* Illovo is about 60 years old in Malawi but they have really done only the sugar value chain addition
* Time is now ripe with the Shire Valley Transformation Programme, which focuses on gravity fed irrigation
By Manasse Nyirenda, MANA in Johannesburg
President Lazarus Chakwera has asked Illovo Sugar Group to diversify their value chain in Malawi to other crops for the benefit of Malawians and also the company.
After an engagement the President has with Illovo Africa Group Chief Executive Officer, Gavin Dalglish at Da Vinci Hotel in Sandton, Minister of Finance, Sosten Gwengwe said Chakwera has been engaging the Illovo Group for the past three years to find ways of diversifying.
“The main focus was on Illovo Sugar to diversify value chain to sectors of our economy in addition to sugar,” he said. “Illovo is about 60 years old [in Malawi], but they have really done only the sugar value chain addition and I think time is now ripe with the Shire Valley Transformation Programme, which focuses on gravity-fed irrigation.
“Illovo can be the main off taker of that water and develop a second value chain whether its cotton or legumes or whichever value chain that can be scaled to the size of sugar and I feel it is a win-win for Malawi and ILOVO,” he said.
On his part, Dalglish said they were looking forward to the completion of the Shire Valley Transformation Programme’s irrigation canal, which he described as significant, saying: “I think it will have multi-generational benefits and it’s a wonderful opportunity to create more value chains for Malawi.
“We talked about growth prospects for Illovo Sugar in Malawi — in particular around the Shire River canal project and the potential it has to create more value chains for Malawi and the ongoing investment climate in Malawi,” he said.
The meeting was on the sidelines of the on-going Brazil, Russia, India, China and South Africa (BRICS) summit in South Africa, where two African countries were accepted into the in addition to the existing four.
The announcement was made Thursday at Sandton Convention Centre by the host President Cyril Ramaphosa that Egypt and Ethiopia were accepted alongside United Arab Emirates, Saudi Arabia, Iran and Argentina — and will officially become members on January 1, 2024.
Ramaphosa said the aim of the grouping is to promote economic growth and sustainable development for countries in the Global South.
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