Malawi is naturally endowed with vast unexploited mineral resources. Government expects steady increase in the contribution of the mining sector to GDP by at least 10% annually. Currently mining is limited to: coal mining, quarrying, limestone production and gemstone mining. Gemstone exports are dominated by an aquamarine, amethyst, red and rhodolite garnets, quartz, angering and feldspar
Specific Investment Opportunities
- Gold
- Uranium
- Platinum group of minerals (PGMs)
- Base metals
- Nickel and copper
- Dimension stone
- Phosphates
- Heavy mineral sands
- Graphite
- Coal
Malawi is endowed with beautiful and unique tourist spots including Lake Malawi, national parks and Game Reserves, Mulanje Mountain, wild game (the big five), forest reserves, and cultural and historical sites such as missionary graves and slave trade villages.
Specific Investment Opportunities
- Eco-tourism
- Hotel, camps and lodges
- Develop support infrastructure (Electricity, Water and Transport)
- Water and lake sports
- Cultural and traditional troupes (community-based tourism)
- Wilderness safari, travel and tours
- Game and forest lodges
- Casinos and entertainment centre
There are various investment opportunities in Agriculture, including livestock production (for dairy and beef), aquaculture, horticulture, agro-processing, irrigation, sugar, piggery, honey production, integrated cotton development, cassava production, and mushroom growing.
These agriculture products can be processed and exported under trading arrangements encompassing SADC, COMESA, and GSP SCHEME of the EU’s EBA Initiative. The African Growth and Opportunity Act (AGOA), China General Tariff Preferential Treatment, the India Preferential Trade Arrangement Benefiting LCD’s and the Japan Preferential Trade Arrangement Benefiting Least Developed Countries (LDCs).
Soya beans
Soya beans processing is a fast-growing business. Soya-based products are used by bakeries, the meat industry, and animal feed manufacturing to increase the nutritional value of their feeds as well as the shelf life of products.
Specific Investment Opportunities
Processing factory for turning soya into yogurt, cheese, tofu, mince, candles, cattle feeds, bio diesel, cooking oil, meat substitutes, and margarine for local and international markets.
Fruits and Vegetables
Malawi boasts of a wide variety of fruits and vegetables including oranges, tangerines, paw paws, guavas, mangoes, avocado pears, pineapples, bananas, tomatoes and onions. Most of Malawi’s fruits and vegetables are not preserved-hence they can often go to waste, especially in peak season. Fruits and vegetables are mostly grown in Ntcheu, Dedza, Mwanza, Salima and Shire highlands.
Specific Investment Opportunities
- Cold room and relevant transportation infrastructure
- Processing factories for value addition to make puree, spices, pastes and juices.
- Storage, cleaning and grading facilities
- Large-scale commercial farming
- Market development
- Contract farming
Pigeon Peas/Pulses
Malawi is among the top producers of Pigeon Peas / Pulse in the world. India presents a huge market for Malawi Pigeon Peas /pulse
Specific Investment Opportunities
- Food crop (dried peas, flour, or green vegetables peas) and a forage/cover crop
- They contain high levels of protein and the important amino acids methionine lysine, and tryptophan.
- Leaves, flowers, seed pods and seed all make nutritious animal fodder.
- Large scale commercial production of pigeon and peas for household and industrial use.
- Processing pigeon peas into Dahl for the Asian Market
- Production factory for food supplements
Tea
Specific Investment Opportunities
- Large-scale commercial production
- Export trade to South Africa, Asia, Kenya and Europe setting up a tea processing factory for local and international markets.
Sugar Production
Malawi produces enough sugar for its internal consumption and for export. Currently, there are two main factories; one at Ntchalo in Chikhwawa District and another one at Dwangwa in Nkhotakota.
Specific Investment Opportunities
- Large scale production of sugarcane in the areas under the Green Belt Initiative (GBI)
- Sugarcane processing facilities for export markets
- Ethanol production
Integrated Cotton Development
The Malawi government would like to develop an integrated cotton industry as a future potential diversification strategy away from tobacco, particularly given the growing global anti-smoking lobby. This strategy involves developing the industry across the value chain from seed multiplication to textile manufacturing.
