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As Fuel Shortages Deepen, Malawi Moves to Reassert State Control Over Imports

As Fuel Shortages Deepen, Malawi Moves to Reassert State Control Over Imports
Tuesday, 16 December 2025 17:34
  • Malawi plans state takeover of majority fuel imports to curb shortages
  • NOCMA to import about 60% of fuel in 2026-27
  • Private importers remain active amid foreign currency constraints

Malawi’s government plans to assume control over most fuel imports, a role previously dominated by private operators, as it seeks to stabilise recurring supply shortages, local media reported on Monday.

Under the new arrangement, the state-owned National Oil Company of Malawi (NOCMA) will be responsible for importing about 412,000 metric tons of fuel during the 2026–27 financial year, equivalent to roughly 60% of national consumption, the reports said.

The decision significantly expands the role of the public importer in supplying the domestic market. NOCMA has launched tenders to appoint suppliers to deliver fuel through multiple international routes, including the Mozambican ports of Beira and Nacala and Tanzania’s port of Dar es Salaam, in an effort to reduce the risk of supply disruptions.

The shift comes as NOCMA works to rebuild Malawi’s strategic fuel reserves, which authorities said were depleted just over a year ago, raising concerns at the time about the country’s ability to meet domestic demand.

Despite the state’s expanded role, private operators will not be excluded from the market. They are expected to continue importing fuel volumes alongside NOCMA. A private consortium, Petroleum Importers Limited, has already issued a tender for about 176,300 tons of fuel covering the same period.

Fuel shortages in Malawi have been closely linked to a persistent lack of foreign currency, which has constrained private importers’ ability to pay for shipments. At times, the shortage of hard currency has forced the suspension of imports and led to fuel rationing.

In the near term, the government’s move toward a more centralised import system does not guarantee a full normalisation of fuel supply. Its success will depend on NOCMA’s capacity to secure adequate financing, maintain regular deliveries and obtain sufficient foreign currency to settle supply contracts.

The government, including the Ministry of Natural Resources, Energy and Mining, is working on measures to ease access to foreign currency. These include discussions with financial institutions aimed at securing larger credit facilities.

Abdel-Latif Boureima

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