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Country Commercial Guides for
FY 2000: Malawi

Report prepared by U.S. Embassy Lilongwe, released July 1999    Note*

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CHAPTER V. Leading Sectors for U.S. Exports and Investment

Best Prospects For Non-Agricultural Goods and Services

Used Clothing

35. The Government of Malawi legalized the importation of used clothing in 1994. Given most people's limited purchasing power, used clothing is in great demand.

Used Equipment/Vehicles

36. Used equipment and vehicles -- particularly trucks -- are in demand.

Computers and Computer Peripherals

37. U.S. products dominate about half of the growing Malawi market for computers and computer peripherals.

Aid Projects

38. Donor support for Malawi has created opportunities for U.S. businesses to supply materials, equipment, and expertise for donor-financed projects in various areas, especially the Government's priority sectors outlined in paragraph 40. The U.S. Agency for International Development (USAID), the World Bank, and the African Development Bank/Fund are the major donors for projects for which U.S. firms are eligible. (Paragraph 31 contains procedures for public tenders.)

Telecommunications

39. The Government of Malawi is upgrading its telecommunications systems. Some U.S. firms have already entered this sector, but opportunities for other firms still exist. Malawi's second GSM cellular telephone network -- "Celtel Malawi " operated by Mobil Systems International (MSI) of Britain -- began operations in Blantyre in July. MSI plans to expand service to Lilongwe, Mzuzu, Zomba, Salima, and parts of the southern lakeshore later in 1999. Malawi's 1998 Telecommunications Bill ordered the division of the Malawi Post and Telecommunications Corporation (MPTC) into a private telecommunications company and a state-owned postal service. It further called for the creation of an independent body to regulate postal and telecommunications (including radio, television, telephone, and Internet) services. In May 1999 President Muluzi appointed the first nine-member board of the new regulatory body, known as the Malawi Communications Regulatory Authority (MACRA). Malawi has not yet identified a strategic partner for the future Malawi Telecommunications Company, as is called for in the 1998 Telecommunications Bill.

Best Prospects for Agricultural Products

40. Agriculture is the sector in which Malawi competes most successfully in international markets. Tobacco, tea, sugar and coffee are Malawi's most important cash crops. Given the uncertain long-term outlook for tobacco sales, Malawi needs alternative export crops. U.S. goods or technical know-how that could adapt in a cost-effective manner to Malawi agricultural conditions and boost the quality, quantity, or diversity of crops might find a profitable market.

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Note* International Copyright, United States Government, 1999. All rights under foreign copyright laws are reserved. All portions of this publication are protected against any type or form of reproduction, communications to the public and the preparation of adaptations, arrangement and alterations outside the United States. U. S. copyright is not asserted under the U.S. Copyright Law, Title 17, United States Code.

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