{"id":79382,"date":"2019-06-20T11:20:48","date_gmt":"2019-06-20T09:20:48","guid":{"rendered":"http:\/\/www.times.mw\/?p=79382"},"modified":"2019-06-20T11:20:48","modified_gmt":"2019-06-20T09:20:48","slug":"expert-tips-malawi-on-fuel-cost-cutting","status":"publish","type":"post","link":"https:\/\/archive.times.mw\/index.php\/2019\/06\/20\/expert-tips-malawi-on-fuel-cost-cutting\/","title":{"rendered":"Expert tips Malawi on fuel cost cutting"},"content":{"rendered":"<p><strong><em>By Chimwemwe Mangazi: <\/em><\/strong><\/p>\n<figure id=\"attachment_79387\" aria-describedby=\"caption-attachment-79387\" style=\"width: 300px\" class=\"wp-caption alignleft\"><a href=\"\/\/www.times.mw\/wp-content\/uploads\/2019\/06\/pascal-chikaonda.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"size-medium wp-image-79387\" src=\"http:\/\/www.times.mw\/wp-content\/uploads\/2019\/06\/pascal-chikaonda-300x298.jpg\" alt=\"\" width=\"300\" height=\"298\" srcset=\"https:\/\/archive.times.mw\/wp-content\/uploads\/2019\/06\/pascal-chikaonda-300x298.jpg 300w, https:\/\/archive.times.mw\/wp-content\/uploads\/2019\/06\/pascal-chikaonda-150x150.jpg 150w, https:\/\/archive.times.mw\/wp-content\/uploads\/2019\/06\/pascal-chikaonda-32x32.jpg 32w, https:\/\/archive.times.mw\/wp-content\/uploads\/2019\/06\/pascal-chikaonda.jpg 367w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/><\/a><figcaption id=\"caption-attachment-79387\" class=\"wp-caption-text\">CHIKAONDA\u2014This system is killing haulage capacity<\/figcaption><\/figure>\n<p>Logistics expert, Pascal Chikaonda, has said Malawi must quit the Delivered Duty Unpaid (DDU) system of procuring fuel if it is to reduce importation costs.<\/p>\n<p>Chikaonda, a former chief executive officer of Malawi Cargo Centre Limited, said the system was expensive.<\/p>\n<p>DDU system entails that a seller will assume liabilities and costs associated with delivering goods to a country, with the buyer assuming the duty fees or costs to bring the product into the country.<\/p>\n<p>It is similar to Cost Insurance and Freight system, which are expensive and give power to the supplier to use a forwarder or transporter of his choice who may charge the buyer more in order to increase the profit on the transaction.<\/p>\n<p>In an interview, Chikaonda said lack of aggressiveness among players in the transport sector was weakening the industry.<\/p>\n<blockquote><p><em>\u201cUsing this system is killing haulage capacity, instead of growing it. In terms of policy, my view is that you are becoming more land-locked because, initially, the whole idea of the northern corridor was for Malawians to manage all the way to Dar es Salaam.<\/em><\/p>\n<p><em>\u201cThe next step was for us to have ships and be able to buy FOB (Free on Board) and we should have been buying local insurance, thereby, preserving our forex,\u201d<\/em> he said.<\/p><\/blockquote>\n<p>In April this year, a group of concerned fuel haulers called on the government to abolish the DDU system, saying out of 300 transporters that are given the business, only 10 are locals.<\/p>\n<p>At the time, president of the Road Transporters Association confirmed the concerns raised by the transporters, but was quick to indicate it was engaging authorities on the same.<\/p>\n<p>Most of Malawi\u2019s fuel imports are supplied via Mozambique and Tanzania.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>By Chimwemwe Mangazi: Logistics expert, Pascal Chikaonda, has said Malawi must quit the Delivered Duty Unpaid (DDU) system of procuring fuel if it is to reduce importation costs. Chikaonda, a former chief executive officer of Malawi Cargo Centre Limited, said the system was expensive. DDU system entails that a seller will assume liabilities and costs [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-79382","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/archive.times.mw\/index.php\/wp-json\/wp\/v2\/posts\/79382","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/archive.times.mw\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/archive.times.mw\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/archive.times.mw\/index.php\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/archive.times.mw\/index.php\/wp-json\/wp\/v2\/comments?post=79382"}],"version-history":[{"count":1,"href":"https:\/\/archive.times.mw\/index.php\/wp-json\/wp\/v2\/posts\/79382\/revisions"}],"predecessor-version":[{"id":79388,"href":"https:\/\/archive.times.mw\/index.php\/wp-json\/wp\/v2\/posts\/79382\/revisions\/79388"}],"wp:attachment":[{"href":"https:\/\/archive.times.mw\/index.php\/wp-json\/wp\/v2\/media?parent=79382"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/archive.times.mw\/index.php\/wp-json\/wp\/v2\/categories?post=79382"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/archive.times.mw\/index.php\/wp-json\/wp\/v2\/tags?post=79382"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}