However, there is increasing demand for sunflower in the country. The sunflower trade balance is -$2,894,000 in Malawi, with other edible oils also showing negative balances,13 reflecting a net overall deficit of edible oil production domestically.
Does Malawi smuggle palm oil?
In 2017 the government of Malawi removed value added tax (VAT) on edible oil, which should reduce the cost of local processing and disincentivise corrupt practices of oil mislabelling.24 However, addressing smuggled palm oil remains a challenge.
What is the sunflower trade balance in Malawi?
The sunflower trade balance is -$2,894,000 in Malawi, with other edible oils also showing negative balances,13 reflecting a net overall deficit of edible oil production domestically. Foreign exchange is limited in the country, which has driven processors to seek sunflower from local producers.
What should be done to promote sunflower production in Malawi?
1 The processors currently invested in Malawi should work together to promote the benefits of growing sunflower, along with the government, extension oficers, NASFAM and FUM. Sunseed Oil should actively market the 2 new margarine factory in Malawi to alert producers and processors to the potential of sunflower as a consumer product.