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Blessing Bonga Business Reporter
Zimbabwe has so far earned US$349 million from the sale of 72,4 million kg of Virginia tobacco.
This represents a 17 percent increase from volumes exported during the same period last year. The tobacco was sold at an average price of US$4,82 per kilogramme.
According to a report issued by the Tobacco Industry and Marketing Board, Belgium was the leading importer with 14,6 million kg worth US$77,1 million at an average of US$5,28 per kg.
Belgium relegated China, which topped the list last year, to third position behind South Africa.
The Asian giant bought 12,4 million kg valued at US$103 million. China is, however, still offering the highest average price of US$8,29 per kg.
South Africa bought 13,8 million kg of tobacco worth US$43,8 million at an average price of US$3,18 per kg.
The United Arab Emirates was fourth after buying 4,6 million kg of the golden leaf valued at US$11,6 million at an average price of US$2,52 per kg while Indonesia is fifth position accounting for 3,8 million kg valued at US$14 million at an average of US$3,69 per kg.
Meanwhile, the selling season ended last week with 166,6 million kg worth US$612,1 million having been sold since the season began in February.
The 166 million kg was 16 percent more than the 2012 production although it was shy of the 170 million target that had been set by the TIMB for this season.
Contractors dominated the 2013 production, with a total market share of 68 percent compared to the auction floors’ 32 percent. Contractors’ seasonal average price at US$3,74 was two cents firmer than prices offered for contract in 2012.
Since the adoption of multiple foreign currency regime the tobacco industry has become one of the fastest sectors to recover from the economic challenges of the past decade.
Many farmers have been shifting from other crops such as cotton to tobacco due to the favourable prices fetched by the golden leaf.
About 64 221 farmers have so far registered to grow tobacco in the coming season. The bulk of these are communal farmers accounting for 30 225 followed by 21 461 A1 farmers, 7 298 A2 farmers and 5 237 small-scale communal farmers.
A total of 21 114 farmers have registered for the season as new growers. Of these 13 824 are communal, 4 042 are A2, 2 432 are A1 and 816 are small-scale communal farmers.
Mashonaland West with 8 210 has the highest number of new growers followed by Mashonaland Central (5 829), Manicaland (3 947), Mashonaland East (2 814), Masvingo (177), Midlands (171) and Matabeleland (2).
Tobacco is one of Zimbabwe’s major agricultural exports, accounting for 16 percent of Gross Domestic Product.
Online Reporter