Statistics released by the industry regulator show that the tobacco is being sold at USD 2.96 per kilo on average and a total of USD 191.8 million had been sold by day 25 of the auction. The volume of tobacco sold is 22 per cent less than the 83.5 million kilos that had sold in the same time period in 2021 although deliveries of the golden leaf have not yet reached peak as some farmers are still harvesting, according to The Zimbabwe Mail,
Tobacco Industry and Marketing Board CEO Meanwell Gudu believes that this is down to bad weather conditions.
“There are two factors: Mainly because the rainfall season was late which forced farmers to delay growing tobacco and we had to extend the destruction of tobacco stalks for planting time by 10 days. Secondly, when the rains came they became incessant. Then there was a mid-season drought before we received more rain later on. So, most of the tobacco reverted to green so farmers are still harvesting,” he said.
Gudu went on to state that the tobacco being sold is of good quality which has resulted in a price that is 12 per cent firmer than last year, reports The Zimbabwe Mail.