Tobacco farmers in Zimbabwe can expect better yields for their crop this marketing season, after structural economic issues that negatively affected prices last year were resolved, the Tobacco Industry and Marketing Board (TIMB) said, The Herald reported.

TIMB chief executive Andrew Matibiri said that farmers received low prices last year after Zimbabwe switched from a US dollar monetary regime to national currency at a 1-to-1 crossover. According to the report, Matibiri said that this negatively affected the amount of money tobacco merchants eventually paid for tobacco, resulting in greatly reduced prices paid to farmers for their labour.
The average tobacco price last year was 31 per cent lower than the year before. The average price in 2018 was 2.92 US cents per kg compared to US 2.02 cents last year. Deliveries last year hit a record of 258 million kg, after exceeding the previous high of 252 million kg.
“Personally, I remain very positive that prices will be much better than they were last year and the demand for Zimbabwean tobacco is still there. Zimbabwean tobacco is a premium product and it is wanted by all cigarette manufacturers for inclusion in their blends,” Matibiri was quoted as saying.
Tobacco contributes significantly to the gross domestic product and employs almost 60 per cent of workers in agriculture. The “golden leaf” is a strategic crop to the domestic economy, generating about USD 1 billion in exports for the country annually, the report said.
The opening date for this year’s tobacco marketing season has not yet been set, but indications are that the deliveries will start at least a month from now.