Tobacco sales in the first 10 days of trading at the auction floors have declined sharply by 85%. The Tobacco Industry and Marketing Board (TIMB) statistics show that $2.8 million worth of tobacco had been sold in the first days. Last year $30.2 million worth of tobacco had been sold in the same period.
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- Only 1.6 million Kgs were delivered, compared to 10.9 million Kgs in the same period last year.
- Average price of $1,73 per kg compared to last year’s average of $2,77 per kg
A tobacco company official spoke to the NewsDay:
Farmers are not in a hurry to sell. There is also inconsistent policy regarding access to and determination of 50% USD entitlement. Most contractors are yet to start receiving their tobacco. Many were waiting for the circular.
Last week, government-controlled media claimed that sales were now up after an intervention by the finance minister Mthuli Ncube.
Professor Mthuli Ncube is the Minister of Finance and Economic Development. He was the Chief Economist and Vice President of the African Development Bank, financial, economics, investment, and public policy expert, entrepreneur and academic. Professor Ncube divides his time between the private sector in Switzerland... Read More About Mthuli Ncube