Online Reporter
Theseus Mauruki Shambare
Herald Correspondent
THE Government, through the Tobacco Industry and Marketing Board, has intensified regulatory oversight in the tobacco sector following the suspension of a licenced buyer over suspected pricing distortions, in a move aimed at safeguarding fair market conduct and protecting growers.
This comes as authorities step up interventions in the 2026 marketing season, following earlier action against unlicensed contractors.
These are part of efforts to restore order in the multi-billion-dollar industry.
Documents seen by The Herald show that Country Agro International has been placed under immediate temporary suspension from all tobacco buying activities.
In a letter dated May 4, TIMB chief executive officer Mr Emmanuel Matsvaire said the regulator had been monitoring “pricing patterns and market signals” associated with the company that raise “serious concerns”.
The regulator said the conduct may be interfering with fair price discovery mechanisms and distorting competition in the buying environment, warning that such practices risk undermining both growers and overall market stability.
There are also concerns that the behaviour could negatively impact grower viability and overall market integrity, particularly at a time when farmers are pushing for improved returns.
“In the public interest and in order to safeguard the stability and credibility of the tobacco marketing system, the Tobacco Industry and Marketing Board has resolved to impose a temporary suspension of Country Agro International (Pvt) Ltd from all tobacco buying activities with immediate effect, pending further review,” read the letter.
The board said the process was intended to ensure a full assessment of the matter before any final determination is made.
Country Agro has been given five days to respond, including reasons why the suspension should be lifted and why further regulatory action — including possible permanent sanctions — should not be imposed.
The move marks a shift in enforcement focus, from unlicensed operators to scrutiny of conduct among registered players within the system.
Only recently, TIMB barred five contractors — Inter Africa, Leaf Exchange Africa, Voedsel, Moroz Tobacco Company and Tobacco Company of Zimbabwe — from participating in the 2026 marketing season for operating without licences.
The intervention also comes against the backdrop of early-season price pressures, which authorities have attributed largely to an influx of lower-grade leaf onto the market.
However, farmer concerns over pricing and market behaviour have now escalated to Cabinet level, prompting direct intervention on the tobacco sales floors.
Cabinet reportedly instructed the Minister of Agriculture, Mechanisation and Water Resources Development, Dr Anxious Masuka, to engage industry players and stabilise sentiment as prices came under pressure early in the season.
During a visit to the sales floors, Dr Masuka said Government was closely monitoring the situation to ensure growers are not disadvantaged in the marketing process.
“The engagement was necessitated by concerns over pricing on both contract and auction floors,” he said.
“We expect a fair, transparent system where the farmer is properly rewarded for the effort put into producing the crop.”
