Tobacco income down

Tobacco sales in Zimbabwe generated $19.4 million in the first 17 days of the 2019 marketing season, compared with $81 million over the same period last year. According to the Tobacco Industry Marketing Board (TIMB) deliveries of the crop are down 62 percent to 11.2 million kilograms.

This season 85 percent of the national crop is estimated to be contracted, according to NewsDay. Due to high transportation and selling charges, growers reportedly prefer making bulk deliveries.

Grade prices have been lower than they were during previous seasons. According to Shadreck Makombe, president of the Zimbabwe Commercial Farmers’ Union,  the majority of farmers are holding onto their crop in anticipation of better prices.

“From the onset the opening prices were low, and they demotivated farmers, so they are being forced to hold on their crop anticipating that as the season progresses prices will increase,” said Makombe.

“The buyer is saying this year’s quality is lower than last year’s. But as farmers we are saying the quality is good, it seems they don’t have money.”