Tobacco volumes to surpass target

FARMERS have sold 191 million kilogrammes of flue- cured tobacco as the sector is expecting the volumes to surpass the 200 million kilogramme target.

The 2021 selling season officially closed last week although business is still continuing at the contract floors.

The flue- cured auction tobacco clean up sale for the 2021 marketing season will be held on August 5.

Depending on the volumes delivered, the clean-up sale may be continued for more than one day and until all delivered tobacco has been sold.

The Tobacco Industry and Marketing Board latest statistics show that farmers have sold 191 million kilogrammes worth US$ 531, 3 million which is an increase of 14 percent from the 167,4 million kilogrammes sold during the same period last year.

chief executive, Mr Meanwell Gudu said TIMB indications were that tobacco deliveries will slightly surpass the 200 million kilogramme target.

“We will slightly go above 200 million kilogrammes. From the information we have gathered commercial farmers are still delivering, some big contractors also still have significant volumes still to be accounted for,” he said.

Some farmers said the auction floors had closed early as they still had tobacco at their farms.

Premier Tobacco Floors executive director, Mr Owen Murambi also confirmed that they were still receiving significant volumes from farmers.

He said they were afraid the tobacco could be side marketed.

According to the Second Crop and Livestock Assessment report for the 2020/ 21 season Tobacco production is expected to increase by eight percent from 184 042 tonnes produced last year to 200 245 tonnes in the current season.

Farmers plated 125 176 hectares of tobacco during the 2020/21 season, an increase from the 117 976 hectares last season.

The bulk of the crop was this season sold through the contract floors.

Farmers sold 178, 5 million kilogrammes of tobacco through the contract floors while 12, 3 million kilogrammes were sold at the auction floors.

Stakeholders in the industry have expressed concern with others recommending authorities to ensure there sustainable funding for smallholder farmers if the auction floors are to remain in business.

A number of farmers said they were expecting the Agriculture Finance Corporation to assist farmers with affordable funding.