Tobacco prices lower for all varieties
Tobacco prices for all varieties in the 12 weeks of trading are lower by an average of 13 percent as compared to the same period last year, a latest report by the Tobacco Control Commission (TCC) shows.
The low prices continue to worry tobacco growers led by the Tobacco Association of Malawi (Tama).
A TCC weekly update shows that burley tobacco average price in 12 weeks is down by 10.7 percent from $1.84 to $1.65 per kilogramme (kg).
Average prices for both flue-cured and dark-fired tobacco varieties during the period are down by 18 percent to $2.36 per kg and by six percent to $2.1 per kg respectively.
Overall, the update shows that tobacco national average prices for all tobacco have declined by 13 percent to $1.7 per kg from $1.95 per kg during the same period last year.
In random interviews, tobacco growers at the Lilongwe Auction Floors noted that prices have improved at the floors as compared to average prices during the early weeks of trading.
One grower, Philemon Mphambala, from Tchawale in Mponela, Dowa said although prices are improving each week, buyers have room to improve further if the growers were to break even or incur some profits.
Tama head of marketing and business development Felix Thole told Business News that the association was pleased to see progressive increase in the prices of burley tobacco since the market opened in March, but noted that there is a 40 cents gap between flue cured prices this year and last year.
