Thursday, February 23, 2017

President Peter Mutharika's 'Tortoise' Pace

President Peter Mutharika, victor in Malawi's May 2014 Presidential Election, hits one as an individual not at ease with himself.
Many are the times he has, riding on the wave of anger, makes a statement he reverses the next day.
Take the case of beleaguered former agriculture minister, Dr George Chaponda.
The media wanted his (Chaponda's) head on the chopping board but President Mutharika stood his ground.
Which is understandable because, in all fairness, Chaponda might not have gone to Zambia on his own volition.
There was a Peter Mutharika in the background, pushing him on.
But when the courts granted civil society organisations an injunction stopping Chaponda from serving in his capacity as Cabinet minister, the president's silence, and inactivity, on the issue raised more questions that answers.
It, surely, pointed to a president who was out to trample on the very constitution he vowed to protect. What hypocrisy!
Well, the injunction was listed but, instead of being a source of relief, things have only gotten worse for Chaponda.
The Anti-Corruption Bureau pounced on his offices and house in the Capital City, Lilongwe, and came back with wads of cash amounting to millions.
Now, the wads of cash symbolise Chaponda's burden.
He was failing to take them to the bank because that would have been a physical burden
Today, in his heart, he has another burden: To convince an otherwise suspicious public to believe in him.
What a tall order.
But the President is the real loser.  

RESULTS OF THE FIRST ROUND OF 2016/17 AGRICULTURAL PRODUCTION ESTIMATES SURVEY

Government of Malawi

PRESS RELEASE


The Ministry of Agriculture, Irrigation and Water Development annually conducts Agricultural Production Estimates Survey. The objective of the survey is to assess the country’s agricultural production to inform planning and policy direction for the nation. The survey includes all agricultural commodities, thus, crops, livestock and fisheries. The survey is conducted in three rounds every year.

The first round is conducted from September of the preceding year to January of the current year. The first round estimates are based on farmers’ intentions on crops to be grown and their related hectarage. The results from the first round may not conclusively inform the ultimate agricultural production as farmers’ intentions can change in the course of implementing respective farm activities; weather conditions and related parameters may also change in the course of the agricultural season. Nevertheless, results of the first round provide early warning signals on national food security so that policy makers in the public, private and non state sectors can make informed decisions regarding impending food situation.
The second round is conducted from February to March and focuses on verification and adjustment of area measurement for crops grown by the sampled agricultural households. Results obtained are used to determine crop area planted for the season. Results of this round are normally released in April every year.
The third round which is normally considered as the final round is undertaken during the harvesting period from April to May. The third round mainly involves weighing of the harvest to obtain actual yield for crops. The third round indicates the national food basket and determines the food deficit or surplus.
The Ministry of Agriculture, Irrigation and Water Development has finalized the first round of 2016/17 Agriculture Production Estimates Survey. The results show that national maize production is projected at 3,220,712 metric tons, which is 35.9 percent higher than the 2015/16 final round estimate of 2,369,493 metric tons.
Rice production is expected to go up by 41.5 percent. Production of sweet potatoes is projected to increase by 27.6 percent. Millet and sorghum production will increase by 118.6 and 79.3 percent respectively. However, wheat production is projected to drop by 6.4 percent.

The results also show that productions of groundnuts, beans and pigeon peas are expected to increase by 22.2, 15.0 and 19.7 percent, respectively.

For major cash crops, tobacco production will decrease by 36.6 percent while cotton production is expected to go up by 7.6 percent.

In terms of livestock, the population of cattle has increased from 1,470,895 to 1,508,299 representing 2.5 percent increase as compared to the final round for the 2015/16 agricultural season. The populations of goats and pigs have also increased by 5.0 percent and 14.6 percent.

Fish production for capture fisheries has increased by 8.4 percent and aquaculture fish production has also increased by 46.7 percent. Overall, fish production has increased by 10.0 percent.

For more information, please contact the Secretary for Agriculture, Irrigation and Water Development.




Erica Maganga (Mrs)
SECRETARY FOR AGRICULTURE, IRRIGATION AND WATER DEVELOPMENT
13th February, 2017

Saturday, February 18, 2017

DECISIONS BY THE BOARD OF COMMISSIONERS OF THE COMPETITION AND FAIR TRADING COMMISSION AT THE 47TH MEETING



The Board of Commissioners (hereinafter referred to as ''The Commission") of the Competition and Fair Trading Commission held its 47th Meeting in Lilongwe on 3rd February 2017 to consider and adjudicate over cases relating to unfair trading practices, anti-competitive business conducts and mergers. These cases were brought before the Commission in accordance with Section 8 of the Competition and Fair Trading Act.
In total, the Commission considered and adjudicated over a total of twenty-seven (27) cases. This statement provides a summary of the Commission's determinations of the cases.
For more information, contact Mr Lewis Kulisewa on 0999960235 or email lewis.kulisewa@cftc.mw

CHARLOTTE WEZI MALONDA
EXECUTIVE DIRECTOR


SUMMARY OF THE COMMISSION’S DETERMINATIONS OF THE CASES
ALLEGED SUPPLY OF PRODUCT WHICH IS LIKELY TO CAUSE PHYSICAL HARM TO CONSUMERS BY SPICE EMPORIUM SHOP

The Commission ordered Spice Emporium Shop in Limbe to pay  a fine of five hundred thousand Kwacha (MK500,000-00) for deliberately supplying products likely to cause injury to health and failing to comply with consumer protection statutes.

