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Malawi Suspends Fuel Imports via Beira
According to a statement issued by the Malawi Petroleum Company and an article recently issued and published in Mozambique news channels, Malawi and Zambia have temporarily suspended imports of fuel via Beira.
In light of the ongoing political unrest, strikes and demonstrations in Mozambique, Malawi (through the Ministry of Energy and the Malawi Energy Regulatory authority - MERA) has resorted to the suspension of fuel imports via Beira, due to safety concerns for the transporters, and for fear of loss should anything happen to the cargo en route to Malawi.
For the past couple of months the nation has been experiencing fuel shortages countrywide which is evident daily in motorists queuing up to fill their vehicles and containers in those fuel stations that still have petrol in stock.
The fuel restrictions in Malawi are largely due to shortages in forex in the country. The move to temporarily suspend fuel importation via Mozambique (Beira) means that the most significant percentage of fuel volume will now come via the north side of Mozambique (Nacala) and Dar es Salaam. According to MERA, in good times Malawi imports up to 50 % of its fuel via Beira, 20% via Nacala and 30% via Dar es Salaam.
As much as Dar es Salaam is a reasonable alternative source for petroleum products, the distance to Blantyre is considerable, and it carries a cost burden for the National Oil Company of Malawi (NOCMA) and their independent counterpart Petroleum Importers Limited (PIL).
The other likely challenge will be delays in deliveries to the Blantyre depot and to the Oil Marketing Companies (OMCs), who are most likely to suffer if the sporadic supplies don't improve or if the situation gets worse.
Motorists are hoping that the political unrest in Mozambique improves so that the fuel importation process returns to normal going into the festive season where holiday travellers abound and a busy new year beckons.