Malawi's 2026 tobacco marketing season has generated K258.5 billion in the first nine weeks, with farmers selling 71.8 million kilograms of leaf, according to official market performance data.
The figures, covering 20 April to 19 June 2026, show that tobacco sales are averaging US$2.07 per kilogram, with a total volume of 71,831,086 kg traded during the period.
Despite the substantial earnings, the report reveals a clear decline compared to the same period in 2025, when the market recorded 86.5 million kg sold at a higher average price of US$2.48 per kg.
Follow us on WhatsApp | LinkedIn for the latest headlines
This means the 2026 season has so far registered a drop of about 14.67 million kg in volume, alongside an estimated revenue shortfall of approximately K112.7 billion compared to last year.
The 2026 Tobacco Market Performance Report notes that while the ninth week of trading has shown improved stability, the season began on a weak footing marked by high rejection rates at auction floors--initially exceeding 90 percent.
However, conditions have gradually improved. Since week seven, rejection rates have fallen to between 60 and 62 percent, signalling better grading and increased buyer confidence.
The report further indicates that overall market uptake--including both auction and contract sales--has reached 96 percent, suggesting strong demand for the crop once it meets quality standards.
However, auction floors themselves accounted for only 39.4 percent of total sales, highlighting a growing shift towards contract farming arrangements, which continue to dominate the market.
Despite the improved uptake and reduced rejection rates, the report warns that both total volume and total earnings remain lower than last year, largely due to reduced prices on the global market.
The findings point to a season of mixed fortunes for farmers: stronger market absorption and improving efficiency on one hand, but weaker prices and reduced volumes on the other, keeping overall earnings below last year's performance.
