• June 24, 2024

Malawi Makes $26 Million From Tobacco

 Malawi Makes $26 Million From Tobacco
Photo: Tobacco Reporter Archive

Malawi has sold 13 million kg of tobacco generating over $26 million during the ongoing tobacco sales at the country’s four tobacco floors, according to Malawi24.com.

The Tobacco Commission (TC) has described the current situation in tobacco markets as “promising” despite challenges leading to low volumes of leaf.

“For illustration purposes, burley tobacco grades of NG (nondescript) that would ordinarily be bought at the government’s set minimum price of $0.95 because of reflecting on its quality had been bought at a price as high as $1.76, which is 85 percent higher than the set minimum price,” said Joseph Chidanti Malunga, the TC’s CEO.

“As of [May 18], the average price of the leaf was $2.04 per kg. We anticipate that we can get even better prices, but these are positive developments on the market.”

“Even the rejection rate has tremendously reduced, and, in some cases, we don’t even have rejection. I went to Mzuzu [and] the other time Chinkhoma—there was no rejection at a particular point. So, this is exciting not just to the commission but [to] the growers as well,” he added.

Chidanti Malunga indicated that this year the commission will only manage to sell at least 100 million kg of the product against the required 161 million kg, which he attributed to a change of rainfall patterns.