a five year term loan agreement in a bid to promote the cooperative’s transportation logistics and economic sustainability.
The trucks will be provided under the Sustainable Fisheries Aquaculture Development and Watershed Management (SFAD-WM) Project.
On Wednesday, 8th March, 2023, SFAD-WM project taskforce team embarked on visits across Malawi to confirm with successful cooperatives that will be offered the said trucks.
The initiative which saw the taskforce holding interface meetings with Kavumu cooperative at Chilumba in Karonga as well as Ndundundu and Kamuzu View cooperatives in Mzuzu was meant to deliberate and agree on terms and conditions that are embedded within the loan contracts that are needed to be signed by these successful associations.
Delivering his speech at Chilumba port, SFAD-WM project coordinator Dr. Robert Kafakoma said the taskforce has now finalised selecting cooperatives that have qualified to be given the trucks on loan but they need to clarify on some nitty-gritties in the contract so that everything works according to plan.
He said: “As told initially, these trucks will not be offered for free but on loan basis, thus you will be mandated to make a monthly payment of MK450, 000.00 within five years and you are expected to start submitting to these costs after two months when provided with it.”
“The department of Fisheries has covered 50 % of the total costs supposed to be incurred in your payments. That means you will only have to pay back MK25 Million within the stated period instead of MK50 Million which was used to purchase these trucks in particular. The money that will be collected from your returns will be used to purchase other trucks so that we also assist other cooperatives as time goes by,” he said.
Expressing gratitude on behalf of his colleagues, chairperson for Kavumu Cooperative Dickson Milanzi commended the department of fisheries for giving them this opportunity under SFAD-WM project, stating that the development will play a crucial role in promoting the operation of their business in Karonga.
Milanzi said: “We are very grateful for being one of a cooperatives that will benefit from this project. The gesture has been highly appreciated and we feel special to be the first beneficiaries from our district which is admirable.”
Meanwhile, SFAD WM taskforce is also expected to hold similar meetings in the central and southern region to interact with other Cooperatives that have been selected to benefit from this initiative upon their commitment to agree with the terms and conditions stipulated under the loan contract expected to be signed.
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