Tobacco Commission (TC) has this far licensed about 52 000 tobacco farmers to grow 229 million kilogrammes (kg) of the leaf despite not knowing the buyers’ demand or international trade requirements for this season.
TC spokesperson Telephorus Chigwenembe, who indicated that the licensing exercise closes on October 31, said in an update yesterday that they do not expect the buyers’ demand to differ from last year’s licensed volume of 190 million kg
million kg of tobacco, but the farmers ended up producing 133 million kg, which raked in $395 million (about K692 billion), a 40 percent jump from the previous year’s $282 million (about K493 billion).
Chigwenembe said licensed tobacco volumes are showing a positive trajectory and that farmers will meet the buyers’ demand.
Over the past years, farmers have been failing to meet buyers’ demand due to various factors, including weather-related ones.
But in a separate interview yesterday, long time tobacco farmer, Abiel Kalima Banda, attributed the failure to meet both the licensed and buyers’ demand to low prices that have been demoralising farmers apart from weather shocks.
“The main reasons for underproduction were two, namely poor prices and weather factors, but we are optimistic that with reports of anticipated normal to above normal rainfall this year, production would increase because farmers are determined,” he said.
Kalima Banda said this season they are confident that all farmers will meet their production quotas or surpass them because they are more interested to grow tobacco after impressive prices last season.
Last season, prices average $2.95 (about K5 165) per kg.
Tama Farmers Trust chief executive officer Nixon Lita said in an interview yesterday that they anticipate increased tobacco output this season, but added that various factors could determine production levels.
He said: “The registration exercise has been impressive. Following good prices last season, we expect production to increase.
“With good weather, it is really a possibility to see the volumes grow.”
TC earlier indicated that it wants tobacco output to reach 200 million kg by 2028.
Tobacco brings in about 60 percent of the country’s foreign exchange earnings and contributes about 13 percent to the country’s gross domestic product, the broadest measure of economic output.
In August last year, Malawi ratified the World Health Organisation Framework Convention on Tobacco Control, joining a community of 182 other parties to the convention.
This affirmed the country’s high-level commitment to combating the global tobacco epidemic and prioritising public health and well-being.
The convention is touted as a critical international treaty to address the public health risks associated with tobacco consumption and exposure to tobacco smoke
