Tag: Zimbabwe

  • Zimbabwe Opens $100M Tobacco Plant, Part of 2030’s $7B Goal

    Zimbabwe Opens $100M Tobacco Plant, Part of 2030’s $7B Goal

    Zimbabwean President Emmerson Mnangagwa inaugurated a $100 million tobacco processing plant in Harare last week, developed by agribusiness firm Cut Rag Processors (CRP). The facility can process 3,000 tons of tobacco monthly into cut rag and produce up to 60,000 master cases of cigarettes, equivalent to 600 million sticks. The investment is intended to strengthen Zimbabwe’s limited processing capacity, as the country’s 10 cigarette manufacturers currently produce 4.4 billion cigarettes annually but process only 10–15% of local tobacco. The Tobacco Industry and Marketing Board (TIMB) aims to raise this rate to 30% through private investment to capture more value in the export-oriented sector.

    The expansion supports the government’s target of generating $7 billion in tobacco sector revenues by 2030 under the Food Systems, Agriculture and Rural Transformation Strategy. Zimbabwe earned $1.4 billion from tobacco exports in 2024, with 94% from unprocessed leaf. Production continues to grow rapidly, with the 2025 harvest rising 53% to a record 354,000 tons, representing 92% growth since 2020. TIMB projects output could reach nearly 500,000 tons by 2030, but limited processing capacity remains a challenge.

  • Zimbabwe Tobacco Industry Targets $7B by 2030

    Zimbabwe Tobacco Industry Targets $7B by 2030

    Zimbabwe’s tobacco sector is positioned for major expansion, with government projections indicating the industry could reach $7 billion by 2030. The Agriculture Food Systems and Rural Transformation Strategy 2 (2026–2030) outlines a sharp rise in the sector’s gross value contribution, which was $1.2 billion in 2025.

    The Tobacco Industry & Marketing Board reported that Zimbabwe produced 340 million kg of tobacco in 2025, but the Tobacco Transformation Plan hopes to see that number reach 500 million kg by 2030. Zimbabwe is also working to greatly increase the tobacco processed domestically, as opposed to exporting 90% of it raw as it currently does. The Plan also hopes to promote new specialty tobacco varieties, including cigar, shisha, naturally cured, and dark fire-cured types.

    As Africa’s largest tobacco producer, Zimbabwe’s tobacco industry supports over 130,000 households and contributes more than half of the country’s agricultural exports. More than 85% of the crop is grown by small-scale farmers, many of whom benefited from land reform.

    Despite its growth potential, the sector faces significant headwinds, including global anti-smoking measures, traceability and environmental regulations, child-labor concerns, and outdated legislation. Agriculture Minister Dr. Anxious Masuka said the new strategy reflects extensive consultation across government, industry, and farming stakeholders, and is structured around ten pillars focused on policy reform, climate resilience, rural industrialization, financing, infrastructure, and land management.

  • Zimbabwe Boasts 22% Increase in Tobacco Plantings

    Zimbabwe Boasts 22% Increase in Tobacco Plantings

    Zimbabwe’s Tobacco Industry and Marketing Board (TIMB) announced that 27,215 hectares of tobacco have been planted for the 2025-26 season, a 22% increase from last season’s 22,392 hectares that realized $1.2 billion in sales. The increase is especially good news after TIMB announced that only 66% of farmers had registered before the deadline two weeks ago.

    Mashonaland East led the growth with a 41% increase, followed by Manicaland (17%) and Mashonaland West (15.4%). Midlands and Masvingo also recorded significant gains, though on smaller scales. TIMB also announced that a record 23,517 hectares of the crop would be irrigated this year, another accomplishment considering last year small-scale farmers produced over 85% of the crop.

    Zimbabwe remains Africa’s largest tobacco producer and the sixth largest globally, supporting over 160,000 households and contributing more than half of the country’s agricultural exports.

