Mozambique's Institute of Cereals (ICM) has lifted its import suspension on rice and wheat imposed against Pembe Mozambique, after the company rectified the circumstances that prompted the measure. Companhia Industrial da Matola (CIM) and África Indústria remain barred from importing both cereals until they meet the regulator's requirements.

The decision was announced in a statement issued on Thursday, 15 October, two days after the suspension of all three companies for alleged violations of import procedures. According to the ICM, Pembe may resume importing rice and wheat upon submission of the relevant applications and compliance with established rules.

The institute did not indicate a timeline for lifting restrictions on the remaining companies, reiterating that any reinstatement depends on the regularisation of identified irregularities.

When announcing the suspension on 13 October, the ICM said it had seized 34,300 tonnes of cereals: 3,300 tonnes of wheat imported by CIM, 6,000 tonnes of wheat belonging to Pembe, and 25,000 tonnes of rice from África Indústria. CIM's cargo had been seized on 9 October at the Port of Matola.

'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 institution stated.

CIM has contested the suspension, describing it as 'legally inadmissible.' In a statement cited by Lusa, the company alleged that it was neither notified of any infringement proceedings nor heard before the decision was taken, and was therefore denied the opportunity to exercise its right of defence.

The company also rejected the classification of its import as irregular, arguing that the 3,300 tonnes of wheat complied with customs procedures and that unloading had been expressly authorised by the competent authorities.

According to CIM, the dispute is linked to the new cereal import mechanism, whose legality it is challenging before the administrative courts. The company says it has filed for a declaration of nullity of the regulations that, in its view, establish an 'illegal monopolistic regime.'

The model assigns the ICM responsibility for conducting rice and wheat imports and was introduced in February 2026 for rice and in May for wheat. The government justified the centralisation on the need to control foreign exchange use and combat alleged over-invoicing practices.

According to estimates previously presented by the institute, such practices cause annual losses of approximately US$100 million. The institution argues the mechanism will increase operational transparency and improve market organisation.

The regime has nonetheless faced opposition from the private sector. In January, the Confederation of Economic Associations of Mozambique (CTA) warned of risks to approximately 30,000 jobs — 10,000 direct and 20,000 indirect — and investments estimated at US$500 million. The organisation also cautioned against potential breaches of international contracts and financial losses for operators.