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A Hurungwe farmer, Augustine Nyamadzawo (38) from Nkani village, Chief Nematombo, Magunje was arraigned before the Karoi Magistrates’ Court for side-marketing his tobacco harvest.
Nyamadzawo was charged with contravening the Farmers Stop Order Act, that is, “dealing with the whole or part of any crop or any proceeds thereof in such a manner as to avoid or to be likely to avoid the due payment of any prescribed costs, addressee’s fees, registered stop-orders or special stop-orders relating to such crop.”
Allegations were that in July 2023, Nyamadzawo entered into a contractual agreement with Boost Hail and Cotton Private Limited, under the Farming Input Credit Scheme where he undertook to grow tobacco and received the necessary inputs from the complainant
He also agreed to work under the supervision of an agronomist appointed by the complainant.
Upon harvest, Nyamadzawo was contractually bound to sell the entire tobacco crop cultivated using the inputs provided by the complainant, to the complainant, according to the agreed terms.
However, he failed to fulfil his obligation and instead delivered the crop elsewhere. The complainant suffered a prejudice of USD829 and nothing was recovered.
Nyamadzawo was convicted and sentenced to 6 months imprisonment by the Karoi Magistrates’ Court. Four (4) months were suspended on condition of restitution of US$829 by 01 July 2024. In addition, 2 months was suspended on condition he pays a fine of US$150.
More: <a href="https://www.pindula.co.zw/">Pindula News</a>

Pindula News

Hurungwe Tobacco Farmer In Court For Side Marketing

The 2024 tobacco marketing season opened in Harare on Wednesday, 13 March, with the first bale going under the hammer for US$4.92 per kilogramme up from US$4.35 registered on day one last year.
Speaking at the official opening of this year’s tobacco marketing season, Vice President Constantino Chiwenga expressed optimism that deliveries will be high despite the current drought. He said (via <a href="https://www.herald.co.zw/tobacco-silver-lining-amid-drought/">The Herald</a>):
<blockquote>
I am happy that the estimates which I have been given, regardless of the difficult year we have all experienced, will not go down below those of 2021, the figures will be hovering above.
While we will not get the 300 million kg we wanted, I am happy that the irrigated crop has proved to be good. The 2024 season is looking good, we will recover.
Government regards the tobacco industry as a sector with great potential to grow and increase our country’s export earnings.
This realisation led to the launch of the Tobacco Value Chain Transformation Plan.
</blockquote>
Tobacco production is this year expected to be around 265 million kilogrammes, below last year’s 296 million kg due to the El Niño-induced drought.
Tobacco Industry and Marketing Board (TIMB) chairman Patrick Devenish revealed that this year 113 101 hectares were planted compared to 117 645 hectares last year and registered growers had decreased to 115 114 from 148 300 last year. He said:
<blockquote>
The Board has also approved decentralised contract sales to be conducted at five designated centres and these are Karoi, Mvurwi, Bindura, Marondera and Rusape.
This season, RBZ (Reserve Bank of Zimbabwe) advised that the foreign currency retention for tobacco is 75 per cent in line with the retention level for other market players.
Despite our efforts to restore order and sanity in the industry, we are still grappling with the challenge of growers who continue to cut down indigenous trees for curing tobacco.
The cutting down of indigenous trees is attracting a lot of negative attention from the global market, with some threatening to stop partnering with us.
To alleviate this challenge, the board has partnered with Hwange Colliery and Kutsaga to provide tobacco farmers with discounted coal for curing.
</blockquote>
This year two auction floors; Tobacco Sales Floor and Premier Tobacco Auction Floors, have been licenced by TIMB.
The floors handle deliveries of tobacco not grown under contract and help create the pricing system that then applies to the contracted crops, with adjustments up and down for quality.
More: <a href="https://www.pindula.co.zw/">Pindula News</a>

Tobacco Marketing Season Kicks Off At US$4.92 Per Kg

The Tobacco Industry and Marketing Board (TIMB) says tobacco output is predicted to fall to 265 million kilogrammes this season, from 294 million kilogrammes recorded the previous season.
Speaking to the <a href="https://newsday.co.zw/theindependent/local-news/article/200024083/drought-hits-tobacco-output">Zimbabwe Independent</a>, TIMB public affairs officer Chelesani Tsarwe, also said the number of tobacco growers had dropped as a result of the prevailing drought. She said:
<blockquote>
From the crop assessment exercise undertaken, which is a national tobacco forecasting exercise which helps us determine the national yield and production, the board anticipates a yield of 265 million kilogrammes.
(This) is a consequence of the El Niño conditions witnessed in southern Africa starting late last year.
</blockquote>
Tsarwe said farmers will receive 75% of their payments in US dollars this season, with the remainder payable in Zimbabwe dollars. She said:
<blockquote>
When it comes to payment of growers, the board is guided by the Reserve Bank of Zimbabwe (RBZ).
For this season, RBZ advised that the foreign currency retention for tobacco growers for the 2023/24 tobacco marketing season was standardised at 75% in line with the retention level for other market players.
Given that the 25% to be paid to tobacco growers in local currency is applied to the net sales proceeds after the settlement of all the loans, levies and other marketing costs, the net effect of this arrangement is that the tobacco grower shall effectively have a foreign currency retention which is higher than 75%.
</blockquote>
Tobacco is one of Zimbabwe’s biggest foreign currency earners. This year’s marketing season will commence on Wednesday next week.
More: <a href="https://www.pindula.co.zw/">Pindula News</a>

