Competition and Fair Trading Commission of Malawi

CFTC actively monitors contract farming - Kaunda
The Competition and Fair Trading Commission (CFTC) actively monitors and evaluates contract farming to ensure that they are fair to all parties involved.

Speaking during a community sensitization meeting at Ndalama Village T.A Khongoni in Lilongwe on Friday 29th May, CFTC Chief Executive Officer, Desmond Kaunda said the Commission provide guidance to both farmers and buying companies on best practices, inspect marketplaces.

“We investigate complaints where companies may be using unfair terms such as complicated language, failure to disclose pricing structures, or delaying payments, that disadvantage the farmer,” said Kaunda.

From May 19 to 29, 2026, the Competition and Fair Trading Commission (CFTC) conducted a nationwide campaign to sensitize rural communities on consumer protection, competition laws, and contract farming.

Through this initiative, the CFTC aims to bridge the information gap in rural areas. By bringing essential knowledge directly to these communities, the Commission empowers citizens to identify and avoid unfair trading practices, such as the sale of defective or uncertified goods, while ensuring they understand their rights, how to report violations, and how to hold businesses accountable.

In March, through a similar initiative, the CFTC visited the rural areas of Dowa, Mchinji, Thyolo, Blantyre, Rumphi, Nkhata Bay, Dedza, and Ntcheu

CFTC Empowers Rural Communities on Consumer Protection

From May 19 to 29, 2026, the Competition and Fair Trading Commission (CFTC) conducted a nationwide campaign to sensitize rural communities on consumer protection, competition laws, and contract farming.

The comprehensive program utilized a multi-faceted approach, including direct community engagement, radio broadcasts, and targeted shop inspections. The Commission’s teams visited the following districts: Chitipa, Karonga, Nkhata Bay, Nkhotakota, Salima, Ntchisi, Nsanje, Chikwawa, Chiradzulu, Balaka, Mangochi, and Machinga.

Through this initiative, the CFTC aims to bridge the information gap in rural areas. By bringing essential knowledge directly to these communities, the Commission empowers citizens to identify and avoid unfair trading practices, such as the sale of defective or uncertified goods, while ensuring they understand their rights, how to report violations, and how to hold businesses accountable.

In March, through a similar initiative, the CFTC visited the rural areas of Dowa, Mchinji, Thyolo, Blantyre, Rumphi, Nkhata Bay, Dedza, and Ntcheu

CFTC ADVISES FDH BANK TO IMPROVE COMPLAINT HANDLING

The Competition and Fair Trading Commission (CFTC) has advised FDH Bank to enhance its complaint-handling mechanisms to better protect consumer welfare.

Speaking during a training session at the Lilongwe Hotel on Saturday, April 18, 2026, the Commission highlighted the importance of resolving consumer issues promptly—specifically regarding refunds for failed transactions—to avoid unnecessary public inconvenience.

In his opening remarks, CFTC Acting Chief Executive Officer Edward Joshua emphasized the Commission’s desire to increase awareness of consumer protection and competition laws.

“Our objective is not to rush to punish companies with penalties, but to ensure they follow the law. One of the ways we achieve this is through sensitization meetings like these,” said Joshua.

FDH Holdings Compliance Manager Ronald Bunyani acknowledged the value of the workshop, noting its relevance to their operations.
“What we have learned today will go a long way in ensuring that we comply with competition and consumer protection standards,” Bunyani stated.

During the session, the CFTC delivered presentations focusing on digital financial platforms addressing common pitfalls and dispute resolutions. The presentation also focused on compliance programmes such as the necessity of internal frameworks to prevent legal breaches.

Under the CFTA Regulations, the CFTC is empowered to train organizations to improve legal compliance. This session follows recent training conducted for other major entities, including Chipiku Stores, Illovo Sugar, Old Mutual, the Institute of Marketing in Malawi, and the Rotary Club of Lilongwe.

MARKETERS URGED TO DISCLOSE TERMS AND CONDITIONS

The Competition and Fair Trading Commission (CFTC) on Tuesday evening encouraged Malawian marketers to disclose the Terms and Conditions (T&Cs) of their campaigns to consumers.

Speaking during a webinar organized by the Institute of Marketing in Malawi (IMM), CFTC Chief Consumer Analyst Augustine Nyirenda emphasized the importance of marketers presenting T&Cs at the onset of a campaign.

“Where applicable, terms and conditions may be negotiated and agreed upon,” Nyirenda stated.

He further noted that the Competition and Fair Trading Act (CFTA) stipulates that a contract is regarded as unfair if it causes a significant imbalance between the parties involved.

During the hour-long session, which was attended by over 60 IMM members, Nyirenda also highlighted, legal and ethical responsibilities of marketers, common unethical marketing practices and their legal consequences, best practices for responsible marketing and the role of the CFTC in safeguarding consumer interests.