Minister of Industry and Trade Vitumbiko Mumba has issued a directive to the Malawi Investment and Trade Centre (MITC) to scrutinise all investors seeking to buy plots in the country’s Special Economic Zones (SEZ).
This follows a tour of the Chigumula Industrial Park in Blantyre which he conducted alongside members of the Parliamentary Committee on Trade to appreciate progress made in developing the park.
It has transpired that four companies have already committed to take up 14 hectares out of the park’s 22 hectares and are ready to invest a total of $19.415 million, creating 3,000 jobs.
The companies include agro-processing firm Patson Produce, which wants three hectares and is investing $3.5 million, Paramount Holdings Limited, which is looking for six hectares and an investment worth $12 million.
Easypack Limited is seeking two hectares with a $1.8 million investment and Maranet Trading securing 3 hectares with plans to invest $2.115 million.
However, MITC is looking for additional K5.4 billion to complete the project.
Of this amount, K2.6 billion represents the deficit in road funding while sewer system construction requires another K2.8 billion for implementation.
Currently, 3.8 kilometres of access roads are under construction.
Mumba said all investors coming to buy or lease land must provide proof of availability of funds.
“They must provide proof of funds; if not, they must provide a line of credit with a bankable business plan. That should be the condition because we do not want people here to buy land and keep it for years just wanting to sell it to someone else afterwards,” Mumba said.
MITC Board Chairperson Godwin Ng’oma said the firm would implement the directive.
Chairperson for the Parliamentary Committee on Trade Paul Nkhoma said the committee was impressed with the progress at the site and would recommend provision of the extra funding.
About 18.5 hectares at the park will be allocated for investors across 61 plots designated for light industries, waste management and administrative facilities
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