Ministry of Transport and Public Works has the implementation of the six year Southern Africa Trade and Connectivity Project (SATCP) would help to reduce trade barriers within the Nacala corridor.
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Deputy Director for Policy and Planning in the Ministry, Charles Mtonga made the remarks Monday during the opening of a two-day Media Orientation and Tour for SACTP at Vintage Hotel in Mponela, Dowa.
He said the project was designed to open up trade and remove obstacles and barriers between the country and international markets particularly using the Nacala and Beira corridors.
“We noticed that we have a number of barriers ranging from physical and infrastructure barriers, condition of roads and railway and ports, need to be handled effectively,” Mtonga said.
The Deputy Director added that the project mainly tackles non–tariff barriers in form of procedures, strategies countries use to facilitate trade by focusing to making sure that trade was less costly and travel on the corridor was faster.
“As we opened up the corridor will make it better and bigger and chances are that there will be increase in the flow of traffic within the region. We need to look at export on the production side as much as we are looking at making the corridor better,” Mtonga viewed.
He disclosed that the project has a sub component which looks at production through Small and Medium-sized Enterprise (SMEs)for a start that’s what World Bank would support and government.
The Deputy Director said value chains that Ministry of Trade and Industry need to promote and identify could be enhanced along the corridor.
“The corridor wants to provide grants to identified producers, SMEs to work in order to increase production and these identified value chains in order to expand our export base. The project is keen to promote value chains in agriculture sector,” Mtonga pointed out.
He said SACTP focuses mainly on Nacala corridor using railway and roads with complementary usage of Beira port with some activities that may touch on the operations of Beira corridor.
Project Manager for SATCP, Hestings Ngoma said the project is funded by World bank to the tune of US$ 150 million and it is a multinational project whereby two countries of Malawi and Mozambique are implementing it.
He said the project is for six years running from July 1, 2021 to June 30, 2027 and has four main components which are sub-divided into two categories of infrastructure and non-infrastructure.
“This aims at reducing trade costs, improve regional coordination and project implementation and strengthen vale chains for regional integration and strengthen transport infrastructure to improve market access,” Ngoma elaborated.
Some of Media Houses that are participating includes, Malawi News Agency (MANA), Malawi Broadcasting Corporation (MBC), Zodiak Broadcastings Services (ZBC), Nation, Times Group, Malawi Institute of Journalism (MIJ), Mibawa and Nyasatimes.