Specific Investment Opportunities
- Selling certified seeds, chemicals and fumigants, and sprayers; and contract farming
- Large scale commercial farming
- Setting up ginning, yarn and textile factories
- Exporting processed cotton and textile products to the USA under the AGOA Trade Agreement
Livestock Production
Specific Investment Opportunities
- Improved breeds of cattle, artificial insemination, medications and extension services
- Feed growing and feed production, hay production through the growing of Rhodes grass (and stocking it for sale to farmers)
- Manufacturing of cooling and collection equipment (e.g. milk churns)
- Service provision, including artificial insemination, operation of dipping tanks, the administration of drugs.
- Transportation of raw milk to processing plants
Piggery Farming
The government of Malawi has embarked to improve pig production by promoting increased availability of pigs, pig meat and products.
Specific Investment Opportunities
- Provision of improved breeds and feeds supplements for pigs
- Artificial insemination
- Provision of feeds for pigs
- Provision of medical services
Cassava Production
Cassava (Manihot Esculenta) is a staple food in the lake shore areas of Nkhotakota, Nkhata-bay and Rumphi, and other parts of Malawi as a security crop. The main advantages of growing Cassava are that it is drought tolerant, able to yield well on marginal soils, has minimal labour requirements and that its yield fluctuates less than maize. Cassava also serves as a cash crop.
Specific Investment Opportunities
- Large-scale commercial farming along the Lake Malawi
- Processing factories for starch and flower domestic and industrial use
- Selling of certified clones; pest and disease control
Mushroom Production
Mushroom are a high value cash crop, a source of vitamins BI and B2, minerals, potassium, calcium and iron, proteins and essential amino acids
Specific Investment Opportunities
- Large-scale commercial production for local and international markets
- Packages and graded mushroom for popular local supermarkets outlets, hotels and restaurants.
Fisheries/aquaculture
Malawi aims to sustain and increase the productivity of small- and large-scale fisheries for both domestic and export markets. Malawi fish especially the Tilapia and Cat fish are in great demand in South Africa, Europe and Asia. The abundant fresh waters of the third largest fresh water lake in Africa, Lake Malawi, are home to some of the tastiest tilapia (locally known as chambo).
Specific Investment Opportunities
- Large-scale commercial fish farming using the latest fishing technologies for both the domestic and foreign market.
- Cage fish farming in Lake Malawi.
- Commercial pond fish farming along Lake Malawi
- Investing in cold rooms and fish transport infrastructure
- Setting up fish processing facilities along Lake Malawi
- Fish feed production and Fingerlings multiplication
Manufacturing accounts for about 12% of Malawi’s GDP. As most of the traditional agriculture crops such as tobacco and tea are exported in a semi-processed state, there are great opportunities for investors to convert these agricultural products into high-value finished products. Investors may venture into the manufacture of any of the products listed below.
Textile and Garment manufacturing
With market opportunities under AGOA and preferential agreements between Malawi and South Africa, and Malawi’s low labour costs investing in the garment/textile industry would be a smart choice for foreign investors.
Light goods manufacturing
Malawi imports most of its light goods equipment such as household electrical fittings (e.g cables, plugs, switches) and engineering materials, e.g. steel-based products. Investors are therefore invited to invest in this sector to reduce current imports and save foreign exchange.
Malawi has large forest plantations which are mainly; Nyika Plateau at Chelinda, Dedza, Mulanje mountain, Zomba plateau and Chikangawa
Specific Investment Opportunities
Value addition to the country’s vast forest resources via the manufacturing of timber and timber-based such as blackboards, cheap boards, plywood
Opportunities are also there to develop new forests.
Log and logging supply agreements for harvesting and cutting of existing timber.
This industry is crucial as it support other industries for sustainable economic growth and infrastructure development. Huge private investment is required to meet increasing energy demand for both household and industry use. Hydro electricity, fossil fuels and biomass are the most used energy sources in Malawi. The Government is inviting local and foreign investors to invest in the following area;
Specific Investment Opportunities
- Hydro generation, distribution and transmission
- Solar energy
- Wind energy
- Fuel storage and oil pipeline facilities
- Thermal power plant
- Biomass stoves
- Biogas and RPG
- Conduct feasibility studies for possible hydro generation sites