Zimbabwe’s tobacco sector is set for a significant growth, with projections indicating it could become US$7 billion industry by 2030.
Key drivers include increased local financing, enhanced value addition, and expanded production.
This growth is expected to create new opportunities for farmers, investors and the broader economy.
According to the Ministry of Lands, Agriculture, Fisheries, Water and Rural Development’s Agriculture Food Systems and Rural Transformation Strategy 2 (AFSRTS2) for 2026-2030.
This is expected to elevate the tobacco sector’s gross value contribution from US$1,163 billion in 2025 to US$1,967 billion by 2030, a 11,2 percent contribution to overall agricultural gross value.
Gross Value Contribution, more commonly referred to as Gross Value Added (GVA), is an economic indicator that measures the contribution of a company, industry, or sector to the economy
“To capture niche markets, new types of tobacco, such as naturally cured, dark fire-cured, cigar and shisha tobacco, will also be promoted,” read the document.
Zimbabwe is not only Africa’s largest tobacco producer but also ranks fourth globally, trailing only China, India and Brazil.
“The tobacco sector supports over 130 000 households and accounts for more than half of the nation’s agricultural exports.
“Over 85 percent of the tobacco is produced by small-scale farmers, with more than 60 percent benefiting from the land reform programme.
“The Tobacco Transformation Plan, initiated in 2022, is being revised to incorporate lessons learned from the 2022-2025 period.
“This updated plan prioritises local financing, aimed at enhancing value addition and seeks to increase production to 500 million kilogrammes per year by 2030,” reads the strategy document.
The ministry is confident that the transformation plan will not only strengthen the country’s economy but also improve the livelihoods of small-scale farmers and their families.
However, the Zimbabwean tobacco industry faces significant challenges, including global anti-smoking campaigns, traceability regulations, concerns regarding deforestation, child labour issues, marketing obstacles and outdated legislation.
According to Lands, Agriculture, Fisheries, Water and Rural Development Minister Dr Anxious Masuka, the AFSRTS 2 is a product of wide stakeholder consultations, and input and contributions by a diverse cross-section of society, policymakers, value chain specialists, farmers, input suppliers, financiers, Government ministries, departments and development partners, among others.
“The AFSRTS2 is, for convenience, arranged around 10 pillars: enabling policy, regulatory and coordination environment; sustainable production and productivity; research, innovation, technology and modernisation; climate adaptation, mitigation and resilience building; rural industrialisation and rural development.
“The other pillars include investment and finance markets and trade development; enabling infrastructure development, rehabilitation and management of land and security of tenure and building internal capacity to deliver transformation,” he said.-herald