Drought: Tobacco Output Anticipated To Fall

Tobacco farmers have demanded that the reafforestation programme should be expedited amid indications that only 4 500 hectares of gum trees have been planted since collection of the levy started in 2015.
The current sluggish reforestation efforts may make Zimbabwe’s tobacco less appealing on global markets that now favour products produced using sustainable methods.
As reported by <a href="https://www.herald.co.zw/tobacco-farmers-demand-answers-on-us46m-afforestation-levy/">The Herald</a>, Zimbabwe Tobacco Association (ZTA) chief executive officer Rodney Ambrose said currently, 70 per cent of the tobacco produced in the country is cured using wood. He said:
<blockquote>
It’s now almost 10 years since TIMB started collecting an afforestation tax of 0.75 per cent from growers with over US$40 million collected and very few afforestation programmes taking place.
Afforestation programmes are critical to the sustainability of Zimbabwe’s tobacco production and markets, as close to 70 per cent of the crop is cured using wood.
</blockquote>
In the 2015 national budget, the Government re-introduced the tobacco levy on tobacco growers at a rate of US$0.015 per dollar of the selling price.
The funds generated from the levy are meant for financing re-forestation activities.
In the 2016 national budget, the tobacco levy was slashed by half to 0.75 per cent due to El Nino and has remained on that level until now.
Calculation of statistics from TIMB shows that over US$46 million has been collected since 2015.
More: <a href="https://www.pindula.co.zw/">Pindula News</a>

Tobacco Farmers Want Afforestation Programme To Be Expedited

The tobacco auction floors will be closed on 31 July, officially marking the end of the 2023 tobacco selling season, the Tobacco Industry and Marketing Board (TIMB) has said.
In a statement issued on Monday, 24 July, TIMB said final mop-up sales for the auction system would take place on 30 August. It said:
<blockquote>
After consultations with all stakeholders, the Board wishes to advise that the official date of closure for the 2023 auction floors is 31 JULY.
However, growers will still be able to sell their auction tobacco through a mop-up sale.
The final auction clean-up sales will be held on Wednesday 30 August 2023.
</blockquote>
TIMB said contract sales will continue to operate until such a time when individual contractors have fully received all their tobacco.
According to statistics released by TIMB on day 92 of sale, a total of 291.1 million kg of tobacco worth US$882.2 million had been sold at an average price of $3.03 per kilogramme.
Of the total volume of tobacco sold to date, 271.2 million kg were sold via the contract system while the remainder went under the hammer.
More: <a href="https://www.pindula.co.zw/">Pindula News</a>

Tobacco Selling Season Ends On 31 July

Zimbabwe has seen a 45% increase in tobacco earnings this selling season to over US$890 million, with a week left for the closure of tobacco auction floors.
The Tobacco Industry and Marketing Board spokesperson, Mrs. Chelesani Moyo Tsarwe, has commented that the focus is now on increasing output and consolidating current gains. She said:
<blockquote>
The 2022/ 2023 tobacco selling season has been progressing very well as of day 90 TIMB had recorded a total of 290 million kgs of tobacco valued at US$880 million, this is the highest ever volumes of tobacco ever recorded in Zimbabwe this is in comparison to 198 million kgs of tobacco recorded during the same period last year and was valued at US$605 million, deliveries at the floors are now low and stakeholder consultations are underway on the official closure of the floors.
</blockquote>
The trajectory is partly attributed to government interventions. Tobacco is a strategic element for socio-economic development, and the Reserve Bank of Zimbabwe ranks the golden leaf among the top five foreign currency-earning commodities for the country. The sector’s growth is expected to continue, as the country seeks to develop and strengthen its agricultural industry.
Zimbabwe has a long history of tobacco farming, and the crop has been one of the major foreign currency earners for the southern African country for many years. However, production and earnings have been low in the past two decades due to challenges such as fluctuations in global tobacco prices, the impact of climate change, and limited access to credit. 
<h3><a href="https://www.pindula.co.zw/">More Pindula News</a></h3>

Zimbabwe's Tobacco Earnings Rise 45% To Over US$890M This Season

The Tobacco Industry and Marketing Board (TIMB) says tobacco deliveries during the ongoing marketing season have reached a record 260.6 million kilogrammes.
The previous record, which was 259 million kilogrammes, was achieved in 2019.
This year, Zimbabwe was targeting 230 million kilogrammes but a total of 260.6 million kilogrammes had been delivered by 12 June 2023, according to TIMB.
The <a href="https://www.sundaymail.co.zw/new-zim-in-highest-ever-tobacco-deliveries">Sunday Mail</a> reported that tobacco sales have generated US$787 million as of day 64 of the current marketing season.
During the same period in 2022, tobacco sales had raked in US$511 million.
18 million kg of tobacco have been delivered to auction floors while contractors have accounted for 242 million kg.
The highest price achieved to date is US$6.10 per kg at the contract floors and US$4.99 at the auction floors. The lowest price is US$0.10.
More: <a href="https://www.pindula.co.zw/">Pindula News</a>

