Tobacco rakes in $411m

TOBACCO farmers have collectively earned over $411 million from the sale of 140 million kilogrammes of fluecured tobacco since the opening of the marketing season in March.

This is an increase of eight percent from the $379,3 million earned from the sale of 129 million kilogrammes during the same period last year.

According to the latest statistics from the Tobacco Industry and Marketing Board, by day 56, farmers had sold 27 million kilogrammes of tobacco worth $69 million through the auction floors while 114 million kilogrammes worth $342 million were sold through the contract floors.

By day 53 of the sales, Mashonaland Tobacco Company was leading the contract buyers list, having bought 18 million kilogrammes of the crop worth $49 million, Boost Africa bought 16 million kilogrammes worth $43,3 million, and Northern Tobacco bought 15,8 million kilogrammes worth $51 million.

TianZe bought 13,3 million kilogrammes worth $61,3 million, while Chidziva bought 10,4 million kilogrammes worth $26,1 million.

TianZe has so far offered the highest price of $6,25 per kg since the opening of the season, while the highest price at the auction floors has remained at $4,99 per kg for the past few years, a development that has seen farmers questioning the pricing system.

Zimbabwe Commercial Farmers Union president Mr Wonder Chabikwa said the marketing of the crop had stabilised and the only challenge was the shortage of cash.

“Marketing of the crop is going on well and prices have stabilised.

“Those with high quality crop are getting high prices, and this should be the case. Some tobacco growers have started establishing seedbeds for the next season,” he said.

TIMB public relations manager Mr Isheunesu Moyo said the board was happy with the tobacco deliveries.

“We have received over 140 million kilogrammes of tobacco against a target of 175 million kilogrammes .

“We are confident that we will get to the target against the backdrop of the El Nino.

“We commend farmers for implementing good agronomic practices that mitigated against the affects of the El Nino weather phenomena,” he said.