WITH the opening of the 2023 tobacco marketing season getting closer by the day, expectations for high prices are running high among farmers on the backdrop of a good season with quality leaf and improved curing processes.
Zimbabwe Tobacco Association chief executive officer Mr Rodney Ambrose said this year had a good crop.
“Our assessment of the tobacco crop to date promises higher yields and improved quality. This view is shared by a number of contractors. It is in this regard, that we are anticipating average prices to be firmer this season.
“There is also a level of increased demand for the crop, so this will help lift average prices,” said Mr Ambrose.
Zimbabwe Commercial Farmers Union president Dr Shadreck Makombe shared the same view urging farmers to be vigilant and protect their hard-earned incomes and finance the next season.
“Farmers are anticipating high prices, as the quality of the crop in the field is very good. All that is left is for farmers to do proper curing. We encourage farmers not to be extravagant and save their hard-earned money and be able to finance next season’s operations.
“The 85 percent foreign currency retention increase is surely going to put more money in farmers pockets,’ said Dr Makombe.
There were, however, some mixed reactions with some farmers belonging to a Tobacco Farmers Talk group observing that prices were likely to remain the same with last season’s due to global recession with most countries still trying to recover from the Covid-19 meltdown. Others are saying prices would be low due to increased supply against low demand.
Another school of thought is suggesting that there will be rampant side-marketing this season, as a result of the 37 000 farmer who were de-registered after some had already established seed beds for the season.
Others believe that the Tobacco Industry and Marketing Board (TIMB) must licence contractors before they start funding farmers so that those who do not make the grade are not prejudiced, which leaves them with buying tobacco illegally as the only way to recover their money, which will fuel side-marketing.
“If TIMB rejects the contractors later in the year these will make a plan to recover their funds through means outside the formal system.”
Tobacco Farmers Union Trust vice president Mr Edward Dune said all farmers were looking forward to a rewarding tobacco marketing season.
“The play-ground has to be level in terms of pricing. Let the price matrix reward on the basis of quality. No merchant should be a farmer’s favourite given that some are paying more for the same quality to avoid side-marketing,” said Mr Dune.
Tobacco Farmers Union Trust president Mr Victor Mariranyika said they were fighting and lobbying for viable prices to enhance sustainability. – The Herald