  • WHO’s Tobacco Targeting Threatens Zimbabwe’s Economy

    WHO’s Tobacco Targeting Threatens Zimbabwe’s Economy

    Zimbabwe’s multi-billion-dollar tobacco industry is confronting a potential crisis as the World Health Organization (WHO) considers pushing for tighter global controls—and potentially a ban on tobacco production—over alleged child labor, environmental harm, and concentration of market power in financing, according to Bulawayo. If enforced, the measures could devastate Zimbabwe’s economy. Tobacco is the country’s fourth-largest foreign currency earner after gold, platinum, and remittances, generating $1.2 billion in 2025 and supporting more than 135,000 growers.

    Agriculture Minister Dr. Anxious Masuka said the WHO Framework Convention on Tobacco Control (FCTC) and other anti-tobacco forums were intensifying efforts to discourage production in developing countries. He said such measures would not only devastate economies like Zimbabwe’s but also deepen poverty among farmers who depend on the crop. At a recent T5 Meeting in Harare, attended by regional producers including Tanzania, Malawi, Mozambique, and Zambia, Masuka warned that anti-tobacco efforts under the FCTC threaten livelihoods and national stability. He argued that tobacco remains a legal crop and an adult-choice product, and that attempts to criminalize its production were unjustified.

    Masuka said the Tobacco Value Chain Transformation Plan—which aims to raise output to 500 million kg by 2030, increase local financing, and promote value addition—will strengthen sustainability while diversifying farmer incomes. Zimbabwe achieved a record 355 million kg harvest last season, its highest ever. However, analysts warn that if the WHO proceeds with restrictions or trade barriers, the country could face severe economic fallout, threatening export revenues and rural livelihoods amid existing inflation and drought pressures.

  • Zimbabwe Sees Steep Decline in Registered Tobacco Farmers for Next Season

    Zimbabwe Sees Steep Decline in Registered Tobacco Farmers for Next Season

    Zimbabwe’s Tobacco Industry and Marketing Board (TIMB) announced that 82,965 farmers registered to grow tobacco for the 2025/26 season, with the registration deadline closing October 31. Both new and returning growers are required to pay a $10 registration fee before starting production. Farmers who miss the deadline now face penalties — ranging from $10 to $90, depending on how late they register.

    According to The Herald, the TIMB announced more than 126,000 registered tobacco growers for the 2024/25 season.

    TIMB said registration is crucial for industry planning, forecasting, and maintaining market stability. The board uses the data to estimate crop size, monitor trends, and ensure smooth marketing operations. Zimbabwe remains Africa’s largest producer of flue-cured tobacco, with this year’s output reaching 355 million kilograms worth $1.2 billion.

  • Unifreight Africa Expands Fleet Ahead of 2026 Tobacco Season

    Unifreight Africa Expands Fleet Ahead of 2026 Tobacco Season

    Unifreight Africa, a leading transport and logistics company that specializes in agricultural products—especially tobacco—announced it is set to grow its cross-border fleet from Q4 2025 through Q1 2026 to meet anticipated demand during the upcoming tobacco season. The move follows Zimbabwe’s record-breaking 2025 tobacco crop of over 350 million kilograms, which generated $1.2 billion in revenue, according to the Tobacco Industry and Marketing Board (TIMB).

    Unifreight’s operational readiness, including its expanding 4PL division and partnerships with third-party operators, positions it to handle peak tobacco volumes while maintaining service continuity. The company also plans to leverage its capabilities for other sectors such as lithium, maize, and cross-border trade, ensuring diversified growth even if the tobacco season underperforms.

  • Zimbabwe Hits Record Tobacco Output, Faces Climate Risks

    Zimbabwe Hits Record Tobacco Output, Faces Climate Risks

    Zimbabwe closed its 2025 tobacco marketing season with a record 352.7 million kilograms sold, generating $1.2 billion in revenue—a 53% increase from last year, underscoring the crop’s role as the country’s top foreign currency earner.

    Analysts warn, however, that the gains remain fragile. Industry stakeholders are urging investment in dams, irrigation, and climate-smart practices to sustain growth. Without intervention, they say, Zimbabwe’s record output may prove unsustainable in the face of mounting environmental pressures.

