TIMB forecast 205m kgs in deliveries

THE Tobacco Industry and Marketing Board (TIMB) estimates that output of the golden leaf will rise two percent from a year ago to 201 million kilogrammes in the 2016⁄2017 tobacco selling season which opens on March 15.

The expected remarkable growth in deliveries — forecast to eclipse the 201 million kgs realised last year — is attributed to improved rainfall patterns this year.

As at February 9, 82 183 farmers had registered for the 2017 marketing season compared to 70 537 farmers last year.

The hectarage put under the cash crop at 107 035 hectares is significantly higher than 95 160 hectares a year earlier.

TIMB corporate communications manager Mr Isheunesu Moyo told The Sunday Mail Business that rising output is expected to be tempered by crop damage as a result of the La Nina-induced incessant rains.

“We expect this year’s output to be just above last year’s output (201 million kilogrammes).

“(Tobacco) lndustry predicts that from 107 035 hectares planted this year, we expect an output of between 1800kg and 2100 kg per hectare which translates to between 193 million kilogrammes and 220 million kilogrammes… but an output of around 205 million kilogrammes would be more realistic.

“Though we have improved rainfall patterns, some of the tobacco crops in low lying areas are experiencing the false ripening effect which comprises the output in every aspect (quality and weight),” said Mr Moyo.

The country earned more than US$1,3 billion from tobacco sales last year.

Exports topped US$736 million, while farmers pocketed the remainder off domestic auctions.

Tobacco auction floors usually open in February.

Reserve Bank of Zimbabwe (RBZ) Governor Dr John Mangudya recently advised that the marketing season, which often inject new money into the economy, should open early in order to give reprieve to a market currently starved of cash.

Tobacco is one of the country’s major foreign currency earners. The central bank has since unveiled a five percent bonus scheme for exporters. Last year, over 66 000 farmers of the golden leaf received US$29 million from the facility. For the 2016⁄2017 tobacco marketing season, TIMB has licenced three auction floors (Boka Tobacco Floors, Premier Tobacco, and Tobacco Sales Floor) and 16 contract buyers.