Zimbabwe: Country's Tobacco Exports Near U.S.$1bn

29 October 2024

Zimbabwe has so far exported 180 298 957 kg of tobacco valued at US$963,3 million compared to 179 644 136 kg worth US$929,3 million during the same period last year as the country continues to increase international market share.

This season, farmers have produced 231 678 225 kg of tobacco worth US$793,6 million, below a target of 265 million kg, and this was attributed to El Nino-induced drought.

Last season, Zimbabwe exported a record crop of worth US$1,2 billion, slightly short of its target of over US$1,6 billion.

It also produced a record crop of 297 million kg last year.

Statistics from the Tobacco Industry and Marketing Board (TIMB) show that the average export price this year stands at US$5,23/kg, an increase from US$4,99/kg during the same period last year.

The majority of Zimbabwe's exported tobacco is shipped to countries in the Far East such as China and South Korea.

The recent half year trade statistics released by the Zimbabwe National Statistics Agency (ZIMSTAT) for 2024 reveal that Zimbabwe has exported tobacco products worth US$553,1 million, up from US$450,1 million in 2023.

This means the country has increased production from 82 461 307kg to 97 391 389kg over the same period.

Statistics from TIMB reveals that 89 278 246kg worth US$631,1 million at an average price of US$7,07 per kg was exported to the Far East.

About 29 260 191kg of tobacco worth US$89,9 million was exported to the Middle East at an average price of US$3.07/kg.

In Africa, 23 491 681 kg worth US$89 607 331 was exported at an average price of US$3.81 per kg.

About 21 854 875kg worth US$85, 2 million was exported to the European Union at an average price of US$3,90 per kg.

About 28 560kg worth US$238 476 was exported to Oceania at an average price of US$8,35 per kg.

So far farmers have planted 17 058 hectares of tobacco and the majority are waiting for more rains to plant .

Over 116 427 flue cured Virginia tobacco growers have so far registered for this season compared to 102 096 growers last season.

Communal farmers are leading with 64 310 followed by 39 054 A1 farmers.

Agriculturist and Tobacco Farmers Union Trust vice president Mr Edward Dune recently indicated that merchants were benefiting more in tobacco production, adding that farmers who are the primary producers are not getting value for money.

He indicated that farmers in large-scale productions were also better off.

"Farmers need to diversify and also try shisha tobacco production. Less labour is needed and there is no high nicotine content. Farmers should also sign contractual agreements which they fully understand to ensure that they get what they deserve," he said.

Export of tobacco products has been on an upward trend, with earnings of US$795 million in 2020, US$837 million in 2021 US$998 million in 2022 and US$1,2 billion last year.

Zimbabwe Tobacco Growers' Association chairman, Mr George Seremwe, indicated that farmers are doing well in tobacco production, adding that there is a need to eliminate middlemen to ensure that farmers are not short-changed.

"Farmers are working hard and we hope they will make profits, if they continue growing the crop. TIMB must work on reducing or eliminating the participation and licensing of surrogates (middlemen) who are putting huge mark-ups on their services to the detriment of farmers," he said.

Currently, more than 70 percent of tobacco is produced by small-scale farmers and this is in line with the Government's economic transformation agenda that leaves no region, no village, no category of farmers behind.

Zimbabweans smoke under one percent of what their farmers grow, and hence the crop is almost entirely an export crop.

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