A study was conducted to identify marketing structure, players, prices and profit margins of local chickens in rural and urban Lilongwe, Malawi. One rural market (Mitundu) and two urban markets (Lilongwe and Kawale) were visited three times during the dry season and two times during the wet season from 2002 to 2003. Male middlemen sold both male and female local chickens of all phenotypes at the three markets. Middlemen at Mitundu bought their chickens from farmers and trading centres in surrounding villages and from Mozambique. Middlemen at urban markets bought chickens from rural and district markets and used public transport for the chickens. Purchasing, selling prices and profit margins were higher for urban markets than for the rural market. Selling prices for all markets were higher during the dry season. Profit margins at urban markets were higher during the wet than the dry season. Chickens sold during the dry season were heavier (1.50 kg ± 0.03) than during the wet (1.38kg ± 0.03) season. Live weights positively influenced pricing and profit margins. It is concluded that a marketing chain exists for local chickens. Farmers transact in form of cash and barter at village level, whereas afterwards male middlemen control the market.