Zimbabwe's Tobacco Deliveries Break All-time Record Of 259 Million Kilogrammes

The Tobacco Industry and Marketing Board (TIMB) has blocked at least 448 farmers from selling tobacco at auction floors on allegations of side marketing their crop, reported <a href="https://www.zimlive.com/timb-blocks-448-tobacco-growers-for-side-marketing/">ZimLive</a>.
Side marketing is when growers sell their produce to third parties in breach of contractual agreements that bind producers to sell their yield to the contractor who would have provided inputs to the grower.
Side marketing also occurs when an individual sells tobacco on behalf of another.
There are varied reasons why side marketing of crops is now rife in the market but it mainly stems from lower producer prices set by the government and the contractors.
The government outlawed side marketing through Statutory Instrument 77 of 2022 in a bid to protect contracting companies from dealers.
In a statement, TIMB said the growers were blocked from selling their produce after noting unusual activity on the tobacco selling system. Reads the statement:
<blockquote>
We have blocked 448 grower numbers on strong suspicion of tobacco-side marketing.
We interrogated the tobacco selling system, according to sales points, looking for irregular activity that strongly indicates the illegal practice and these growers are the alleged offenders.
The blocked grower numbers had sold tobacco five times or more in only 13 days of the 2023 tobacco marketing season.
It is illogical and cost-ineffective to bring 20 bales to market on a Monday; then bring 10 on Wednesday and 15 on Friday the same week only to bring similar amounts of tobacco in the following week.
… We have blocked these growers from making more sales to make sure we only have legitimate tobacco farmers selling.
</blockquote>
The TIMB advised the individuals with blocked grower numbers to approach their offices with their sale sheets to establish whether they are bona fide tobacco growers selling their own produce or not. It added:
<blockquote>
We will also send our technical team for farm visits to verify by physically inspecting the respective farms and if they are legitimate growers, we will unblock their grower numbers.
</blockquote>
At least 49.4 million kilogrammes of tobacco valued at US$148.5 million have so far been sold through the auction and contract systems at an average price of US$3 per kg.
More: <a href="https://zero.pindula.co.zw/">Pindula News</a>

448 Farmers Blocked From Selling Their Tobacco

Zimbabwe’s 2023 tobacco marketing season officially opened on Wednesday, 08 March 2023, with the yield expected to rise to 230 million kilogrammes for this year.
In 2022, the country produced 212 million kilogrammes of tobacco with 98 per cent of the crop exported.
According to <a href="https://www.zimlive.com/zimbabwe-eyes-230-million-kg-tobacco-yield-as-selling-season-opens/">ZimLive</a>, yesterday, the first bale of tobacco fetched US$4.35 per kilogramme, up from US$4.20, while the lowest price paid for the crop was US$1.85.
Speaking at the official opening of the selling season in Harare on Wednesday, Tobacco Industry and Marketing Board (TIMB) chairman Patrick Devenish, said:
<blockquote>
Our crop assessment reveals that we can produce 230 million kg of tobacco this season.
</blockquote>
He said the sector also registered 3 283 new growers during the cropping season.
Devenish also said the TIMB licensed two auction floors namely Tobacco Sales Floor and Premier Auction Tobacco Floor.
Tobacco sales will be conducted in Harare as well as five decentralised centres which are Karoi, Mvurwi, Bindura, Marondera and Rusape.
More: <a href="https://news.pindula.co.zw/">Pindula News</a>

Tobacco Marketing Season Opens At US$4.35 Per Kilogramme

The 2023 tobacco marketing season officially opens today, 08 March 2023, with the contract floors set to open tomorrow.
The official opening ceremony will be held on Wednesday morning at the Tobacco Sales Floor (TSF) where Vice President Constantino Chiwenga is expected to officiate.
Two auction floors, that is, Tobacco Sales Floor (TSF) and Premier Tobacco Auction Floors (PTAF), have been licenced by the Tobacco Industry and Marketing Board (TIMB).
This season, tobacco farmers will be paid 85 percent of their sales proceeds in foreign currency and the remaining quarter in Zimbabwe dollars.
The 85 percent will be paid directly into the growers’ foreign currency accounts and this is treated as free funds.
The 15 percent local currency will be deposited into the growers’ local bank accounts or e-wallets.
Tobacco Farmers Union Trust president, Victor Mariranyika told <a href="https://www.herald.co.zw/tobacco-marketing-season-starts-today-4/">The Herald</a> that this season’s yield is expected to be better than last season. He said:
<blockquote>
This year’s yield will be better than the previous season’s due to the implementation of best agronomic practises.
In terms of agronomic practices, the farmers have been and are looking after the crop very well, from seedbed to the auction, and we don’t expect any damage to the tobacco as a result of the rains.
The area under tobacco has increased this year because of the incentives the farmers have received from Government.
</blockquote>
Farmers were expected to be fully vaccinated to gain access to the floors, that is, should have received at least two doses.
More: <a href="https://zero.pindula.co.zw/">Pindula News</a>

