Malawi is expected to produce 197 million kilogrammes (kg) of tobacco this year, a 14 percent increase above the current buyers’ demand of 170 million kg, the Second Round Tobacco Production Estimates Survey shows.
The survey has been released at a time the 2026 Tobacco Commission (TC) has announced dates for the start of the Tobacco Marketing Season, with Lilongwe Floors expected to open on April 20.
In a statement on Tuesday, TC said Chinkhoma Floors in Kasungu and Limbe Floors in Blantyre will open on April 21and 23, respectively, while Mzuzu Floors will be the last to open on May 5.
In an interview on Tuesday, TC spokesperson Telephorus Chigwenembe said the regulatory authority will ensure that all tobacco is sold.
He said: “This year we are expecting eight tobacco companies to buy our tobacco, which is projected to be around 197 million kg according to the second round production estimates survey that we conducted some weeks ago.
“Our buyers earlier indicated that they are looking at 170 million kg, which is a little less than what we are projecting to have this year. We can assure farmers that although the buying companies are looking for less than what we are projecting this year, as TC we will ensure that all tobacco that is brought to the floors is sold.”
The eight buying companies this season are JTI Leaf (Malawi) Limited, Alliance One Malawi, Limbe Leaf Tobacco Company, Hail and Cotton (Malawi) Limited, Premium Tobacco Limited, Associated Central African Limited, African Tobacco Services and Nyasa Manufacturing Company.
Last year, Malawi also overproduced tobacco when it sold 221 million kg against the demand at 213 million kg, which raises concerns about the regulator’s enforcement of production quotas.
The overproduction also raised broader concerns about market stability and oversight in the country’s main export crop, which bring in about 50 percent of the country’s foreign exchange earnings.
In an interview on Tuesday, agricultural extension services expert Leonard Chimwaza said falling demand could dampen prices as supply will likely be high.
He said: “This is unfortunate. The tricky part is when demand decreases, prices may fall and that is not good for the industry.
“Weaker prices result in increasing cases of smuggling. Let’s hope the other companies will come on board to strengthen competition.”
Minister of Agriculture, Irrigation and Water Development Roza Mbilizi, speaking when she opened this year’s tobacco conference in Lilongwe, advised TC to strengthen regulatory oversight to align production with market forces to ensure sanity in the industry.
Tama Farmers Trust president Abiel Kalima Banda said in an interview that the good rains this season have enabled growers to produce quality tobacco although risks remain.
Last season, TC licensed farmers to grow 174.4 million kg and ended up growing 221 million kg out of 213 million kg demand by the buyers.
The leaf was sold at $2.46 (about K4 307) per kg, raising $539.4 million (about K944.66 billion) in earnings.
