Tobacco output set to fall

Zimbabwe’s tobacco output is expected to fall by 11 percent this year from 211 million kilogrammes last year, according to the Tobacco Industry and Marketing Board (TIMB).

“We had a late planting season for dryland tobacco, hailstorms and a mid-season dry spell, which will all contribute to decline in production,” a TIMB official told Business Weekly.

While the TIMB projects 11 percent decline, industry players are expecting a much higher drop.

“From our own independent assessment, we expect production to fall by 20 percent,” said an executive with a leading tobacco merchant, who requested not to be named. At peak Zimbabwe produced 253 million kg of the “golden leaf” in 2019.

TIMB statistics indicate that 122,769 growers have registered for the 2022 growing season, compared with 145,625 last year.

The Zimbabwe Tobacco Association expects good yield despite adverse weather during the growing season.

“The crop has grown out well and clean in many areas and naturally in areas that received large amounts of rains,” ZTA chief executive Rodney Ambrose said recently.

Ambrose, however, expressed concern over electricity supply.
“Extensive load shedding coupled with faults has seen growers go days and weeks without power,” said Ambrose.

During the 2022 tobacco marketing season, growers will retain 75 percent of their earnings in hard currency, up from 60 percent last season.-eBusiness Weekly