Tobacco Marketing Season Set To Start Today

A 32-year-old farmer from Mashonaland West, who worked as a farm labourer from a young age, last year pocketed close to US$1 million from his crops.
Patrick Matadi is utilising a rented farm in Lions’ Den and during the current summer cropping season, he has planted 45 hectares of tobacco and 18 hectares of maize.
He is in the process of putting 40 hectares under sugar beans.
Matadi said his father died while he was a toddler and his family was so poor that they could not afford to pay his school fees.
As a result, he had to work as a labourer on Igava Farm in Marondera, Mashonaland East Province, to help put food on the table.
Speaking to <a href="https://www.sundaymail.co.zw/from-farm-worker-to-million-dollar-farmer">The Sunday Mail</a> during a tour of his farming operations, Matadi said he was assisted by the late former Harare mayor, Solomon Tavengwa. He said:
<blockquote>
When the late former Harare mayor, Cde Solomon Tavengwa, saw my passion for agriculture while working for him on his Marondera farm, he gave me five bags of tobacco fertiliser. That is when I started growing tobacco.
</blockquote>
At the age of 18, Matadi, with the help of his mother and their neighbour, who had a tractor, rented a piece of land and had a successful season on a half-hectare field. He said:
<blockquote>
I planted three hectares of tobacco and got good rewards that enabled me to save for the next season.
</blockquote>
He eventually found land to rent in Lion’s Den, Mashonaland West Province, and now owns three tractors, centre pivots and other machinery. Said Matadi:
<blockquote>
This season, I wanted to put over 100ha of tobacco and add over 50ha of maize, then 50ha of beans, but I encountered challenges because the land is not mine.
There are some jealous neighbours who always threaten to sabotage my crops.
</blockquote>
Mhangura Member of Parliament Precious Chinhamo Masango (ZANU PF) said Matadi is an example to young people that farming is a business. She said:
<blockquote>
I want to urge youths to learn from this young man. He is a good example to many that agriculture is a big business.
He is a good man. Recently, we had high-ranking officials in the area and he contributed three beasts for the occasion.
If it was not for agriculture, he would not have afforded that.
</blockquote>

From Farm Labourer To Million-dollar Farmer... Story Of Patrick Matadi (32)

Tobacco farmers want full payment of their foreign currency earnings in United States dollars, instead of the current 75 per cent which they say is insufficient to cover inputs.
Tobacco farmers are getting 75% of their earnings in foreign currency and the remaining 25% in Zimbabwe dollars.
Speaking to <a href="https://businesstimes.co.zw/tobacco-growers-demand-100-forex-retention/">Business Times</a>, a representative of all farmers’ unions in Zimbabwe, Bright Bvukumbwe, said:
<blockquote>
The 75% US$ retention level is insufficient to cover the required input components. Therefore, we require 100% retention.
The increasing costs of production are not matched by floor prices plus a margin as 2022/23 recorded high costs of production at an average of 35% – broken down into a 25% average increase in inputs and +10% increases in local costs.
</blockquote>
Some of the challenges affecting tobacco growers include low foreign currency retention levels, high taxes, selling charges, and levies, according to Bvukumbwe.
According to Research International, it costs US$2.60 for a small-scale farmer to grow a kilogramme of tobacco and the average selling price is US$2.65/kg. Added Bvukumbwe:
<blockquote>
Our conclusion is that growers are producing tobacco because there are no alternate crops.
Growers are continually seeking alternatives to complement their tobacco production as growing tobacco alone is not profitable.
</blockquote>
Bvukumbwe appealed to the government to avail concessionary funding for tobacco growers to restore their viability. He said:
<blockquote>
Golden leaf production needs local independent, concessionary funding outside of contractors and financial institutions.
Borrowing at +100% interest rates for ZWL loans and +12% for US$ loans is not viable for growers.
Various announced facilities like a US$60m, and US$10m facilities have not come to fruition resulting in new foreign currency generation on the decline each season due to extensive offshore borrowings to fund production.
</blockquote>

Tobacco Farmers Demand 100% Forex Retention

Tobacco farmers have pleaded with the government for help to alleviate the negative impacts of the current electricity crisis on farming.
US$300 million of irrigated tobacco crop is reportedly under threat as load shedding is affecting the curing of the golden leaf.
In a letter dated 5 December 2022, the Zimbabwe Tobacco Association (ZTA) pleaded with the Lands, Agriculture, Water, Fisheries and Rural Development Minister Anxious Masuka to intervene. Part of the letter reads:
<blockquote>
There is an immediate requirement for tobacco farmers to access concessionary-priced diesel fuel for generator use either through their contractor or through a government facility.
Listings of affected farmers and requirements can be accessed through associations, unions, contractors and TIMB.
For effective curing and handling of this crop, 24 hours of continuous power is required on tobacco farms.
Currently, farms are getting on average seven hours of power per day, barring any faults, which is 30% of the requirements from the utility.
</blockquote>
Zimbabwe is experiencing power cuts of up to 18 hours a day due to reduced generation at Kariba caused by low water levels and recurrent breakdowns at Hwange.
As of 8 December, 2022, the Zimbabwe Power Company (ZPC) was generating 506MW from its 5 power stations.
Hwange was generating 296MW, Kariba 200MW, Bulawayo 10MW, while Munyati and Harare were generating nothing. | <a href="https://businesstimes.co.zw/power-cuts-shocker/">Business Times</a>

