Harare, (New Ziana)- At least 1.2 million kilograms of tobacco worth US$4.17 million have been sold so far cumulatively at both auction and contract floors since the selling season opened last Wednesday, statistics from the industry regulator show.
In an update on the second day of selling, the Tobacco Industry and Marketing Board said sales had declined by 6.83 percent from 1.3 million recorded in the same period last year.
The average price for both auction and contract floors stood at US$3.35 per kg with the highest price standing at US$5.75 per kg, while the lowest was at $0.10.
Despite being a drought year, last season the country produced 230.9 million kg of tobacco amid expectations that production will reach 280 million kg this year.
This year farmers planted 125 000 hectares of tobacco, compared to 113 000 the previous one, while the number of registered growers went up 128 000 from 115 000.
Tobacco remains Zimbabwe’s largest agricultural export, providing a significant source of foreign currency for the country.
Zimbabwe exports tobacco to more than 60 countries, with China, the United Arab Emirates and South Africa among its largest buyers.
Authorities have however expressed concern that at least 93 percent of the locally produced tobacco is exported in its semi-processed form, and have called for value to be added to the crop.
New Ziana
