First-round tobacco production estimates show that 174.4 million kilogrammes (kg) of the main export crop will be produced, representing a 31 percent increase from last season’s 133 million kg.
However, the projection is 22 percent lower than the buyer demand of at 213 million kg this year, up from last year’s 190 million kg.
Announcing the survey results in a statement, Tobacco Commission (TC) attributed the projected jump to increased hectarage and number of growers.
Reads part of the statement: “The report attributes the projected improved production this year to increased hectarage and number of growers, both due to good prices offered in 2024; increased sponsorship and availability of inputs and labour.
“Based on the projections and on increased demand for Malawi tobacco, the Tobacco Commission expects an exciting season.”
The estimates come at a time farmers already cast doubt on the possibility of achieving the buyers’ demand because of late onset of rains and dry spells which affected the growers in early stages.
Meanwhile, a seasoned tobacco commercial farmer and Tama Farmers Trust president Abiel Kalima-Banda described the continued failure to meet the demanded volume as unfortunate, although he was optimistic of improved output this year.
He said: “It is not pleasing to see that we are failing to meet the demand for the fifth consecutive year which is risky because it could force the buyers to start looking for tobacco in other countries after noting our capacity challenges.
“However, I still believe that 174 million kg is feasible because our statistics show that the number of growers have more than doubled this year compared to last year, which means production should be well above last year’s level of 133 million kg.”
In an earlier interview, Tama Farmers Trust chief executive officer Nixon Lita said apart from the impact of dry spells, farmers will be unable to meet the 213 million buyers’ demand due to lack of capacity, which limits growers.
Tobacco remains Malawi’s main foreign exchange earners, projected to contribute about 60 percent to the country’s exports.
During the last tobacco sales season, the country raked in $396.9 million (about K694.9 billion) from the leaf sold at an average price of $2.98 ( aboutK5 217) per kg, a rise from the previous season’s $282.1 million (about K494 billion) at average price of $2.14 (about K3 747) per kg.
The industry is expected to conduct the second round of tobacco estimates Survey for the 2024/2025 farming season from February 24 to March 15.
