Agricultural Sector
Abundant arable land
Malawi has a predominantly Agriculture-based economy. The Agriculture sector is dependent almost entirely on subsistence rain-fed Agriculture. The irrigation potential in the country is largely unexploited.
Out of the estimated potential of 407,862 hectares, only about 145,660 hectares have been developed for irrigation purposes representing 35% of the potential area.
Abundant Water Resources
Malawi has abundant groundwater and surface water resources which include Lakes: L. Malawi,
L. Chiuta and L. Malombe and other sizable perennial rivers (Shire, Ruo, Bua among others) flowing from highland areas which are increasingly being used for irrigation farming.
Available Labour
In agriculture, Malawi holds regional comparative advantages in agro-ecological conditions,
including high rainfall, while the rural labour force is skilled in(traditional) crop husbandry and willing to work at relatively low wages.
Incentives
Potential investment opportunities in agriculture include livestock production(for dairy and beef), aquaculture, horticulture, agro-processing,sugar,soybean,cowpeas, pork production, honey production,integrated cotton development, cassava production ,and mushroom growing. These agricultural products can be processed and exported under trading arrangements.
Besides this, Malawi relies primarily on rain-fed agriculture. Opportunities exist to expand and support irrigation and bolster horticultural products such as vegetables , flowers,fruits,and rice that can be grown using surface, gravity, pump,river diversion, drip, or sprinkler irrigation systems.
In addition, Opportunities to provide agricultural products, equipment, processing machinery, and packaging exist in most agricultural subsectors. Innovative agricultural technologies to improve yield and efficiency, and improve resiliency from extreme weather and climate change are needed. Integrating private sector and smallholder farmers into sustainable agricultural practices and innovations will have the best chance of success and contribute to value addition and trade initiatives.