happiness Chikwanha
Edgar Vhera
Agriculture Specialist Writer
AS the 2024 tobacco marketing tails off, contracted and self-financing growers had earned over US$600 million by Day 56, a 16 percent drop from US$722 million earned by the same day last year.
The 2023/24 agriculture production season was severely affected by the El Nino-induced drought that caused a delay to the start of the season, which also ended early.
Statistics released by the Tobacco Industry and Marketing Board (TIMB) yesterday show that farmers had cumulatively sold 173 756 687 kilogrammes of tobacco worth US$607 082 558 by Day 56 under both the auction and contract systems.
This represents a 16 percent decline in earnings from US$721 614 251 in 2023 to US$607 082 558 received on the same day.
In volume terms the leaf sold declined by a large margin of 27 percent from 239 563 458 kilogrammes last season to 173 756 687 this year.
Growers who financed their own production have sold 9 909 381 kilogrammes of tobacco valued at US$35 708 957 at the auction floors at an average price of US$3, 60 per kilogramme. This represents six percent of all tobacco sales to date both in value and volume terms.
Farmers contracted by merchants account for the remaining 94 percent of all deliveries after they sold 163 847 306 kilogrammes of the golden leaf valued at US$571 373 601 at an average price of US$3, 49 per kilogramme.
The average auction price is US$0, 12 higher than that at the contract floors.
The highest auction and contract sale prices have remained constant at US$5, 07 and US$6, 99 per kilogramme respectively. The lowest price for both floors has also remained static at US$0, 10 for a kilogramme.
This year’s average price of US$3, 49 is 16 percent higher than last year’s US$3, 01.
The bale rejection rate for the 2024 season is four percent higher than last year’s with the auction side recording more at 13 percent while the contract remains at two percent. The average bale weight of 75 kilogrammes is five percent lower than the 79 kilogrammes recorded in 2023.
Meanwhile, there are contrasting projections among farmers on the eventual volumes of the crop to delivered this season with one group saying the country can still reach the 240 million kilogrammes forecasted under the second-round crop, livestock and fisheries assessment report (CLAFA-2). The other school of thought is arguing that the target would be missed owing to the drought that ruined the season.
“On the back of an El Niño-ravaged season, we need to celebrate the 174 million kilogrammes achieved to date. The marketing season is still underway and we expect more tobacco to come through. We may not necessarily reach the desired target, but we will not totally be out of range,” Zimbabwe Farmers Union (ZFU) secretary general, Mr Paul Zakariya commented.
In order to curtail side marketing, Mr Zakariya said it was necessary for TIMB to clean up the grower registers and ensure that it was credible.
“The responsibility to register growers should remain the preserve of the TIMB and that responsibility should never be outsourced especially to contractors,” he said.
Tobacco Farmers Union Trust (TFUT) vice president, Mr Edward Dune said it was highly unlikely that the 240 million kilogramme target would be reached due to the devastating effects brought by El Nino.
“Deliveries should definitely be declining now that the marketing season is almost coming to an end. Firewood cutting and nursery preparations are the major farmer activities currently taking place on farms,” he said.
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