By Prof. Betchani Tchereni, economist
On rumours of chainstore closing:
Rumours that some South African chain store may close shop in Malawi is not disturbing to me, in fact it is just a manifestation of the unstainable business model it has been running. This has been largely expected given the forex situation. They are an unnecessary drainer of forex for commodities we can insist on producing for import substitution in Malawi.
This is where Minister of Trade and Industry doesn’t need those suits and neckties, its no longer a boardroom matter this one. Its for foot soldiering. We must have factories producing those commodities in Malawi. That’s a model that will be sustained. I’m sure the producers of those commodities will notice the slamp in demand, let them bring their subsidiary factories in Malawi and produce right here. Reporting their profitability in Malawi Kwacha. Apo bi, it is our duty as Malawians to get down to earth and start manufacturing.
As long as we continue with the Malawi Kwacha and dependency on subsistence farmers for foreign exchange generation, there won’t be any import business that will be sustained in Malawi. It is time we stopped all cosmetic survival means and pretend nomore. Short-termism won’t take us anywhere.
By the way, this is also an outcry from respectable car dealers, fashion specialists, make up, beddings, furniture etc. Every trading business in Malawi can only survive by either crooked means of tapping from the meagre forex envelop or a miracle.
It’s time to roll up our sleeves and get on to establish factories for import substitution. That’s a model that will create more sustainable jobs and in large numbers. This is no longer a matter of a sales speech only its time to act!
