Africa-Press – Malawi. By Nelson Gonjani:
Malawi’s mining sector continues to underperform, contributing only between 1 and 3.5 percent to gross domestic product (GDP) in the 2024-25 period, as persistent structural challenges weigh down growth and investor confidence.
Energy and Mining Minister Jean Mathanga acknowledged the challenge during a visit to Shayona Cement Company in Kasungu District, saying that electricity shortages have slowed the sector’s progress.
Other challenges include weak marketing strategies, infrastructure gaps and operational bottlenecks.
“The mining sector is being heavily affected by inadequate power supply, which has discouraged both local and international investors from committing to Malawi,” Mathanga said.
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Despite the setbacks, the minister reaffirmed government’s commitment to revitalising the mining industry, adding that the current administration was prioritising value addition through the local processing of mineral products.
“We, as government, are implementing a number of interventions aimed at improving standards in the mining sector and ensuring that minerals are processed locally,” she said.
Mathanga urged investors to remain confident in Malawi’s prospects, revealing that government has secured electricity imports from Mozambique through the Southern African Power Pool (SAPP), which is expected to become operational by March this year.
“We are, therefore, encouraging investors to come and invest in Malawi. The government is ready to provide the necessary support and this will also advance our agenda of processing mineral products locally,” Mathanga said.
Meanwhile, Shayona Cement Company Human Resources and Administration Manager Austin Mvula describing power shortages as a major obstacle to the company’s daily operations.
“We fail to meet our production targets because of unreliable electricity supply and we are often forced to use generators, which consume large amounts of fuel,” Mvula said.
Mvula also appealed to the government to prioritise road infrastructure, noting that poor road networks continued to limit access to markets.
He assured the government of Shayona Cement’s continued support for the local value-addition agenda but called for stronger intervention to improve market access.
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