Tobacco industry’s US$60bn target back on course . . .Good rains raise prospects of bumper harvest . . .Growers and seed sales increase

Business Reporter

THE marked increase in tobacco growers and seed sales, largely driven by forecasts of normal to above-normal rains in the 2024-25 summer cropping season, have raised expectations that the industry will be able to achieve the targeted 300 million kilogrammes in the upcoming season.

As at October 2, the number of registered tobacco growers were recorded at 102 692, representing a 15 percent increase from 89 665 farmers in the same period last year.

Seed sales have similarly risen to 1,27 million grammes (equivalent to 212 444 hectares), up from 964 083g (equivalent to 160 681ha) a year ago.

Tobacco Industry and Marketing Board (TIMB) acting chief executive officer Mr Emmanuel Matsvaire said Government support had seen a “remarkable increase” in the number of tobacco growers.

“We have high hopes of attaining the set target following the pleasant weather forecast.

“We acknowledge the Government’s support, especially our parent ministry led by Dr Anxious Masuka. With his hands-on approach, the country is on course to accomplish a US$60 billion tobacco industry by 2028,” said Mr Matsvaire.

“Government’s support has seen a remarkable increase in the number of tobacco growers, backed by rising production records and foreign currency earnings  . . . ”

Zimbabwe Commercial Farmers Union president Dr Shadreck Makombe said farmers were upbeat about prospects for the coming season.

“Quite a number of farmers are intrigued because it’s indicated by the seed that was bought. It shows that the farmers are geared for a good season, and we may talk of a bumper season,” said Dr Makombe.

“Quite a number of growers are hopeful of a better season . . .”

Weather experts believe that swathes of the region are likely to receive normal to above-normal rainfall in the upcoming season.

The World Meteorological Organisation earlier predicted that a La Niña weather event was forming in the Pacific Ocean, something that could increase chances of wet conditions in Zimbabwe and other countries in Southern Africa in the 2024-25 summer cropping season.

Official statistics from the TIMB indicate that as at October 4, about 9 486ha had been planted under irrigation, reflecting a 20 percent improvement from 7 892ha achieved in the corresponding period in 2023.

Despite last year’s El Niño-induced drought, the country produced 231 million kilogrammes.

Zimbabwe Farmers Union secretary-general Mr Paul Zakariya said farmers would take advantage of good rains predicted this year.

“There is a lot of excitement amongst our producers, and we are seeing a lot of our farmers gearing up their preparations so that they take advantage of the season,” said Mr Zakariya.

“In the preparations, we are also seeing that farmers intend to increase their hectarage . . .

“Tobacco is our significant foreign currency earner, and we need to take advantage of the season so that we . . . make the most out of it.”

He, however, indicated that there was need for fair compensation for farmers, most of whom are contracted to grow the cash crop.

“As things stand, the challenges are many, particularly with the contracted crop. Number one is the contractors themselves are not adhering to the contractual agreements.

“They sometimes don’t give the farmers enough inputs; what was signed for versus what is then actually given are two different things and the end result is our farmers not being able to produce in terms of size and quality,” added Mr Zakariya.

“The other thing is late payments. One company actually finished paying farmers last week and yet the floors were closed a long time ago, so it’s a disadvantage when a farmer doesn’t get paid in full and on time.

“You will also find that some contractors come in very late, so if you miss out the planting dates, then you are already beginning to lose out on your yield.  We are working together with TIMB to smoothen these operations and allow farmers to do what they know best.”

By mid-September many farmers were already planting the irrigated crop.

However, growers are now waiting to plant the rain-fed crop.

“For the irrigated tobacco, we haven’t moved that much as the crop is at that point where it’s being established,” he said.

Last year, Zimbabwe produced a record crop of nearly 297 million kg due to good weather conditions as well as improved agronomic support by contractors.

Tobacco remains Zimbabwe’s second-largest foreign currency earner after gold.

Most of the output is from small-scale farmers who benefitted from the Land Reform Programme.

In 2023, the country exported 236 million kg of the golden leaf worth US$1,3 billion.

Zimbabwe’s tobacco exports are primarily destined for markets in the Far East, Africa, the Middle East and the European Union, with countries such as China, the United Arab Emirates, South Africa and Indonesia being among the major consumers.

As of October 4, 2024, a total of 159,4 million kg had been exported, raking in US$833 million, while in the same period last year, a total of 143,2 million kg worth US$715 million were exported.

Under the Tobacco Value Chain Transformation Plan, approved by the Cabinet in 2021, the Government is targeting to increase output to 300 million kg by next year, while the crop’s value would improve to US$5 billion and an additional US$10 billion by 2030.

The plan also seeks to raise localisation of tobacco funding to 70 percent, improve the level of value addition and boost cigarette production to 30 percent from 2 percent.