Tobacco Marketing Season Opens

Zimbabwe’s 2022 tobacco marketing season kicked off yesterday with the first bale trading for US$4,20 per kg, which was lower than US$4,30 per kg offered last year.

Speaking during an official opening of the selling season, Lands, Agriculture, Fisheries, Water and Rural Development minister Anxious Masuka said with a more stable macro-economic environment this selling season, and no fixed exchange rate, growers should clearly get better value for their effort.

He said urged merchants to pay fair prices for tobacco this selling season.

“Government now urges merchants to do their part by paying fair prices for this tobacco. The tobacco  industry regulator, TIMB (Tobacco Industry and Marketing Board), through various initiatives should continue to guide the industry towards viable and sustainable tobacco production,” Masuka said.

Masuka acknowledged that farmers operated in a challenging environment, characterised by an erratic rainfall pattern.

Heavy rains in January caused water-logging and leaching.

“Farmers look forward to getting a decent return for their effort. Contractors look forward to recovering their loans in full and making a decent profit. Banks, too, are holding their breath, looking forward to the full repayment of loans advanced in good faith to many value chain financiers. Our merchants, local and abroad, wait to see the quality of the crop and consummate deals to ensure that the entire run of the crop has a market,” Masuka said.

“As the minister responsible for this subsector, my gaze, and mind, are fixed on the entire value chain — on fairness, on ethics and probity, on transparency, on accountability, on discipline, on equity and on sustainability.  Such is the thrill, anxiety, and business that this golden leaf brings to the industry and the entire country,” Masuka added.

He said stakeholders should act to eliminate the manipulation of farmers by contractors.

“Reports of higher prices at contract sales compared to auction sales for similar grade and reports of collusion by merchants and manoeuvres by middlemen to rehandle tobacco bought cheaply from farmers should be a thing of the past. I am recommending the TIMB Inspectorate Unit to continue to work with other security agencies to eliminate these vices. Discipline must return to this important industry. Contractors should provide the prescribed minimum support package for both smallholder and commercial farmers and farmers must repay this support through delivery of the crop to contractors while avoiding side-marketing,” Masuka added.