Load Shedding Disrupts Tobacco Curing

At least 400 hectares of irrigated tobacco have been severely damaged countrywide after farmers used counterfeit chemicals on their crops.
Liaison, pesticide approval and plant health services officers have since been deployed to assess the damage caused by the use of these chemicals, The Sunday Mail reported.
Tobacco Research Board (TRB) executive director for research and extension services, Dr Susan Dimbi, warned farmers from using unregistered agrochemicals.
Dr Dimbi said during an interview with <a href="https://www.sundaymail.co.zw/new-400-hectares-tobacco-damaged-by-fake-chemicals">The Sunday Mail Online</a>:
<blockquote>
This comes as a record incidence of abnormally growing tobacco plants in the irrigated tobacco crops this October was detected.
Teams on the ground established that growers had used chlorpyrifos, with rates that ranged from 750ml – 1500ml per hectare.”
The symptoms on the affected crops are not typical chlorpyrifos phytotoxicity symptoms, but rather pointing to 2,4D-related herbicide damage.
</blockquote>
On average, one hectare produces at least four tonnes of tobacco if farmers use the recommended agronomic practices.
Chlorpyrifos is a hazardous pesticide that has been banned for tobacco and other crops in many countries around the world.
According to Mashonaland Central senior agronomist, Mr Lazarus Gatawa, phytotoxicity is an adverse effect on plant physiology and inhibition of growth that is caused by applied chemical substances like fertilisers, herbicides or insecticides.
Meanwhile, the Zimbabwe Republic Police and Seed Co officials have since launched a blitz on counterfeit agricultural products flooding the market.
Indications are that counterfeit agricultural inputs are being sold at illegal outlets and open spaces at lower prices than genuine products.
<h2><a href="https://zero.pindula.co.zw/">More Pindula News</a></h2>

About 400 ha Of Tobacco Damaged After Farmers Used Counterfeit Chemicals

The Tobacco Industry and Marketing Board (TIMB) has refuted a report claiming that it had banned Voedsel from contracting farmers this year allegedly over the company’s failure to pay farmers for the past two years.
According to a report by <a href="https://www.herald.co.zw/timb-bans-voedsel-from-contracting-tobacco-farmers/">The Herald</a>, Voedsel, which has buying facilities in various tobacco-growing regions including Rusape, Marondera and Karoi, was declared an “unsuitable player” by the TIMB.
The publication quoted a source as saying, “Voedsel won’t be participating this year because they owe huge amounts of money to tobacco growers.”
However, in a statement issued on Tuesday, 08 November 2022, TIMB acting CEO Emmanuel Matsvaire said Voedsel remains operational. He said: 
<blockquote>
TIMB wishes to advise that Voedsel Tobacco is a tobacco merchant company involved in contract farming, buying and exporting of processed tobacco and is not a surrogate of any other local merchant.
They have a valid contract and Class A licenses which permit them to participate in both contract and auction floor buying platforms for the 2022/2023 season.
Currently, Voedsel Tobacco is compliant with all TIMB regulations and has no pending issues before the Board.
</blockquote>
Voedsel itself had released a statement earlier in the day advising stakeholders that it remained operational, contrary to reports. | <a href="https://www.herald.co.zw/voedsel-remains-operational/">The Herald</a>

TIMB Says Voedsel Remains Operational

The Tobacco Industry and Marketing Board (TIMB) has reportedly banned Voedsel from contracting farmers this year after it failed to pay farmers for the past two years.
According to a report by <a href="https://www.herald.co.zw/timb-bans-voedsel-from-contracting-tobacco-farmers/">The Herald</a>, Voedsel, which has buying facilities in various tobacco-growing regions including Rusape, Marondera and Karoi, was declared an “unsuitable player” by the TIMB.
Voedsel was among the major financiers of tobacco under contract schemes.
A TIMB official who declined to be named as a result of not being authorised to talk to the press told The Herald:
<blockquote>
Voedsel won’t be participating this year because they owe huge amounts of money to tobacco growers.
In fact, the deadline for contracting farmers was October 31, (2022) and November 31, is the deadline for disbursing the inputs.
</blockquote>
Meanwhile, Tennyson Hwandi, a director at Vodsale blamed “white-owned companies” for working against indigenous tobacco merchants. He said:
<blockquote>
Big tobacco companies are being threatened by black-owned tobacco companies, and Voedsel being one of the major players, has been a target.
They are determined to see us closing down. We are already giving our farmers inputs.
</blockquote>
Another TIMB official was quoted as saying, “if it is true that they are issuing the inputs, it is very illegal because we have not licensed them.”

TIMB Bans Voedsel From Contracting Tobacco Farmers | Report

The 2022 tobacco selling season officially opened on Wednesday, 30 March, with sales being conducted at the Tobacco Sales Floors (TSF) and Premier Tobacco Floors (PTF).
The opening of the Boka Tobacco Floors (BTF) was postponed to Monday next week to pave way for the road construction works adjacent to the premises.
The first bale fetched US$4.20 per kg which is lower than the US$4.30 per kg fetched by the first bale last year.
Farmers will get 75 per cent of their payments in foreign currency and the funds are being treated as free funds.
Speaking the official opening at TSF, Lands, Agriculture, Fisheries, Water and Rural Development Minister Anxious Masuka said:
<blockquote>
As the Minister responsible for this subsector, my gaze, and mind, are fixed on the entire value chain — on fairness, ethics and probity, transparency, accountability, discipline, equity and on sustainability.
Through the Tobacco Transformation Plan (TTP), we will build this industry ‘Brick by brick and stone upon stone’ into a US$5 billion industry by 2025.
</blockquote>
Masuka warned buyers against offering higher prices at contract sales compared to auction sales for a similar grade of tobacco. He said:
<blockquote>
I am recommending the Tobacco Industry Marketing Board (TIMB) inspectorate unit continue to work with other security agencies to eliminate these vices. Discipline must return to this important industry.
Contractors should provide the prescribed minimum support package for both smallholder and commercial farmers and farmers must repay this support through the delivery of the crop to contractors while avoiding side-marketing.
</blockquote>
<h4>More: <a href="https://www.herald.co.zw/tobacco-marketing-season-opens/">The Herald</a></h4>

