Malawi Weighs Tax Breaks for Fish Farmers as Wild Stocks Dwindle

Malawi’s government is considering tax and duty waivers for investors in fish cage farming, as it looks to aquaculture to offset declining catches from Lake Malawi and other natural water bodies. Patricia Wiskes, minister of natural resources, outlined the proposals on Saturday during a tour of Lake Malawi Aquaculture, a commercial chambo farming operation, and the Chikombe fish landing site in Salima district.

The minister said high input costs, particularly for imported equipment, were deterring investment in the sector, and that her ministry would engage the finance ministry to explore incentives that could make fish farming more commercially viable. ‘The aim is to reduce the high cost of importing essential equipment,’ Wiskes said, adding that aquaculture was being prioritised as a contributor to national development through increased fish supply and investment opportunities.

The push comes as fish stocks in Lake Malawi, long a critical source of protein and livelihoods for millions of Malawians, continue to come under pressure from overfishing and environmental degradation. Wiskes said expanding farmed fish production was essential to closing the resulting supply gap. She also sought to counter scepticism about the viability of domestically bred chambo, a popular tilapia species, noting that she had observed farmed fish weighing up to 1.2kg at Lake Malawi Aquaculture.

At Chikombe, Wiskes praised local efforts to conserve Mbenje Island, an important fish breeding ground. However, Paramount Chief Makanjira said conservation efforts were being hampered by delays in finalising by-laws governing the management of fish and other natural resources. David Nkhwazi, managing director of Lake Malawi Aquaculture, added that the sector’s growth depended on improved access to quality fingerlings, fish feed and affordable financing, alongside investment incentives.

The government has yet to confirm a timeline for finalising any tax or duty relief measures for the sector.

Article source: allafrica.com | Image credit: Nyasa Times