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Category: Agriculture & Sustainability

  • Zimbabwe to Double Shisha Output

    Zimbabwe to Double Shisha Output

    Despite only increasing planted land by 25%, Zimbabwe is expected to see its Shisha crop double in 2025. Mostly being produced under a contract spearheaded by Cavendish Lloyd Zimbabwe Pvt Ltd. (CLZ), the increase in production is being attributed to the adoption of good agronomic practices, collaboration between growers and technicians, and favorable weather conditions.

    “We are projecting a total of 800,000 kilograms of cured Shisha tobacco by the end of the season, a significant increase from last year’s 400,000 kg,” Dr Rebecca Manford, chief executive officer for CLZ said. “The price for the crop has remained strong, with the highest price recorded so far at US$5.75 per kg, an increase from last season’s US$5.70.”

    Shisha was introduced commercially in Zimbabwe in 2022, and last year was negatively impacted by the El Nino drought. The number of growers increased from 65 to 125 this year, yet the land committed only increased from 388 to 485 hectares. Production of the crop has presented farmers with more investment opportunities to widen their farming business as part of the Tobacco Value Chain Transformation Plan.

  • Mixed Reactions as Malawi’s Tobacco Season Opens 

    Mixed Reactions as Malawi’s Tobacco Season Opens 

    The 2025 tobacco marketing season officially opened in Malawi’s capital of Lilongwe Wednesday (April 9), with leaf fetching between $1 and $3.20 per kg. While some farmers described the opening prices as “not so bad,” most farmers said they felt robbed, given the current high cost of living and the expenses that tobacco farming demands.

    “The offered prices are lower than what we expected,” one farmer told Xinhua in an interview, as other farmers nodded in agreement. “Everything has gone up following our currency’s devaluation, so we expected the leaf to fetch more than what we have witnessed today.”

    However, Minister of Agriculture Sam Kawale said during the opening that the tobacco marketing season has started “on a good note,” considering that the first batch of tobacco to be sold is typically of low quality.

    “The tobacco that has fetched these prices is the bottom leaf, ones close to the ground, and it is mostly disregarded in sales,” said Kawale. “If the lower leaf is fetching that much, we are hopeful that the actual leaf of good quality that is yet to be sold will fetch even more.”

    President Lazarus Chakwera presided over the opening and said, “The bottom leaf may not be the best, but I’m encouraged to see that the prices have gone up, in some cases, by more than 55 cents above the minimum price. That’s a good start.”

    Malawi is expected to increase tobacco production by 30.8% to 174 million kg this year, according to the Tobacco Commission.

  • Zimbabwe Growers Warned Against Illegal Tobacco Seeds 

    Zimbabwe Growers Warned Against Illegal Tobacco Seeds 

    Researchers have warned against illegal tobacco seed imports, which could destroy Zimbabwe’s viable tobacco sector, which was recently earmarked to grow to a $5 billion industry. In a recent notice, Kutsaga Research said the institution had received numerous reports of illegal imports and sales of uncertified flue-cured tobacco seed varieties.

    “This includes some unprescribed old fertile lines and varieties and also landraces purportedly sold as Kutsaga hybrids,” Kutsaga officials said. “Unfortunately, growers who have cultivated these varieties have suffered huge economic losses due to their inherently low or poor agronomic attributes which result in crop and leaf that falls short of market standards for flue-cured tobacco.”

    An illegal variety is that which has not been prescribed and approved by the Tobacco Industry and Marketing Board (TIMB) on the recommendation of the Tobacco Research Board (TRB) for commercial production in Zimbabwe. Kutsaga Research said its unique tobacco attributes were safeguarded by proven and widely adapted locally bred genetics as well as tested and approved foreign varieties.

    Kutsaga said its rigorous industry-wide testing protocols (including agronomic, chemical, smoke quality) guarantee the sought-after quality of all tobacco varieties bred locally or imported in Zimbabwe.

    A farmer from Gutu, Masvingo, is counting his losses after unknowingly buying cigar wrapper type seed from unauthorized and unscrupulous sources, thinking it was flue cured, only to realize the mistake at reaping. The same unfortunate circumstances extended to farmers in Gokwe South and Karoi, who planted varieties that did not align with any recognized tobacco strains.

    Kutsaga Research has warned that growers and merchants will inadvertently suffer financial losses through yield penalties, increased cost in pests and disease control and low value leaf crop (or filler styles).

    “The net effect is that, at the household level, this compromises family income and food security, and at national level, it results in low foreign currency receipts and this goes against the Tobacco Value Chain Transformation Plan and its tenets towards a $5 billion-dollar revenue from the crop,” the institution said.