2022 Tobacco Marketing Season Opens

The opening bale of tobacco has been sold at US$4.30/kg which is higher than the US$4 in 2020 and is lower than US$4.50 of 2019.
The tobacco selling season commenced this Wednesday and the farmers expect higher prices this season due to improved quality.
Contract sales open tomorrow.
In a recent statement, the Reserve Bank of Zimbabwe (RBZ) recently <a href="https://news.pindula.co.zw/2021/03/08/tobacco-farmers-to-retain-60-per-cent-forex-earnings/" rel="noopener" target="_blank">announced that tobacco growers will be paid 60 per cent of their earnings in foreign currency</a> while the remaining 40 per cent will be paid in local currency using the auction rate.
Farmers were pushing for up to 80 per cent foreign currency retention from last year’s 50-50.
Some farmers are, however, welcomed the 60% retention describing it as “a positive development, on the ground farmers will continue increasing their tobacco production.”
Before the review, some farmers were reportedly contemplating ditching the golden leaf over the pricing model which they said was not commensurate with the effort they would have put.
Tobacco Industry Marketing Board (TIMB), chief executive officer Dr Andrew Matibiri recently <a href="https://news.pindula.co.zw/2021/01/03/demise-of-the-tobacco-auction-system-trigger-fears/">said many farmers will be de-contracted and will be free to sell through the auction system this season.</a>
He expressed hope that would provide reasonable volumes to prop up the auction.
There were fears that with the demise of the auction system, farmers would be vulnerable hence the need to restore the viability of the auction system to cushion farmers from all kinds of abuse by the merchants.
Dr Matibiri also said if there were no enough volumes to prop up the auction, they were going to have “a mechanism to determine minimum prices to ensure that farmers are protected from any kind of price manipulation.”
More: <a href="https://news.pindula.co.zw/">Pindula News;</a> <a href="https://twitter.com/happ_zenge/status/1379681447485837312">Happi Zenge-Manyere</a>

Opening Tobacco Bale Sold At US$4.30/kg

The new tobacco selling season starts this Wednesday and the opening ceremony will be held this morning at the Tobacco Sales Floor in Harare. Contract sales open tomorrow.
The Tobacco Industry and Marketing Board (TIMB) has licensed the three traditional auction floors in Harare, namely Boka Tobacco Floors, Tobacco Sales Floor and Premier Tobacco Floors.
The Zimbabwe Tobacco Association (ZTA) said that though some buyers may reject disease-affected and thinner crops, demand for tobacco remains high.
The Reserve Bank of Zimbabwe (RBZ) recently <a href="https://news.pindula.co.zw/2021/03/08/tobacco-farmers-to-retain-60-per-cent-forex-earnings/" rel="noopener" target="_blank">announced that tobacco growers will be paid 60 per cent of their earnings in foreign currency.</a>
The remaining 40 per cent will be paid in local currency using the auction rate.
This season farmers were pushing for up to 80 per cent foreign currency retention from last year’s 50-50.
Meanwhile, TIMB has put in regulations that merchants must abide by before they are registered.
About 200 million kilogrammes of tobacco are expected to be delivered to the auction floors this season, up from 184 million kilogrammes sold by farmers last season.
<h4>More: <a href="https://www.herald.co.zw/tobacco-selling-season-kicks-off-today/" rel="noopener" target="_blank">The Herald</a></h4>

Tobacco Selling Season Commences Today

Some tobacco farmers have welcomed the review of payment terms which would see them receive sixty percent (60%) of the <a href="https://news.pindula.co.zw/2019/07/24/forex-retention-thresholds-to-be-maintained-rbz/">total earnings from the sale of their product</a> in forex.
Farmers at Glamorgan in Bindura who spoke to ZBC News said the move was a positive one. Said some of the farmers:
<blockquote>We are expecting contractors to buy our crop fairly and we praise government for the 60% forex and 40 percent RTGS which will allow us to purchase important utilities and be able to go back into the field.
The 60% retention is a positive development, on the ground farmers will continue increasing their tobacco production.</blockquote>
Before the review, some farmers were reportedly contemplating ditching the golden leaf over the pricing model which they said was not commensurate with the effort they would have put.
Previously, delays in payment and the payment models created a standoff between the government and farmers or at least delayed the selling of the crop at the auction floors.
More: <a href="https://www.zbcnews.co.zw/tobacco-farmers-upbeat-following-forex-retention-review/">ZBC News</a>

