ZIMBABWE
Within a month after the opening of the floors in March, Zimbabwe saw a 39% increase in tobacco sales.
Over 18 million kilograms of flue-cured tobacco worth US$46.7 million had been sold at the auction floors at an average price of US$2.61, compared to tobacco sold during the same period last year when 13 m. kg. were sold at an average price of US$2.48. Average prices were up by 5% as quality tobacco started to be delivered at a rate of one million kilograms daily.
Tobacco Industry and Marketing Board (TIMB) latest figures released show that 243,356 bales of tobacco had been sold, while 19,000 bales had been rejected. Reasons for rejection included overweight, moldy, and badly handled tobacco. The highest price recorded was US$6 per kg.
TIMB spokesperson Isheunesu Moyo said, “2017 outputs are overwhelmingly high, we have good prices and high volumes of tobacco delivered as well as seasonal exports.”
The season opened this year with some farmers complaining over TIMB’s new e-marketing system and the payment system, which required them to open bank accounts into which payments would be deposited rather than receiving spot cash at the floors as in previous years.It is expected that at least $800 million is likely to be earned by farmers this season.