Tobacco Prices Firm as Merchants Return – TIMB

The Tobacco Industry and Marketing Board (TIMB) says prices are starting to pick up across both contract and auction floors.

Speaking to The Herald, TIMB chief executive Emmanuel Matsvaire said the rise is largely down to more merchants coming into the market after securing credit facilities with their banks. He said:

“Most merchants only started buying a week after the season opened because they had not concluded their credit facilities with the banks. Participation has now improved, and we are seeing prices trend upward.”

Zimbabwe operates a dual tobacco marketing system, with auction floors for independently funded crops sold across three licensed platforms, and a contract system where merchants buy directly from farmers whose production they have financed.

So far, average prices on the auction floors have edged up to US$1.69 per kg by day nine of the marketing season, compared to US$1.60 per kg at the start. On the contract side, prices have risen to US$2.78 per kg from an initial US$2.64 per kg.

Despite the slight improvement, prices are still around 24% lower than they were at the same point in 2025.

Related:

Zimbabwe Tobacco Deliveries Rise 2% But Revenues Fall 24% As Prices Slump Tobacco Farmers Deliver Record Output