  • Zimbabwe Tobacco Market Picking Up Steam

    Zimbabwe Tobacco Market Picking Up Steam

    Twenty-three days after Zimbabwe’s tobacco season opened, all parties are reporting to be relatively satisfied with farmers already earning $143 million from 41.6 million kilograms of flue-cured tobacco sold. As is typical for this point in the season, the majority of the tobacco is still in the field, and thus far, the highest-quality product has been scarcely seen.

    According to the Tobacco Industry and Marketing Board (TIMB), 39.2 million kg, valued at $135.2 million, had been sold by contracted growers, while 2.4 million kg, worth $7.7 million, had come from self-financed farmers. Last year, farmers sold 56.7 million kg of flue-cured tobacco valued at $200 million.

    The increase in tobacco production has been attributed to viable prices, an organized market, and the availability of funding through contractors and the government.

    The average price at auction was $3.43 per kg, compared to $3.53 last year, but growers are confident that the price will continue to rise as they grade and bail the best of their product.

    “The participation of merchants has really improved,” said Sam Garabha, operations manager for Premier Tobacco Auction Floors. “Our farmers are quite happy and excited with the offers they are receiving at the auction floors, although we expect better quality. During the past week, we were receiving lower and middle grades, but, as the harvest continues, we are noticing significant improvements in prices.”

    Source: “The Sunday Mail”, Harare; 6 Apr 2025

    Farmers pocket US$143m as auction activity picks up
  • Malaysia: Could Kenaf Replace Tobacco?  

    Malaysia: Could Kenaf Replace Tobacco?  

    Anti-tobacco advocate Datuk K. Koris Atan is urging the Malaysian government to help the smoking rate in the country by getting tobacco farmers to switch to growing kenaf instead. Kenaf is a hibiscus, related to cotton and okra, used for a variety of purposes including paper pulp, textiles, and wood-based products. Koris argues that if tobacco becomes scarcer, the supply of cigarettes would dwindle, and thus smoking would decrease.

    Kenaf was first introduced as a commercial crop in 1998, and Datuk Wan Abdul Rahim Wan Abdullah, chairman of the National Kenaf and Tobacco Board says it has great potential but just hasn’t been given the attention it needs. That it thrives in hot, dry climates makes it easy to grow, according to Rahim Wan, and offers potential earnings of RM 5,000 ($1,100) per hectare per season.

    Wan Abdul Rahim said that kenaf can also be grown as a supplement to major plantations and farming such as rubber, oil palm, and padi. “It has gained global attention as a cost-effective plant,” he said.

  • Malawi Government Urged to Take Over Tobacco Diversification Agenda 

    Malawi Government Urged to Take Over Tobacco Diversification Agenda 

    A report by the Sustainable Development Initiative (SDI) in Malawi said the nation’s agricultural diversification programs are not yielding the desired results, with farmers struggling to access markets for alternative crops. Maynard Nyirenda, executive director of the SDI, said his organization understands that weaning Malawi off its reliance on tobacco will be a long and challenging process, given the crop’s entrenched history in the country dating back to colonial times, however he emphasized the need for a gradual transition to alternative crops.

    The SDI said that after decades of practice, the current tobacco diversification agenda hasn’t yielded economic prosperity, and that the tobacco industry’s diversification programs are driven by the industry itself, creating a conflict of interest. He emphasized the need for a farmer-centered approach, stating that the Malawi government should provide direct market access, technology, and infrastructure for alternative crops such as soya beans, sunflowers, and groundnuts.

    “We are saying, let the government own this particular diversification agenda so that the other crops are also given enough support that the tobacco industry has received,” Nyirenda said. “If you can support the same soya beans and whatever alternatives, give it a lot of support as we have been doing on tobacco, it will be sold outside, it will be exported. We will still be getting the same U.S. dollars.”

  • Cuban Tobacco Crops Continue to be Down

    Cuban Tobacco Crops Continue to be Down

    According to a report from Agencia Cubana de Noticias, Cuban farmers have only planted 10,378 hectares of tobacco through February, close to the revised target of 10,500 hectares set in September 2024, but well below the initial goal of 14,771 hectares.

    Cuba’s tobacco production has still not recovered since Hurricane Ian hit in 2022. In the fall of 2021, Tabacuba said that it planned to plant more than 16,000 hectares in Pinar del Río and harvest 17,600 tons. The 2023-2024 crop was originally targeted at nearly 13,000 hectares but was reduced to 10,200 hectares.

    “Since Hurricane Ian ravaged Pinar del Río, Cuba’s main growing region has been rebuilding,” Charlie Minato wrote for Halfwheel. “It was estimated that 90% of the curing barns in the province were damaged, something that remains an issue today. Osvaldo Santana Vera of Tabacuba, the state-owned company in charge of tobacco production, told ACN that he was hoping for more wood deliveries, which would allow for more curing barns and could increase the size of the crop. In addition, heavy rains in September 2024 led to the destruction of 10,000 seed beds and pushed back some of the planting until earlier this month.”

