The country has sold 178 million kilogrammes (kg) of tobacco, which is more than the total projected output as earnings hit $455 million (K797.7 billion) in 17 weeks.
According to Auction Holdings Limited market reports, as of Wednesday, 178.7 million kg of the leaf was sold, raking in $455.6 million at an average price of $2.55 (K4 465) per kg from last season’s total volume of 133 million kg at $396 million (K693 billion) at 2.98 (K5 217) per kg.
This translates to 102.5 percent of the projected total production of 174.4 million kg, a development that suggested that either the country produced more this year or that some tobacco was smuggled in from neighbouring countries.
In an interview, Tobacco Commission spokesperson Telephorus Chigwenembe said the increasing volumes this year mean the 2025 tobacco selling season will by far be more successful than last year in terms of both volume and revenue.
Chigwenembe said: “During last year’s selling season which lasted 16 weeks, 133 million kg was sold generating $395 million. This year’s 16 weeks of trading (up to Friday, July 25) saw 172.9 million kgs of tobacco sold, raking in $441.1 million.
“Meanwhile, tobacco continues to flow to the floors, signifying the 2025 selling season will be longer than last year’s. The trade demand at the beginning of the selling season was recorded as 213 million kg.
“The Commission is confident that its goal to lead the country to a national production of 200 million kg per year by 2030 will be achieved.”
In a separate interview, Tama Farmers Trust chief executive officer Nixon Lita said the increased production is a result of better prices offered in 2024 and has urged farmers as well as authorities to start preparing for next season.
Lita said: “So far, indications are that we are going above earlier estimated production and this can be related to demand created by the 2024 prices.
“As farmers are going back to nurseries in preparation for the 2025/26 season, there is a need for stakeholders to work on an increased market so that farmers can finish sales in good time and concentrate on farm work.”
Initial market demand showed that buyers were ready to buy 213 million kg this year, a situation Chigwenembe said gives hope that its objective to increase production to 200 million in 2030 is feasible.
Meanwhile, TC has opened farmers’ registration for the next season, running for four months from June 23 2025.
Last season, Malawi earned $396 million (about K693 billion) after selling 133 million kg of tobacco at an average price of $2.98 (about K5 217) per kg. This year, the country expects to produce 174 million kg.
