Secretary for Transport Kumwembe and Hongtai Group complete the MoU on Monday
* The new investor Hongtai Group to set up modern Monkey Bay shipyard to construct new cargo and passenger vessels on Lake Malawi
* The first vessel is expected to set sail on the lake in one-and-a-half years time
* This comes six weeks after signing a pact with Xiao Xiang Investment to expand Lake Malawi vessels with four new ones
By Kondwani Magombo, Malawi News Agency (MANA)
Ministry of Transport & Public Infrastructure has signed a further memorandum of understanding (MoU) with another Chinese company, Hongtai Group to improve Lake Malawi transport system by modernising facilities and introducing new vessels.
The MoU — signed on Monday between Hongtai Group’s Managing Director, Shan Jian Ping and the Ministry’s Secretary, Bright Kumwembe — comes six weeks after signing a pact with Xiao Xiang Investment for the expansion of Lake Malawi’s fleet-with four new vessels; two for dry cargo, one fuel tanker, and one for passengers.
The first MoU done on July 27, 2026
At the Monday MoU signing ceremony at Capital Hill in Lilongwe, Shan unwrapped that the scope of Hongtai Group’s construction work will include modernisation of the Monkey Bay shipyard to enable the building of new vessels; and modernisation of Chipoka Port and other key ports.
The firm will also build two cargo vessels and one passenger vessel; upgrade port loading & unloading equipment; improve the warehousing & logistics system; and optimising the transport route network.
“We will strive to create an efficient, safe, and convenient modern lake transport hub, fundamentally enhancing the carrying capacity and operational efficiency of Malawi’s lake transport, and laying a solid foundation for Malawi’s import and export of goods,” Shan said.
“Although Malawi is landlocked, lake transport serves as a crucial link connecting the Southeast African market, a core support for opening up external channels and unleashing its development potential, and a vital breakthrough for Malawi to integrate into the global industrial chain and achieve economic growth.”
The works are expected to roll out soon after everything has been finalised and the Chinese investor stated that the first vessel is expected to set sail on the lake in one-and-a-half years time.
On his part, Kumwembe said the modernisation of the Monkey Bay Shipyard will also allow neighbouring Mozambique to use it.
Kumwembe described the investors’ interest in the lake services as healthy, saying it creates competition which, according to the Secretary, is crucial for economic development.
“We’re trying to make sure there is competition – we do not want to have anybody having exclusive rights of using the lake.
“We would want to see Malawians making a choice of which services to use: that way, even the prices of services become affordable,” Kumwembe said.
The MoU with the other Chinese investor, Xiao Xiang — that was signed on July 27, 2026 — will support Malawi’s integrated transport system by building new oil tankers and freight vessels, and by upgrading inland lake ports including the Chipoka ferry terminal.
Xiao Xiang Investment Managing Director, Chen Cheng, stated that the partnership will help lower the cost of doing business since construction of tankers will better serve National Oil Company of Malawi (NOCMA) and Petroleum Importers Limited (PIL).
Construction of freight ships will also directly open Malawi’s freight corridor to the ports of Tanzania and Mozambique as the shipping service will also reduce damage to the M1 Road from heavy trucks and ensure uninterrupted operations even during the rainy season.
Cheng added that the cooperation will go beyond vessels to include logistics storage parks; skills training for Malawians in road, rail and port management; and support for community projects along transport routes.—Editing by Duncan Mlanjira, Maravi Express
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