Decrease in tobacco quantities sold on opening day...

Decrease in tobacco quantities sold on opening day of marketing season

Decentralisation of Tobacco Auction Floors Pays Off - ZTN

Zim Now Writer

Tobacco Farmers Union Trust president Victor Mariranyika has said farmers were looking forward to a rewarding tobacco marketing season as farmers earned US$125 095 from the sale of 48 938kg of flue-cured tobacco with the highest price offered being US$4,66 per kg on the opening day of the tobacco marketing season.

Mataranyika said prices are fair adding that middlemen should be removed and farmers should sell their crop through the normal channel if they were to enjoy profits.

“Middlemen should not interfere, you need not pay money to a third party to get better prices as good quality tobacco will attract better prices. We were expecting higher prices on the opening day like what happened last year. We are concerned with the prices offered so far but we hope this will change as the season progresses,” he said.

According to Tobacco Industry and Marketing Board (TIMB) statistics, 628 bales were laid, with 578 sold compared to 1 179 bales sold during the same period last year.

Tobacco Farmers Union Trust vice president Mr Edward Dune said farmers were expecting higher prices on the opening day of the marketing season, adding that production costs were also higher.

“The prices set on the opening day pointed out that prices will also decrease after supply increases. We were expecting around US$5 per kg so that it covers all the costs we have incurred in tobacco farming,” he said.

He, however, commended the government for increasing foreign currency retention to 85 percent adding that it will motivate more farmers to join tobacco farming.

Last year, tobacco farmers earned US$650 million from the sale of 213 million kg of tobacco since the opening of the marketing season.