Economy

Malawi is among the world's least developed countries, with most of the population involved in subsistence agriculture. The principal crops are corn, cotton, millet, rice, peanuts, cassava, and potatoes. Tobacco, tea, sugarcane, and tung oil are produced on large estates. With the aid of foreign investment, Malawi has instituted a variety of agricultural development programs. Large numbers of poultry, goats, cattle, and pigs are raised.

There are small fishing and forest products industries. Deforestation has become a problem as the growing population uses more wood (the major energy source) and woodland is cleared for farms. Practically no minerals are extracted, but there are unexploited deposits of bauxite, uranium, and coal. Malawi's few manufactures are limited to basic goods, such as processed food and beverages, lumber, textiles, construction materials, and small consumer goods.

Leading imports are foodstuffs, petroleum products, manufactured consumer goods, and transport equipment; the principal exports are tobacco, tea, sugar, coffee, peanuts, and forest products. The chief trade partners are South Africa, Germany, the United States, and Japan. Most of the country's foreign trade is conducted via Salima, a port on Lake Nyasa, which is connected by rail with the seaport of Nacala in Mozambique. Malawi is a member of the Southern African Development Community.

The Columbia Electronic Encyclopedia, 6th ed. Copyright © 2007, Columbia University Press. All rights reserved.

• • Cite
  • Print