HARARE – At least 122.5 million kilogrammes of tobacco worth a cumulative total of US$367.9 million have been sold so far at the country’s auction and contract floors since the selling season opened in March, statistics from the industry regulator show.
Tobacco is the country’s second largest foreign currency earner after gold.
The golden leaf is regarded as one of the success stories of agriculture in Zimbabwe’s post-land reform era.
In a trading update on day 33 of sales, the Tobacco Industry and Marketing Board said sales had gone up 32,1 percent from US$278.5 million recorded in the same period last year.
The average price for auction and contract floors stood at US$3 per kg which is 0.77 percent higher than the US$2.98 of the 2022 marketing season.
The highest price stood at US$6.20 per kg while the lowest was at $0.10.
Rejected bales increased to 42,403 from 33,611 recorded in the same period last year.
Sales are being conducted in Harare as well as five decentralised centres in Karoi, Mvurwi, Bindura, Marondera and Rusape.
Zimbabwe expects to produce 230 million kilogrammes of tobacco this year, up from 212 million kilogrammes realised last year, following good rains and an increase in farmers who took up the lucrative crop.
About 98 percent of the total tobacco production was exported to countries such as China in its raw form, according to statistics released by the government.
Officially opening the 2023 tobacco selling season recently, Vice President Constantino Chiwenga also said that the country’s lands ministry was in advanced discussions for value addition of Zimbabwe’s tobacco with local and foreign investors.
