eBusiness Weekly
Kudakwashe Mhundwa
Over 152 000 farmers have so far registered to grow tobacco in the 2018/19 farming season, which is a 62 percent increase compared to the 93 000 who registered in the same period prior year.
At least 33 995 of the 152 000 registered to grow the cash crop for the first time.
Farmers growing irrigated tobacco have also started transplanting in different parts of the country.
According to Tobacco Industry and Marketing Board (TIMB) statistics, all the tobacco growing provinces have registered an increase in the registrations.
TIMB statistics indicate that by October 25, 151 632 farmers had registered for tobacco for the 2018/19 season compared to 93,795 who had registered during the same period last year.
Masvingo has seen the highest improvement in tobacco in number of registered tobacco growers with 155 farmers having registered compared to 91 who registered in the corresponding period last year.
Registrations from Mashonaland Central increased by 67 percent to 58 742 registered farmers from 35 173 last year.
Mashonaland West registered an increase of 67 percent from 31 351 growers last year to 52 274 this year, while Mashonaland East recorded an increase of 54 percent from 12 889 to 19,845 growers.
The increase in registrations has largely been influenced by the need for farmers to obtain individual growers’ numbers so that they benefit from the introduction of foreign currency incentives.
Government in 2016 awarded tobacco farmers an export incentive, which rewards the growers for generating foreign currency through exporting goods and services.
The incentive pays the farmer a bonus of 12,5 percent on the foreign currency generated.
The use of plastic money has also made it difficult for the farmers to share their money after selling their crop as they are no longer paid in cash.
The money is now being deposited in bank accounts or paid through EcoCash.
This also follows announcement by the central bank that it is setting up a staggering $85,3 million enhanced facility for lending to small-scale tobacco farmers, as it seeks to boost production and generate more foreign currency for the country.
Tobacco and gold have become the country’s major foreign currency earners since the adoption of multiple currencies in 2009.
Zimbabwe is one of the major flue-cured tobacco producer in Africa and occupies fifth position in the world as many communal farmers joined the lucrative farming sector following the land reform programme.
The 2018 flue-cured tobacco deliveries reached a record 252 million kilogrammes this year, the highest ever in the history of the country.
The previous record was 237 million kg, which was achieved in 2000.
The increase in tobacco production has been attributed to higher prices and an organised market, availability of funding through contractors and Government support.
Tobacco has earned a strategic position in the economy because of its contribution to the Gross Domestic Product and foreign currency earnings.
In Zimbabwe, over three million people depend on the industry for their livelihoods.
The land reform programme embarked on by Government in year 2000 has seen more indigenous farmers growing tobacco in a move that has economically empowered them.