Tobacco Farmers Speak On 60% Forex Retention

Tobacco farmers will be paid 60 per cent of their proceeds in foreign currency, with 40 per cent being in local currency.
Last year farmers were paid 50 per cent of their proceeds in US dollars with the other 50 per cent being in Zimbabwe dollars.
Lands, Agriculture, Fisheries, Water and Rural Resettlement Minister, Anxious Masuka, said last week said the 2021 tobacco selling season will start soon.
Masuka also said the Ministry was engaging the Reserve Bank of Zimbabwe (RBZ) and farmers representatives to ensure that everything runs smoothly.
Responding to questions in Parliament last week, Masuka said:
<blockquote>The opening of tobacco auctions is coming very soon and we are busy engaging with the buyers together with the Reserve Bank and farmers representatives who have submitted areas they would want to be improved from last year.
The Reserve Bank has put in measures to the effect that there is going to be the same treatment to everyone who is exporting produce so that tobacco farmers are happy because they are going to get 60 per cent of the US dollar component.
We are busy ensuring that the two come to an agreement before the opening of the tobacco auction floors.</blockquote>
In 2020, tobacco farmers were not happy after the RBZ insisted on paying for their crop using the official exchange rate of US$1: ZWL$25, which was prevailing at the time.
Currently, the official exchange rate is at US$1:Z$83 but far below the alternative exchange rate of US$1:Z$120.
However, farmers want to be paid all their proceeds in foreign currency because the majority of their inputs are now being sold in US dollars
<h4>More: <a href="https://www.chronicle.co.zw/tobacco-farmers-to-retain-forex-earnings/" rel="noopener" target="_blank">Chronicle</a></h4>

Tobacco Farmers To Retain 60 Per Cent Forex Earnings

The opening of the 2020 tobacco marketing season which was scheduled for 20 April, has been postponed to a date yet to be finalised, a government official has said.
Lands, Agriculture, Water, Climate and Rural Resettlement Deputy Minister Douglas Karoro revealed that the postponement was done to allow stakeholders to devise mechanisms to sell the crop in a way that reduces the spread of the coronavirus.
Addressing stakeholders in the tobacco sector at an online mock sale of the crop held at Northern Tobacco Auction Floors on Monday, Karoro said:
<blockquote>I know the people out there want to know the exact date of the start of the marketing season.
This is part of the assessments that we have done and we are going to inform our colleagues and the minister so that he also prepares a statement for onward transmission to the President and I am sure if we are happy here with these preparations, then the minister and the President will also be happy and they will guide us accordingly on the final date.</blockquote>
The online mock sale of tobacco was done to show stakeholders how farmers can sell the crop without being physically present on the floors.
Co-Deputy Minister in the Ministry of Lands, Agriculture, Water, Climate and Rural Resettlement, Vangelis Haritatos urged farmers to consider selling their tobacco online.
Speaking about the decentralisation of tobacco auction floors, Northern Tobacco chief executive Glen Youngs said the idea is a noble one. However, it will be difficult to implement this season due to limited space in other areas outside of Harare.
<h4>More: <a href="https://www.herald.co.zw/opening-of-tobacco-sales-floors-put-on-hold/" rel="noopener noreferrer" target="_blank">The Herald</a></h4>

Opening Of The 2020 Tobacco Marketing Season Suspended

Farmers’ union representatives have called upon the government to be prioritised in the provision of fuel as they were spending production hours in queues like any other motorist.
Zimbabwe Farmers Union (ZFU) president Wonder Chabikwa told The Herald that ignoring farmers when it comes to fuel allocation is akin to killing the hen that lays the golden egg. He said:
<blockquote>Sixty per cent of the raw materials that power the manufacturing sector come from agriculture. In the past, farmers would get special fuel-supplying facilities and would buy it at wholesale price, but now we are being made to queue for long hours just like any other motorist and this is adversely affecting production.
We should not reinvent the wheel and we should not kill the hen that lays the golden egg. Tobacco farmers are the most affected by the prevailing fuel shortages. Those with an irrigated crop are now busy harvesting. There is a lot of trailer work involved at this crucial stage and this requires a lot of fuel as tobacco has to be transported from the fields to curing barns and then to the auction floors.</blockquote>
Meanwhile, Zimbabwe Commercial Farmers Union president Shadreck Makombe said farmers should be allowed to access fuel directly from the National Oil Infrastructure Company (NOIC).
<h4>More: <a href="https://www.herald.co.zw/rbz-tobacco-farmers-iron-out-differences/" rel="noopener noreferrer" target="_blank">The Herald</a></h4>

Farmers Accuse Govt Of 'Killing The Hen That Lays The Golden Egg'

The Zimbabwe Republic Police (ZRP) has advised tobacco farmers to avoid travelling at night as they become vulnerable to robbers.
There has been a rise in reported cases of robberies targeting the farmers, with gun-toting robbers getting away with bales of tobacco.
National police spokesperson Assistant Commissioner Paul Nyathi, on Wednesday, said that in one such incident, farmers were robbed of their tobacco around 3 AM. He said:
<blockquote>On June 6, three other complainants were travelling in a Mazda Bongo with 14 tobacco bales from Karoi at around 3 am.
At the intersection of Rotten Row and Coventry Road, they discovered that the tent covering the bales had been tampered with.</blockquote>
When the farmers stopped to check, they were confronted by a group of seven men, armed with iron bars.
The men offloaded seven bales and loaded them into their getaway vehicle and drove away.
Reports indicate that over the past few years, farmers have lost tobacco worth thousands of dollars after being robbed on their way to auction floors.
<h4>More: <a href="https://www.herald.co.zw/police-warn-tobacco-farmers/" rel="noopener noreferrer" target="_blank">The Herald</a></h4>

