By Our Reporter
Illovo Sugar Company has justified its decision to award international sugar haulage contracts to foreign transportation companies; saying they don’t have a policy to target local or foreign transporters on exports.
On Monday, Transporters Association of Malawi-TAM argued the company’s decision keeps undermining the growth of domestic businesses and disadvantaging their economic freedom.
It added that dependence on foreign entities not only puts sensitive data and intellectual property at risk but also compromises national self-sufficiency and independence.
However, Illovo’s Managing Director in Malawi Lekani Katundula says they go for competitive rates.
“We simply look for reliable players offering competitive rates and complying with the laws applicable on the relevant routes. Our current export transporters include Malawian and non-Malawian players,” says Katandula.
TAM’s spokesperson, Frank Banda threatens they will hold demonstrations if they don’t get a positive response on their grievances.
“Big companies like Illovo should prioritize and invest in local enterprises, that we believe possess all the necessary capacity and technical expertise to handle any volume of sugar to any destination in Africa,” says Banda
The association has therefore called on government authorities, regulatory bodies, and stakeholders to foster an environment that encourages and supports local businesses.