    The sector, dominated by smallholder farmers without irrigation infrastructure, is increasingly vulnerable to climate shocks such as last year’s El Niño-induced drought. Tobacco curing also contributes to deforestation, compounding water scarcity challenges.

  • Zimbabwe: Push for Local Participation, More Tobacco Processing

    Zimbabwe: Push for Local Participation, More Tobacco Processing

    Industry experts are calling for a more inclusive and diversified tobacco sector in Zimbabwe, urging greater opportunities for small-scale indigenous players in value addition and exports.

    Speaking at the 2025 Tobacco Conference, Mutandwa Mutasa, from the Zimbabwe Progressive Tobacco Farmers Association, said the industry remains dominated by foreign companies, with locals largely excluded from lucrative processing and manufacturing stages. He proposed measures including indigenous export quotas, government-backed production guarantees, and mandatory sourcing of tobacco volumes through local companies. Mutasa also called for more indigenous professionals in key industry roles.

    While land reform has expanded primary production to nearly 150,000 farmers, 90% of Zimbabwe’s tobacco is still exported semi-processed, with most profits captured abroad. Experts say a strong indigenization roadmap is needed to secure a larger share of the value chain for local players.

  • China Fuels Zimbabwe’s Record-Breaking $1.2B Tobacco Season

    China Fuels Zimbabwe’s Record-Breaking $1.2B Tobacco Season

    Zimbabwe’s 2025 tobacco marketing season closed yesterday (August 7), with farmers earning a record $1.2 billion from 352.7 million kilograms of the golden leaf, significantly surpassing the 300 million kg target. About 11% of total production was sold to China, according to the Tobacco Industry & Marketing Board (TIMB).

    “The global demand for tobacco also pushed the prices,” TIMB chairman Patrick Devenish said in an interview. “The Chinese are our biggest customers and the demand for nicotine through the vaping business also had a good effect for us.”

    According to TIMB data, the average 2025 price was $3.32/kg, slightly down from last year’s $3.43. Auction prices peaked at $4.99/kg, while contract growers saw highs of $6.30/kg. Lands and Agriculture Permanent Secretary Prof. Obert Jiri hailed the season as a milestone for the Tobacco Value Chain Transformation Plan, urging greater local value addition, which currently stands at 10.15%, toward a 30% goal under the National Development Strategy 1.

    With 93% of production under contract farming, the government is working to refine the system and has proposed a $50 million agriculture fund. Stakeholders emphasized the need for local financing to reduce reliance on foreign currency and boost cigarette manufacturing, which currently produces 4 billion sticks annually against a 17 billion-stick capacity.

    Zimbabwe, the world’s fifth-largest tobacco producer, has over 140,000 active farmers.

  • South African Court Allows Seizures of Tobacco Smuggling Trucks

    South African Court Allows Seizures of Tobacco Smuggling Trucks

    South Africa’s Hawks (a specialized police unit) and the National Prosecuting Authority’s Asset Forfeiture Unit (AFU) secured high court orders to seize vehicles used in the smuggling of illicit cigarettes from Zimbabwe, marking a significant step in efforts to curb cross-border tobacco crime.

    The Limpopo High Court granted a forfeiture order for a Freightliner Argosy truck and two trailers, intercepted at Beitbridge border post in March while carrying Zimbabwean-made cigarettes. The vehicles, worth $48,000, were confiscated after the arrest of the driver. In a separate case, authorities also secured a forfeiture order for a VW bus valued at $9,100 in a 2023 case of transporting illicit cigarettes.

    Officials say one-third of the cigarettes in South Africa are smuggled from Zimbabwe. Smugglers reportedly buy cigarette boxes for $120 in Zimbabwe and resell them for up to $840 in South Africa. Authorities have pledged continued action against smugglers, as tobacco tax evasion and black-market sales remain a major challenge to public health and revenue collection.