Tobacco Farmers Advised To Shun Night Travel

https://youtu.be/GjA4Rxra5vM
The price of tobacco on the auction floors in April 2019 has frustrated many new farmers in Zimbabwe, who have vowed to take their tobacco to their farms.
Said the woman in the video:
<blockquote>We clearly now live in slavery, farming tobacco. A bag of fertiliser is $120 but you buy our tobacco for R5 (generally equated to US 50 cents in Zimbabwe). We will not bring any more tobacco here [to the auction floors]. We’ll take our crop home. Even the tobacco we had brough here, we want to take it back. The buyers can keep their money.</blockquote>
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Desperate Woman Decries Tobacco Prices, Vows To Withdraw Crop

Zimbabwe Congress of Trade Unions (ZCTU) president, Peter Mutasa, has bemoaned the payment methods adopted by the Reserve Bank of Zimbabwe (RBZ) for tobacco farmers.
The RBZ announced on Tuesday that farmers will receive payment for their tobacco in RTGS currency, rather than the 50% US dollars it had promised them initially.
Mutasa said that there will be no development in the country as long as it did not reward the producers;
<blockquote>There will be no development or economic progress in a country which does not reward those who produce (workers). 
Farmers must be paid in USD coz tobacco is exported. Farmers paid for the inputs in USD and will lose if they are paid in RTGS.</blockquote>
Framers have been angered by the decision and have vowed to withhold their produce until they are paid in US dollars.
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<h3><a href="https://news.pindula.co.zw/2019/03/21/rbz-dupes-tobacco-farmers-as-it-suddenly-changes-payment-method/" rel="noopener" target="_blank">RBZ Dupes Tobacco Farmers As It Suddenly Changes Payment Method</a></h3>
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<h3><a href="https://news.pindula.co.zw/2019/03/20/zimbabwes-tobacco-output-set-to-decrease-by-5/" rel="noopener" target="_blank">Zimbabwe’s Tobacco Output Set To Decrease By 5%</a></h3>
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Pay Tobacco Farmers In US Dollars - ZCTU

Business and economic analyst, Victor Bhoroma said Zimbabwe is losing billions annually on account of exporting raw tobacco.
Bhoroma said Zimbabwe can make more money exporting cigarettes than unprocessed tobacco. Said Bhoroma:
<blockquote>The average export price for raw tobacco from Zimbabwe was $4.85/kg in 2018 while the average price for cigarettes was $32/kg. By exporting the same amount of kgs (after factoring in weight losses inmanufacturing), Zimbabwe could have realized $5.8 billion in one year. Zimbabwe exports raw tobacco to China, South Africa, UK, UAE, Belgium, New Zealand and Turkey which proceed to manufacture billions of cigarette sticks and export them at higher values under renowned brand names such as Marlboro, Camel, Davidoff, Newport and Dunhill.</blockquote>
More: <a href="https://www.263chat.com/raw-tobacco-exports-costs-zim-billions/">263Chat</a>

Zimbabwe Losing Billions As It Exports Unprocessed Tobacco

Reserve Bank of Zimbabwe (RBZ) governor John Mangudya said Zimbabwe’s 2019 tobacco marketing season will open on March 20 with growers retaining 50 percent of their net export proceeds.
Mangudya said this when he appeared before the parliamentary committee on public accounts on Monday. He said the RBZ and farmers will hold further discussions on the period that farmers should keep their retained forex earnings after the central bank last month gave the exporters only 30 days after which the unused money will be put on the market. He said the tobacco farmers had asked for the retention period to be extended to between 90 and 180 days.
More: <a href="http://www.xinhuanet.com/english/2019-03/11/c_137886680.htm">Xinhua</a>

2019 Tobacco Marketing Season Opens Next Week

Farmers in Hurungwe have implicated the Tobacco Industry and Marketing Board of working hand in glove with contracting companies to fleece them.
Reports indicate that farmers have been contracted by certain companies on the understanding they will get inputs from the contractors. However, the farmers never get the inputs but are instead forced to sell their tobacco to the contracting companies since they would have been given growers’ numbers.
The affected farmers are convinced that this can never happen without the involvement of TIMB officials.
A Mail and Telegraph source had this to say
<blockquote>Some TIMB employees are involved in corrupt activities at the head office where they give grower numbers to tobacco contractors without the farmer’s knowledge. Farmers will only know in some instances when they want to sell their tobacco on the floors that he is registered with a certain company.
Some of these companies have a habit of registering farmers promising them to give them inputs and money for labour but renege on these promises.</blockquote>
On its part, the TIMB strenuously denied the allegations. In an interview with the Mail and Telegraph, communications manager Ishemunyoro Moyo said
<blockquote>Different individuals have different rights in the system. For instance, they are able to check if a farmer is contracted by another company as a farmer should not be contracted by more than one company. These allegations are unfortunate as it is based on speculation.
Of late some companies have been fined and licenses have been cancelled. TIMB is concerned with integrity and does not tolerate any form of corruption. There are no sacred cows and farmers should report any form of ill-treatment.
… We de-contract any farmer who decides to part ways with a contractor as long as they do not owe the company anything. During contracting, we require a form signed by the farmer and likewise, during de-contracting, we require a form signed by the contractor.
This is in an effort to protect both the farmer and the contractor. In the past, a contractor could simply give us a list of their farmers and we would contact them. 
But because farmers would complain that they were contracted without their knowledge, we now insist on contractors giving us forms signed by the farmers. This now means for a farmer to be contracted without consent is criminal and involves forgery.</blockquote>
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<h3>More: <a href="https://mailandtelegraph.com/2018/12/15/rot-in-tobacco-industry-exposed/">Mail and Telegraph</a></h3>

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