Tobacco sales raise $67m in six weeks
Malawi has realised $67.6 million (about K53 billion) from tobacco in six weeks of sales, figures from market operator, AHL Group have shown.
The revenue is about $17.9 million (about K14 billion) higher than the $49.7 million (about K39 billion) earned during the same time last year.
During the same period last year, the average price per kilogramme (kg) was at $1.52 (about K1 200) compared to $1.65 (about K1 300) per kg the leaf is fetching this year.
In an interview yesetrday, AHL Group spokesperson Teresa Ndanga said farmers have produced good quality tobacco this year which is contributing to the good prices so far.
She said: “The country has this year also produced lesser volumes than the buyers’ demands.
“And so, the better prices this year are as a result of the combination of good quality leaf and lower supply.”
In an earlier interview with Business News Tama Farmers Trust president Abel Kalima Banda said looking at the prices being offered on the market, particularly on contract farming, farmers might realise better returns from the crop this year.
Last year, the country earned $174 million (about K134 billion) against $237 million (about K182 billion) earned in 2019, representing a 27 percent drop.
Despite the drop in revenue, Tobacco has remained the country’s main forex earner and contributes about 15 percent to the country’s gross domestic product.
