Malawi’s flagship Farm Input Support Programme (FISP) is facing mounting pressure as financial constraints, supplier debts and procurement challenges threaten the timely delivery of fertiliser to farmers across the country.
Presenting a report in Parliament, Agriculture and Irrigation Committee Chairperson Anthony Kamoto said the Smallholder Farmers Fertilizer Revolving Fund of Malawi (SFFRFM) was facing serious financial constraints that were affecting procurement efficiency and the overall performance of the programme.
Kamoto said SFFRFM’s dependence on suppliers who provide fertiliser on credit had contributed to increased procurement costs, with the Fund buying fertiliser at around K130,000 per unit and selling at approximately K135,000, leaving limited margins to sustain operations.
The Committee found that outstanding government debts to suppliers, including ETG, had weakened supplier confidence, with some companies becoming reluctant to provide fertiliser without secure financing arrangements such as Authorities to Collect (AOCs).
The report noted that these financial challenges have contributed to delays in fertiliser supply, uneven distribution across regions and difficulties in ensuring that farmers receive inputs within the required timeframe.
The Committee further observed that the expansion of FISP beneficiaries from about 500,000 to more than one million during the 2025/26 season happened alongside rising fertiliser prices, increasing pressure on the programme’s procurement and distribution systems.
Kamoto said the Committee was concerned that continued financial challenges could undermine FISP’s ability to support smallholder farmers and contribute to national food security.
The Committee recommended strengthening SFFRFM’s financial capacity, improving procurement planning and ensuring timely settlement of supplier obligations to restore confidence in the fertiliser supply chain.
The report also highlighted the need to explore long-term solutions, including local fertiliser production, to reduce Malawi’s dependence on imported inputs and vulnerability to foreign exchange shortages.
The Committee warned that unless urgent reforms are implemented, persistent debt and supply chain weaknesses could continue to threaten the effectiveness of FISP and affect millions of farmers who rely on the programme.