  • Virginia Tobacco Begins Trading in Philippines 

    Virginia Tobacco Begins Trading in Philippines 

    The National Tobacco Administration (NTA) said that growers who planted the last week of November have already started bringing flue-cured Virginia tobacco buying stations in Region 1 and Abra to open the 2024–2025 crop season.

    Administrator and Chief Executive Officer Belinda S. Sanchez said NTA extension workers have already calibrated and sealed the trading equipment and facilities of the two biggest tobacco trading outlets in the Ilocos region, as well as the scales of accredited field canvassers

    Trading warehouses of the Universal Leaf Philippines, Inc. in Agoo, La Union; Candon City and Cabugao, both in Ilocos Sur; Currimao, Ilocos Norte; and Bangued, Abra; and the warehouse of Trans Manila Incorporated (TMI) in San Juan, Ilocos Sur, are now open.

    Trading centers opened by purchasing a kilo of prime class of flue-cured tobacco at P107 ($1.89) while field canvassers in the first district of Ilocos Sur bought the same class of cured tobacco as high as P125 ($2.13) per kilo. With these, Sanchez said she is expecting another golden season for tobacco farmers this year, as the current tobacco buying prices are much higher than the approved tobacco floor prices during the tripartite conference in October 2023.

  • Cresco Labs Making Mark in KY Cannabis Market

    Cresco Labs Making Mark in KY Cannabis Market

    Chicago-based Cresco Labs Inc. today (March 11) announced it received a management services agreement with a Tier 3 Cultivation License in Kentucky, allowing it to operate a cannabis cultivation facility with up to 25,000 square feet of canopy. It is only the second such license issued in the state.

    Cresco offers cannabis in all forms nationally under brands such as High Supply, FloraCal, Good News, Wonder Wellness Co., Mindy’s, and Remedi, and sells under its Sunnyside brand dispensaries.

    “The Cultivation License allows for the construction of a state-of-the-art cultivation facility with up to 25,000 square feet of canopy, enabling us to deliver the quality and scale we are known for,” said Charlie Bachtell, CEO of Cresco Labs. “We’ve spent the last two years focused on solidifying the core and increasing our free cash flow. Kentucky is our first of many opportunities to reinvest that free cash flow back into high ROIC growth initiatives as we continue expanding into new markets.”

    Launched on Jan. 1, 2025, Kentucky’s medical cannabis program allows for a maximum of 115,000 square feet of approved canopy space and 48 retail licenses. Industry analysts predict the state’s market will generate $135 million in revenue by 2026 and grow to $228 million by 2028.

  • Opinion: Zimbabwe’s Tobacco Chain Needs to Come Together

    Opinion: Zimbabwe’s Tobacco Chain Needs to Come Together

    Zimbabwe’s tobacco marketing 2025 season opened last week with the first bale selling for $4.65 per kg. That price was predictably down from last year’s $4.92 as the El Nino drought created a shortage in the tobacco market. Last year’s output was 235 million kilograms, down from 2023’s record 296 million kg. For 2025, projections are in the 280 million kg region, however, more plantings and favorable weather keep the National Development Strategy’s ultimate 300 million kg goal a possibility.

    While growers are doing their part in the system, Obert Chifamba wrote in his opinion piece for The Herald that more needs to be done as a nation to make the cash crop profitable for the people doing the work.   

    “Just two seasons ago [we were] close to the target of 300 million kg,” Chifamba wrote, “which means production-wise, we have achieved our intentions, hence the need to identify and address the issues now standing between the country and its target.

    “Delays in disbursing the $60 million tobacco revolving fund meant to localize the crop’s funding and support growers have not made the situation any better, with the Reserve Bank of Zimbabwe said to be working on the modalities of disbursing it. Local funding should take care of 70% of the cost of production. This is also one of the strategies the government is pushing to effectively implement to ensure the country stops relying on foreign capital for the crop, which will see the funders taking between 80 and 90% of the money generated from tobacco out of the country leaving producers with very little.”

    Chifamba also points out that 95% of the tobacco produced gets exported out of the country raw, allowing countries that import and process it to reap the majority of the profits, and that local growers are often taken advantage of by foreign sponsors with “notorious price ceilings” and incomplete purchase contracts. 

    “It is critical for the tobacco industry to do some self-introspection and see where the wheels are always coming off,” Chifamba wrote. “Maybe it will take the intervention of the government or some independent observer to pinpoint where the tobacco juggernaut needs revitalization to function more fluidly and profitably for all parties involved.”