Tobacco growers in Malawi have been pleased with prices as the 2023 selling season progresses, according to an article by Xinhua
The tobacco market opened on April 12. According to Auction Holdings Limited (AHL), which runs the tobacco sales floors in Lilongwe, the average sales price rose from $1.8 per kilo to $1.88 per kg during the first sales days.
Farmers at the Limbe Auction Floors in Blantyre, the country’s commercial hub, said they would do very well if the trend persists. “I’m very excited with the prices, and going like this, I’m optimistic that I’ll make more gains than I’ve ever anticipated,” tobacco grower Ben Sakwi was quoted as saying by Xinhua on April 18.
Tobacco Association of Malawi Trust President Abel Masache Kalima Banda said the good prices would help offset the significantly increased cost of production during the recent growing season.
Tobacco is Malawi’s leading foreign exchange earner, accounting for more than half of the country’s exports.
The Tobacco Commission expects 126 million kilos of tobacco to be sold this season, up from 85 million kilos produced last season.
The high prices are a result of strong demand for Malawi leaf, which is estimated at 170 million kilos, according to the AHL.