Mozambique’s Institute of Cereals (ICM) has suspended, for an indefinite period, the rice and wheat import operations of three companies over alleged repeated violations of applicable import regulations. The decision, effective from Tuesday, 13 October, was accompanied by the seizure of 34,300 tonnes of cereals, which may be forfeited to the state if the identified irregularities are not rectified within legally established timeframes.

According to an ICM statement cited by the Lusa news agency, the measure covers Companhia Industrial da Matola (CIM), África Indústria, and Pembe Mozambique — all of which the regulator accuses of carrying out repeated import operations without the required authorisation.

“The measure results from the repeated conduct of irregular imports, without the proper authorisation of the ICM, in violation of the legal framework governing the importation of those products,” the institute stated.

Among the seized goods are 3,300 tonnes of wheat imported by CIM on 9 October through the Port of Matola, a further 6,000 tonnes of wheat belonging to Pembe Mozambique, and 25,000 tonnes of rice held by África Indústria.

The ICM clarified that the cereals may revert to the state if the companies fail to regularise their situation within the legally prescribed deadlines. In parallel, instructional proceedings are under way to determine the nature of the infractions and establish the applicable fines.

The suspension will remain in place until the identified situations are resolved, but does not prevent the three companies from sourcing raw materials on the domestic market, provided they comply with legal procedures. The institute said this provision is intended to allow the continuation of industrial activity and safeguard supply chains.

The decision arises within the framework of a new cereal import model, under which the ICM has been assigned exclusive responsibility for coordinating rice and wheat import operations.

The government has justified the mechanism by citing the need to strengthen import controls and combat the alleged illegal outflow of foreign exchange through over-invoicing practices.

The new regime entered into force on 1 February 2026 for rice and was extended to wheat on 1 May.

The measure has nonetheless raised concerns within the private sector. In January, the Confederation of Economic Associations of Mozambique (CTA) warned of the risk of losing approximately 30,000 jobs — 10,000 direct and 20,000 indirect — and of potential impacts on private investments valued at approximately US$500 million.

In a letter addressed to the Minister of Economy, the organisation also warned of the risk of breaches of international contracts and financial losses for companies affected by the centralisation of imports.

For his part, ICM Director-General Luís Fazenda had previously argued that the new model would help combat over-invoicing practices which, according to the institute’s own estimates, cause annual losses of approximately US$100 million to the state.

He explained that the mechanism would operate similarly to the model adopted in the fuel sector, concentrating international orders through the ICM, with operators required to present bank guarantees.

In the wake of the suspensions now announced, the institute called on companies to comply with licensing and import authorisation procedures, reaffirming its intention to strengthen oversight and transparency in the cereals market.