Malawi’s agricultural sector is set for a major boost as the country’s first-ever organic fertilizer manufacturing plant, located in Chileka, Blantyre, nears completion with 70% of construction currently finalized.
The project, spearheaded by the Rural Development Investment Initiatives Trust (RUDEVIT) Holdings Plc, is expected to become operational by December 2024.
RUDEVIT chairperson Hastings Bofomo Nyirenda expressed optimism about the transformative potential of the plant, which aims to provide affordable organic fertilizer options to farmers across the country.
“This project is not just about fertilizer production; it’s part of a broader initiative to create wealth, generate employment and stimulate rural development in Malawi. We are confident that this plant will play a critical role in boosting agricultural productivity and ensuring food security,” Nyirenda said.
Nyirenda emphasized that RUDEVIT, an acronym for Rural Development Investment Initiatives, was founded to unlock the potential of Malawi’s vast rural resources.
He said; “About 85 percent of our population resides in rural areas and they possess the land and labour necessary for development. However, much of the capital remains concentrated in urban areas.
“The idea behind RUDEVIT was to redirect that capital to where it is needed most—the rural areas—to create jobs and foster economic growth.”
The plant, which has already attracted significant investment, is being financed through a combination of shareholder contributions and partnerships with key financial institutions.
Nyirenda acknowledged the critical role of local and international investors in moving the project forward, highlighting the involvement of NBM Development Bank and Export Development Fund (EDF).
“NBM Development Bank has been instrumental in assisting with the procurement of machinery, while EDF is financing the construction of the factory’s superstructure,” Nyirenda noted.
Nyirenda revealed that despite substantial progress, RUDEVIT is still raising capital to cover the remaining costs.
“We’ve raised over K 1.3 billion so far and we are looking at around K400 million more to bring the project to completion. Thankfully, EDF is continuing discussions with us about additional funding to address recent cost escalations,” he said.
Nyirenda lauded the collaborative spirit behind the project, which has drawn investment from over 800 shareholders, both locally and abroad. He expressed pride in Malawians’ willingness to come together for such an ambitious endeavor.
“It is rare for us to start from zero and build something this big as a public company. Typically, projects like these are backed by large, established entities.
“But this is a grassroots effort, and it speaks to the trust and credibility that RUDEVIT’s leadership has built. I hope this inspires others to take collective action and invest in home-grown projects,” Nyirenda added
