Tobacco Earnings Hit US$678 Million as Sales Surge...

Tobacco Earnings Hit US$678 Million as Sales Surge 21%

Zim Now Writer

Zimbabwe’s tobacco industry has generated US$678.3 million since the 2025 marketing season began on March 5, with farmers having sold 220.6 million kilogrammes of flue-cured tobacco through contract and auction floors. This marks a 21 percent increase compared to the US$559.7 million realised from 159.3 million kilogrammes sold during the same period last year.

Tobacco remains strategically important to Zimbabwe’s economy as the country’s second-largest single export after gold. Deliveries to the auction floors have continued to rise steadily, with volumes averaging around five million kilogrammes per day, according to statistics from the Tobacco Industry and Marketing Board (TIMB).

By day 51 of the marketing season, contract growers had sold at least 190.3 million kilogrammes worth US$641.5 million, while 10.3 million kilogrammes valued at US$36.7 million had been sold through the auction system. The highest price recorded on the auction floors stood at US$4.99 per kilogramme, while contract sales fetched a maximum price of US$6.30 per kilogramme.

Zimbabwe also exported 56.7 million kilogrammes of semi-processed tobacco to international markets, earning US$350.6 million at an average price of US$6.18 per kilogramme. These exports went to regions including the Far East, Africa, the Middle East, the Americas, Europe, and Oceania. The Far East was the largest importer, purchasing 31.8 million kilogrammes valued at US$250.6 million at an average price of US$7.88 per kilogramme. African countries bought 10.2 million kilogrammes worth US$44.8 million, averaging US$4.36 per kilogramme. The Middle East imported 6.5 million kilogrammes for US$18.8 million, averaging US$2.89 per kilogramme, while the European Union brought in 4.9 million kilogrammes valued at US$26.8 million at US$5.43 per kilogramme.

Other regions included Europe, which accounted for 714,800 kilogrammes worth US$1.6 million at an average price of US$2.26 per kilogramme, and Oceania, which offered the highest average price of US$8.45 per kilogramme for 28,560 kilogrammes valued at US$241,332.

Tobacco production in Zimbabwe has steadily increased since the land reform programme at the turn of the century, with more smallholder farmers entering the once-elitist sector. There are now more than 134,000 registered tobacco growers for the 2024/25 season.

TIMB public affairs officer Chelesani Tsarwe attributed the growth in revenue to several factors, including increased production volumes and the geographic expansion of tobacco cultivation. She noted that for the past two seasons, tobacco has been grown in Marula, Matabeleland South, marking a significant milestone in decentralising production beyond the traditional provinces of Manicaland and Mashonaland East, West, and Central. She said this expansion aligns with the national vision for inclusive development, and confirmed that the first sale of Naturally Cured Virginia (NCV) tobacco from the region would take place on Thursday at the Atlas Agri contract floor in Marula.

Mrs Tsarwe also emphasised that the improved quality of Zimbabwean tobacco has attracted strong international demand. She said ongoing efforts to enhance transparency and efficiency across the value chain are aimed at ensuring that the tobacco industry remains viable, inclusive, and globally competitive.