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Category: Agriculture & Sustainability

  • Zimbabwe’s Increased Efficiency Base for Market Growth

    Zimbabwe’s Increased Efficiency Base for Market Growth

    Zimbabwe’s Tobacco Industry and Marketing Board (TIMB) released projections for the 2025/26 growing season, interpreting the numbers as a nation that is becoming more efficient. Registered farmers declined 19.3% to 101,443, yet planted area increased 21.7% to 113,536 hectares, suggesting rising productivity and capital intensity. One such example of progress, according to the TIMB, is the irrigated planted area increasing to 24,000 hectares this season, up from 19,700 hectares last season.

    Contract farming continues to dominate, accounting for about 75.6% of planted area, though industry observers note that the 15% share of self- or bank-financed growers offers renewed support for Zimbabwe’s traditional auction system.

    Output is projected to climb to 400 million kg this year from 354 million kg last season, reinforcing tobacco’s position as Zimbabwe’s largest agricultural export and second-biggest foreign currency earner after gold. Export earnings reached $1.4 billion by mid-December 2025, down slightly year on year, as weaker demand from traditional Asian markets—particularly China—was offset by strong growth in Europe and steady gains within Africa. The European Union stood out, with export earnings surging 64.5% to $169.6 million, reflecting rising demand for Zimbabwe’s flue-cured Virginia leaf, while the Far East remains the largest market, accounting for 60% of total export value despite a 14% decline.

  • Philippines Planting New Sources for Tobacco-Curing Fuel

    Philippines Planting New Sources for Tobacco-Curing Fuel

    The Philippines’ National Tobacco Authority said it will roll out a five-year sustainable fuelwood program this year to support flue-curing tobacco farmers while promoting reforestation in key growing areas. Under the Kahuyang Pangkabuhayan at Pangkalikasan initiative, 80 hectares of alienable and disposable land will be planted mainly with fast-growing trees such as ipil-ipil, kakawate, and bamboo to supply fuelwood needs and restore ecological integrity. The program, developed with the Environment Department and local governments, is intended to reduce pressure on natural forests while providing additional livelihood opportunities for tobacco-farming communities through 2030.

  • Zimbabwe Tells Tobacco Farmers to Stop Planting, Get Tending

    Zimbabwe Tells Tobacco Farmers to Stop Planting, Get Tending

    This week, Zimbabwe announced that it exceeded its tobacco planting target for the 2025/26 season, surpassing a record 140,000 hectares, prompting the government to urge farmers to halt further planting and focus on crop management to maximize yields and leaf quality. Agriculture Permanent Secretary Prof. Obert Jiri said late-planted dryland tobacco should be curtailed, with emphasis now on pest and disease control, weed management, and split fertilizer application amid heavy rains. A national crop and livestock assessment later this month is expected to confirm strong early performance and yield prospects, with fertilizer supplies largely adequate despite short-term top-dressing delays.

  • New Tractors Strengthening Cuba’s Tobacco Production

    New Tractors Strengthening Cuba’s Tobacco Production

    Cuba’s tobacco sector is investing in modern machinery to boost production efficiency, with 300 tractors delivered to individual producers and cooperatives across multiple provinces last year, the Tabacuba Business Group told Granma on Monday. Financed through farmers’ foreign currency earnings and a flexible installment program, Tabacuba provides the equipment at cost, without profit, to expand access for growers.

    José Liván Font, First Vice President of Tabacuba, said the initiative contributes hundreds of millions of dollars annually to the national economy and supports small-scale family operations. In Pinar del Río, which produces 70% of Cuba’s tobacco, 75 tractors were delivered alongside photovoltaic systems for irrigation and lighting, enhancing energy independence and operational efficiency.

    Tabacuba said it plans to import another 300 tractors and related agricultural implements in 2026, aiming to further improve working conditions, increase production, and raise incomes for tobacco producers nationwide.

  • Zimbabwe Pushing Tobacco Processing for Value Addition

    Zimbabwe Pushing Tobacco Processing for Value Addition

    Zimbabwe will intensify tobacco processing and value addition from 2026 as part of efforts to boost exports of finished tobacco products, a senior government official said. Lands, Agriculture, Fisheries, Water, and Rural Development permanent secretary Professor Obert Jiri said plans are underway to encourage the establishment of local processing plants, shifting the industry away from raw leaf exports toward higher-value products, including cigarettes.

    Zimbabwe produced a record 355 million kg of tobacco in 2025, generating about $1.2 billion in sales, and production has the potential rise to 500 million kg by 2030, Jiri said. He argued that converting locally grown tobacco into finished products could dramatically increase export earnings, estimating the potential value of more than $40 billion if current volumes were processed domestically.

    The industry has also undergone a structural shift, with more than 140,000 farmers—over 80% of them smallholders—now involved following land reform. The government says expanding beneficiation will help farmers capture more value and create jobs, building on recent investments such as a $100 million tobacco processing plant commissioned in Harare in November.

