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In defence of trade

Attempts to curb cross-border informal trade are short-sighted, and should stop

Credit: OpenStreetMap contributors

Good afternoon. Authorities on both sides of the Mozambique-Malawi border are trying to stop small-scale producers of food and cash crops from selling their produce across the border — but why?

In Niassa province, the owner of a soya oil production facility in Cuamba is complaining he can’t get hold of enough soya, and has had to shut down production. Meanwhile soya, as well as maize, tobacco, and vegetables are being sold — nay “smuggled” — into Malawi by small-scale producers.

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On the Malawian side, the government is concerned that food imports are hurting local production, and depleting scarce reserves of foreign exchange — though they’re probably not too concerned about their reserves of meticais, and besides, the two countries’ currencies are both used by people on both sides of the border.

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