‘Low production costs will make tobacco farming more sustainable’

Edgar Vhera

WITH prospects of attaining 300 million kilogrammes of tobacco this year itching closer by the day, farmers have implored contractors to lower costs of production and make crop cultivation both profitable and sustainable to free them (farmers) from the debt trap they are wallowing in.

Lands, Agriculture, Fisheries, Water and Rural Development permanent secretary Dr John Basera corroborated the firming possibility of achieving the targeted 300 million kilogrammes on Saturday when he said a record 294 million kg of tobacco had been sold at the country’s auction and contract floors to date.

Stakeholders in the tobacco industry are maintaining that 300 million kg will be achieved this year, two years before the set 2025 target.

Although the tobacco auction season officially ended yesterday for the auction floors, it will be business as usual at the contract floors that incidentally happen to contribute the larger volumes of the golden leaf. 

Meanwhile, Zimbabwe Tobacco Growers Association (ZTGA) chairman Mr George Seremwe added to the farmers’ concerns saying farmers were livid that the cost of production had increased yet prices had remained the same or even dropped negatively impacting on the profitability of the crop.

He said contractors must reduce the cost of input packages they availed to farmers.

“Sustainability of the current high levels of tobacco production can only be guaranteed if contractors lower the cost of cultivation for the crop to remain attractive. This season most farmers failed to pay back loans so they will remain contracted to their erstwhile contractors this coming season to enable them to clear their loans in a sure debt trap,” he said.

He said the Government could also assist farmers by maintaining the 85 percent foreign currency retention or even increase it to 100 percent.

“Government can also dabble the carrot in the form of a programme such as Pfumvudza by providing the complete input package to farmers with costs deducted upon sale of the crop,” Mr Seremwe added.

The ZTGA chair said deforestation could be dealt with through intense research on using alternative sources of energy or improved curing facilities like central heat system that uses less firewood or coal.

“Farmers must continue with the afforestation levy and plant more trees, address child labour issues as well as make our tobacco Global GAP certified and enhance its attractiveness,” he continued.

Tobacco Farmers Union Trust (TFUT) president Mr Edward Mariranyika criticised some contractors for high input costs that wipe out the profitability of the crop rendering farmers destitute. 

“Currently, small-scale growers are being exploited to the bone and driven into abject poverty. The Government must provide internal funding to small-scale growers who are contributing more than 70 percent of the volumes. The output pricing model must be cost-driven to cushion farmers from exploitation, help them realise value for the crop and for sustainability,” Mr Mariranyika said.

He said all stakeholders must comply with Statutory Instrument 077 of 2022 that prohibits side marketing in order to maintain the high production levels.

“Farmers and contractors must stop side marketing, as dishonest practices kill business. There are many cartels in the industry that should be brought to book,” he said.

Mr Mariranyika also called on the Tobacco Industry and Marketing Board (TIMB) to decentralise the tobacco auction and contract floors, saying this would go a long way in reducing transport costs and risks of theft for farmers.

The Government crafted the Tobacco Value Chain Transformation Plan (TVCTP) in 2021, which seeks to achieve a US$5 billion tobacco industry by 2025.

Among its main objectives was sustainable intensification of tobacco production to 300 million kilogrammes, enhancing transparency and fair tobacco marketing and increasing tobacco value addition and beneficiation from the current two to 30 percent by 2025.

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