  • Zimbabwe Tobacco Planting Up 21%

    Zimbabwe Tobacco Planting Up 21%

    Zimbabwe’s tobacco hectarage increased by 21% to 100,594 hectares this season, up from 83,391 hectares during the same period last year, according to the Tobacco Industry and Marketing Board (TIMB). Mashonaland West leads production with the largest combined area under irrigated and dryland tobacco, followed by Manicaland and Mashonaland Central, reflecting strong growth across major producing regions. The TIMB said 90% of growers are operating under contract farming arrangements.

    While production has expanded into new regions, the government is seeking to reduce reliance on offshore funding and has proposed a $60 million facility to boost domestic financing, support sustainable growth, and promote value addition in the sector.

  • China Key to Zimbabwe’s Record Tobacco Output

    China Key to Zimbabwe’s Record Tobacco Output

    Zimbabwe’s tobacco sector has surpassed 350 million kg in 2025, thanks in large part to Chinese support, Finance Minister Mthuli Ncube said. Speaking in Harare after signing agreements on China-aid irrigation projects, Ncube highlighted China’s role in providing both credit facilities and market access through China Tobacco, helping small- and medium-scale farmers grow the sector beyond expectations.

    The assistance has helped Zimbabwe maintain its position as Africa’s top tobacco producer and a significant player globally. The tobacco industry remains a cornerstone of Zimbabwe’s agriculture, supporting over 160,000 households, according to government data.

  • U.S. Tobacco Groups Urge Targeted Relief Amid Export Downturn

    U.S. Tobacco Groups Urge Targeted Relief Amid Export Downturn

    Fourteen U.S. agricultural and tobacco-sector organizations sent joint letters to President Donald Trump, Secretary Brooke Rollins, and Secretary Scott Bessent thanking the Administration for expressing willingness to support flue-cured tobacco farmers facing severe trade disruptions. The letters highlighted urgent challenges, including a 20–25% drop in exports, 15–20% decline in farm-gate prices, and shrinking demand from key markets like China. Rising input costs are also adding financial pressure as growers plan for 2026.

    “On May 29th, China wrote to the U.S. leaf merchants that it would not honor its purchase as much as 60 million pounds of flue-cured leaf in 2025. This exit resulted in adverse impacts on prices and values as the season progressed. The surplus created a soft demand that caused a market downturn of 27 cents per pound on average.”

    While the Administration recently announced the $12 billion Farm Bridge Assistance Program, tobacco is currently excluded. The coalition urged targeted relief, citing precedent from the first Trump Administration when tobacco was included in market facilitation programs. The groups emphasized the risk of lost family farms and the need for prompt inclusion of tobacco in relief measures.

    Tobacco Associates disseminated the letters to industry members and encouraged growers to contact local, state, and federal representatives to share personal experiences and the real impact of the downturn, stressing that these voices carry significant weight in shaping policy responses.

    The Honorable Donald J Trump_Tobacco TradeDownload
    Letter to USDA + Treasury – Tobacco TradeDownload

  • Development Hopes to Keep Tobacco Money in Zimbabwe

    Development Hopes to Keep Tobacco Money in Zimbabwe

    Zimbabwe is accelerating plans to move up the tobacco value chain under its new National Development Strategy 2 (NDS2), aiming to lift value addition from about 2% to 30% and reduce reliance on raw leaf exports. While NDS1 missed its 300,000-ton production target due to drought, Zimbabwe produced a record 355 million kg of tobacco in 2025, valued at $1.2 billion, making it the world’s sixth-largest producer. According to the Tobacco Industry and Marketing Board, tobacco contributes more than 25% of national foreign-currency earnings, though 92% of export revenues still come from unprocessed leaf.

    NDS2 focuses on local processing through the Tobacco Special Economic Zone, including nicotine extraction plants and expanded cigarette and cut-rag manufacturing. A key milestone was the commissioning of a $102 million Cut Rag Processors facility capable of producing 3 million kg of cut rag per month and 60,000 cigarette master cases.

    Government officials say domestic value addition remains far below potential, with current earnings estimated at $1.5 billion versus a theoretical $60 billion if higher-value products were produced. The strategy prioritizes attracting investment, expanding local financing, and creating jobs through processing, packaging, and logistics as Zimbabwe shifts toward exporting finished tobacco products.

  • Zimbabwe Nears $1.1B From Tobacco Exports

    Zimbabwe Nears $1.1B From Tobacco Exports

    Zimbabwe earned $1.1 billion from 201.4 million kg of semi-processed tobacco exported between January and November, according to the Tobacco Industry and Marketing Board. This compares with $1 billion from 208.4 million kg during the same period last year.

    The Far East remained the top buyer, taking 89.1 million kg worth $630.7 million at an average $7.08/kg. Africa followed with 33 million kg valued at $154.6 million, while the Middle East bought 30 million kg for $88 million. The EU imported 27.2 million kg at $5.83/kg, and Europe purchased 12.8 million kg at $5.09/kg. The Americas bought 9.1 million kg, and Oceania, though a small buyer, paid the highest price at $8.45/kg.

    Tobacco remains Zimbabwe’s top agricultural export and key foreign currency earner, generating $1.3 billion in 2024 and contributing roughly 30% of total exports.