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Zimbabwe minister of agriculture addressing ITGA 2023 Africa Regional Meeting in Zimbabwe. Photo credit: ITGA
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ITGA president Jose J. Aranda - TAMA Farmers Trust Annual Congress 2023. Photo credit: ITGA
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ITGA with the TCJE in Morogoro, Tanzania, June 2023. Photo credit: ITGA
In June, the International Tobacco Growers’ Association (ITGA) visited three of the most important tobacco growing countries in the world – Tanzania, Malawi, and Zimbabwe. During the trip, ITGA’s president Jose J. Aranda consolidated the support for farmers from key stakeholders and made a call to prioritize growers’ viability. Mr. Aranda also emphasized that growers are the key strategic partners to governments and must always be put at the center of strategic decision-making processes. The country engagements included meetings with three ministers of agriculture and provided key insights regarding the latest tobacco production dynamics in Africa.
In Tanzania, ITGA connected with the Tobacco Cooperative Joint Enterprise (TCJE), an organization owned 100% by tobacco growers through their Secondary and Primary Co-operative Societies. TCJE aims to promote and protect the socio-economic interests of growers, strengthen collective bargaining, and improve local growers’ prospects through working with ITGA on international level. The visit included insightful presentations and discussions regarding the current state of the market, exchanging information about trends, threats, and opportunities. It is worth noting that the Tanzania Tobacco Board is very active in supporting the sustainable growth of the sector. The Board also shared tobacco production updates.
For example, in the 2021 season, around 58 million kg were sold with an average price of US$1.55 per kg. During last season, 2022, production grew to 61 million kg with an average price of US$1.79 per kg. The current season, 2023, is showings drastic increase, a total of around 120-125 million kg are expected with an average price exceeding US$2.30 per kg. What is more, the Board is taking measures to grow production to over 230 million kg in 2024.
ITGA’s delegation was also welcomed by the minister of agriculture, the Hon. Hussein M. Bashe (MP) who stated the importance of tobacco growing in Tanzania and his commitment to support ITGA in its efforts to help growers build their capacity towards sustainable tobacco production. Tanzania treats tobacco as one of its five strategic crops. It is in the top three commodities in terms of foreign exchange earnings and more than 2.5 million people are directly or indirectly employed in the sector. Local stakeholders also showcased their efforts in sustainability recognizing that more needs to be done to ensure the long-term prospects of growers.
In Malawi, ITGA participated in the 35th Annual Congress of TAMA Farmers Trust, a founding member of the association. The meeting was officially opened by the Hon. Sam D. Kawale, minister of agriculture of Malawi. Mr. Aranda conveyed key messages to him, on behalf of ITGA member associations and the millions of farmers ITGA represents: “We need to reinforce the commitment between growers’ bodies and governments against the demonization of our sector.”
In Malawi, tropical storm Freddy which originated from the Indian Ocean swept through the southern part of the country affecting 14 out of 28 districts. This forced the president to declare state of disaster in the affected areas. By mid-July, over 114 million kg of tobacco were sold (burley: 98 million kg; FCV: 14 million; and dark-fired: 2 million) for an average of around US$2.35 per kg. In comparison, during the same time last year, 68 million kg of tobacco were sold at an average of US$2.09 per kg.
According to the Tobacco Commission, the industry has a five-year plan aimed at increasing production. It is planned that by year 2028, the country should reach 200 million kg. Ultimately, the positive pricing trend is likely to attract more growers in the 2024 season. In 2023, during the Labor Day celebrations in Malawi, TAMA Farmers Trust was awarded the Best Organization in Fighting Child Labor in Agriculture. TAMA’s c.e.o. Nixon Lita received the award from Malawi’s president, Dr. Lazarus Chakwera.
In Zimbabwe, ITGA participated in the Zimbabwe Tobacco Association (ZTA) 63rd Annual Congress, another founder member of the ITGA, where important country-specific dynamics were discussed. Growers voiced their concerns regarding specific macroeconomic features of the country, including transaction taxes and a variety of tariffs that put an extra pressure on growers. The issue of deforestation was high on the agenda, something that ITGA is also actively working on. Last November, ITGA’s c.e.o. Mercedes Vazquez led an afforestation campaign in cooperation with local partners in three of the main tobacco growing districts in the country. ZTA’s president, Ryan Swales emphasized the importance of growers’ viability and the sustainability of the crop. By mid-July a total of 289 million kg were produced at average price of US$3.03 per kg. While production volume growth is close to 50% on yearly basis, pricing is slightly decreasing (-1.0%). This creates a lot of complications for Zimbabwean growers as cost of production has skyrocketed during the last two seasons.
The ITGA also conducted its 2023 Africa Regional Meeting in Zimbabwe. It was officially opened by the guest of honor – the minister of lands, agriculture, fisheries, water and rural development, Dr. A.J. Masuka (M.P) who highlighted the central role of tobacco growing for Zimbabwe’s economy. Dr. Masuka provided details about the country’s Tobacco Transformation Plan 2025 that is supposed to increase value addition of the crop and improve local earnings. Dr. Masuka aims at record volumes, record earnings and record average prices for tobacco growers. In addition, Dr. Masuka stated that the actions of the World Health Organization (WHO) Framework Convention on Tobacco Control (FCTC) are “ill-informed and ill-timed”. “Tobacco in Zimbabwe is an important crop, and we are not making any apologies about it.”
Going forward this year, ITGA will participate in the InterTabac/InterSupply trade fair and be part of the discussions panel. Ahead are also the 2023 Annual General Meeting in Africa and the World Tobacco Growers’ Day (WTGD) celebrations on 28 October. ITGA’s president Jose J. Aranda calls on governments to support growers in their sustainable tobacco production efforts as the livelihoods of millions of people around the world depend on it. Tobacco growing brings valuable contributions to local economies in the form of labor, income, and further opportunities for growth.