The Malawi government recently presented an estimated USD 400 million (696.3 billion Malawi Kwacha) agricultural budget aimed at promoting the commercialization of agriculture and enhancing irrigation infrastructure. This allocation represents 9% of the country’s total budget of approximately USD 4.6 billion (8.05 trillion Malawi Kwacha), with a significant portion directed toward agriculture. The budget highlights the government’s focus on improving productivity and addressing the country’s recurring food security challenges.
A key part of the agricultural budget is the Agricultural Commercialization Project, which has been allocated USD 82 million (143.5 billion Malawi Kwacha). This project is designed to support smallholder farmers, particularly through the provision of machinery and loans facilitated by cooperatives. It aims to enhance productivity by promoting mechanized farming, which will help farmers scale up their operations. In addition, USD 57 million (99.5 billion Malawi Kwacha) is earmarked for irrigation projects, which will increase the area under irrigation and boost agricultural yields.
The government’s irrigation plans focus on maximizing the potential of 56,113 hectares of irrigable land. With the aim of enhancing maize production, the government plans to target a maize yield of 337,000 metric tonnes. This will be achieved through the development of new irrigation infrastructure on 6,000 hectares of land, as well as the rehabilitation of 9,000 hectares of existing irrigation systems. Additionally, farm groups across 46,706 hectares of irrigable land will receive support to improve productivity.
Irrigation is seen as a key solution to Malawi’s recurring food shortages, especially since rain-fed agriculture, which relies on erratic rainfall patterns, is often vulnerable to droughts and other climate-related challenges. In recent years, the country has faced significant hunger challenges, with around 5.7 million people projected to be at risk during the 2024/2025 lean season. A decline in maize production in 2024, attributed to unfavorable weather conditions, exacerbated the food security situation, causing maize prices to skyrocket and putting it out of reach for many families.
Recognizing the importance of agriculture to the country’s socio-economic development, the government has allocated substantial funds to address these challenges. The Minister of Finance, in presenting the 2025/2026 national budget, emphasized that the funds allocated to irrigation development will help mitigate the impact of dry spells and ensure food security. By prioritizing irrigation infrastructure and mega farm projects, the government aims to stabilize maize production, reduce food shortages, and protect smallholder farmers from economic shocks. These investments are also intended to increase Malawi’s agricultural exports and promote self-sufficiency in food production.
The government is also focusing on supporting youth in agribusiness, which is seen as a vital part of transforming agricultural production and entrepreneurship in the country. By creating opportunities for young farmers, the government hopes to foster innovation and sustainability within the sector. Additionally, smallholder farmers, women, and rural communities stand to benefit from improved access to markets, higher incomes, and better livelihoods through agricultural commercialization initiatives.
Experts have praised the government’s approach, particularly its emphasis on irrigation. Tamani Nkhono-Mvula, an agriculture economist, described the budget as well-structured to achieve agricultural development and commercialization. He noted that the funding for irrigation was a significant improvement compared to previous budgets. However, he also suggested that the country should consider diversifying crop production, as this would reduce reliance on a single staple crop like maize and contribute to overall agricultural resilience.
Farmers in rural areas are hopeful that the budget will support their activities and improve their livelihoods. Dominic Amoni, a farmer from Dowa District, expressed optimism about the increased allocation for irrigation. He believes that irrigation has the potential to provide a sustainable solution to Malawi’s food security challenges. Amoni is confident that with the new budget’s focus on irrigation, farmers will be able to produce food consistently and contribute to the country’s long-term agricultural goals.
In conclusion, Malawi’s agricultural budget marks a significant step towards improving food security, supporting smallholder farmers, and fostering agricultural commercialization. The government’s focus on irrigation and mechanization aims to create a more resilient and productive agricultural sector, ultimately contributing to economic growth and development.