Investigations carried out by the Commission established that Spice Emporium Shop were deliberately supplying expired products which were likely to cause injury to health or physical harm to consumers. The expired products included non-carbonated soft drinks and spices such as Everest Bar Bhaji Masala, Everest Royal Garam Masala and Everest Pani Puri Masala. This was contrary to Section 43(1)(e) of the Competition and Fair Trading Act which states that:

"Á person shall, not in relation to a consumer, supply products which are likely to cause injury to health or physical harm to consumers, when properly used, or which do not comply with a consumer safety standards which has been prescribed under any written law”

Further, Spice Emporium refused to comply with instructions from the Commission's inspectors to remove the expired products from the shelf, thereby subjecting unsuspecting consumers to increased harm.

By refusing to comply with consumer protection authorities set by Government, Spice Emporium violated Section 6(1)(d) of the Consumer Protection Act which obliges business enterprises to cooperate with Government authorities in the execution of policies relating to consumer protection.



ALLEGED EXCLUDING LIABILITY BY BEFOWARD COMPANY LIMITED
The Commission ordered Be Forward Company Ltd to exchange the non-runner motor vehicle it supplied to Mr Daniel Likugwe with a motor vehicle in good running condition.

Investigations conducted by the Commission showed that, in 2013, Be Forward Company Ltd supplied a non-runner second hand motor vehicle to Mr Daniel Likugwe, contrary to indications at the time of purchase, that it was in perfect running condition. The vehicle, which was purchased at US$3,200 was delivered without an Engine Control Unit (ECU). This was clear-cut misrepresentation which resulted in the consumer suffering substantial consumer harm and a blatant violation of Section 43(1)(b) of the Competition and Fair Trading Act which provides that:

"Á person shall, not in relation to a consumer, engage in conduct that is likely to mislead the public as to the nature, price, availability, characteristics, suitability for a given purpose, quantity or quality of any products or service".

Further, by excluding liability on a defective motor vehicle, the company breached Section 43(1)(b) of the Competition and Fair Trading Act which states that:

"Á person shall, not in relation to a consumer, exclude liability for defective products".

The Commission further ordered Be Forward Company Ltd to refund all the related expenses incurred by the Complainant in trying to fix the problem.





ASSESSMENT OF THE IMPACT OF THE TAKEOVER OF METROPOLITAN HEALTH LIMITED BY MEDHEALTH LIMITED

The Commission has authorized the proposed takeover of Metropolitan Health Ltd by MedHealth Ltd.
This follows an application for the authorization of the proposed takeover of 100% shareholding in Metropolitan Health Limited by a local company MedHealth Ltd.
Analysis of the information gathered by the Commission shows that the proposed takeover will simply result in change of ownership of the company without changing the market structure or any other competition factors. Further, the proposed transaction will ensure that the business of Metropolitan Health continues to exist in Malawi, hence sustaining and maintaining same levels of competition on the market.
Accordingly, it was unlikely that the transaction will result in substantial lessening of competition in Malawi.

ALLEGED RESTRICTIVE BUSINESS PRACTICE BY TELEKOM NETWORKS MALAWI LIMITED IN THE SPONSORSHIP OF FOOTBALL

The Commission has ordered Telekom Networks Malawi Ltd (TNM) and Super League of Malawi (SULOM)to follow international best practices in its sponsorship arrangement for the Super League football tournament.

Investigations conducted by the Commission showed that the sponsorship agreement between the Super League of Malawi (SULOM) and Telekom Networks Malawi (TNM) contained clauses which had the effect of restricting competition in as far as advertising and football sponsorship was concerned.

After a thorough analysis of the information gathered during investigations, the Commission concluded that, while the Sponsorship Agreement foreclosed football sponsorship as an advertisement platform for TNM competitors, its effect would not likely result in substantial lessening of competition in the telecommunication market. However, the sponsorship agreement was found likely to have negative effect on the development of football in Malawi.
Accordingly, in the event that the two parties agree to renew the sponsorship at the end of the current contract, the Commission ordered that the proposed agreement should be submitted to the Competition and Fair Trading Commission for assessment of compliance with the Competition and Fair Trading Act.
Further, the Commission ordered the Sports Council of Malawi to consider developing guidelines for sports sponsorship, particularly, football taking into consideration best practices from other jurisdictions to prevent sponsors from taking advantage of the weak bargaining power of sponsorship recipient.



Charlotte Wezi Malonda

EXECUTIVE DIRECTOR

Tuesday, February 14, 2017

Ministry of Agriculture Offices On Fire in Lilongwe

When an opposition Member of Parliament contested Parliamentary results after the May 20 2014 elections, Malawi Electoral Commission went up in smoke-- destroying all evidence that would be tendered in court.
Today, the issue is about Maize-gate. The scam involves the importation of maize from Zambia, by Agricultural Development and Marketing Corporation, at exorbitant prices.
Now, just when the Commission of Inquiry instituted by President Peter Mutharika to investigate the deal on Saturday submitted its findings to the president, Ministry of Agriculture offices in Lilongwe are on fire.
The fire is raging at Capital Hill, raising suspicions that someone is up to something.
With the Democratic Progressive Party on song, Malawians know that this path is all too familiar!