Malawi tries to end dependence on cash crops
MALAWIS government is trying to diversify its economy so it is no longer dependent on agriculture. About 75% of its foreign earings are based on agriculture – mainly tobacco, sugar, tea, coffee and other cash crops.
It wants to look at agro-industries providing added value to existing crops such as canning pineapple chunks or producing fruit juices.
Japan has given $49 million (£30m) to be used for improvements in the financial sector, civil service and tariff reforms, private sector promotion and agricultural reforms.
Farm output is set to grow in Malawi after three years of drought. Reforms have made the agricultural sector more dynamic.