• May 19, 2024

Flue-cured market opens

 Flue-cured market opens

Zimbabwe’s flue-cured-tobacco growers were said to be in upbeat mood ahead of the opening of the 2018 sales season, but history is not on their side.
The average grower price for flue-cured in Zimbabwe in 2016, at US$2.95 per kg, was lower than it was in 2009, US$2.98 per kg. Last year, the average price was thought to have been about US$2.96 per kg.
In only two of the seven years from 2009 to 2015 was the price lower than it was in 2016: in 2010, when it was US$2.88 per kg, and in 2009, when it was US$2.73 per kg.
In 1996, the average price was US$2.94 per kg.
According to a story in The Chronicle, Zimbabwe’s flue-cured-tobacco auctions were due to open today, while contract sales are scheduled to begin tomorrow.
Zimbabwe National Farmers Union director, Edward Dune, was quoted as saying that tobacco farmers were upbeat in terms of their expectations.
“We are expecting better prices and hopefully the Reserve Bank of Zimbabwe will pay part of our money in foreign currency,” he said
Dune urged farmers to send their crop estimates on time and book before delivering their crop for sale to avoid congestion at the floors.
“We also welcome the decentralization efforts by some contractors,” he said. “We hear that there are floors that will be operating in Rusape, Karoi and Mvurwi.
“This will definitely go a long way in reducing our production costs and ultimately also reduce congestion at the centralized floors.”