Zimbabwe has achieved a remarkable feat in its tobacco industry, exporting more than 153 million kg of the crop worth over US$758 million in 2023. This is a significant increase from the previous year, when the country exported 125 million kg valued at US$566 million, according to the Tobacco Industry and Marketing Board (TIMB).
Tobacco is one of the major sources of foreign currency for Zimbabwe, which is facing economic challenges and sanctions from some Western countries. The country produces mainly flue-cured Virginia tobacco, which is in high demand in China, the largest importer of Zimbabwean tobacco. Other major markets include South Africa, Belgium, Indonesia, and the United Arab Emirates.
Zimbabwe’s tobacco production has increased since the land reform program 2000, which redistributed land from white commercial farmers to black small-scale farmers. The government and the industry have also implemented various initiatives to support tobacco growers, such as contract farming, input schemes, and extension services. As a result, the number of tobacco farmers has increased from about 123,000 in 2022 to about 150,000 in 2023.
In 2023, Zimbabwe produced a record 297 million kg of tobacco, surpassing the previous record of 259 million kg in 2019. This was attributed to favorable weather conditions, improved agronomic practices, and increased use of irrigation. The country is now the largest tobacco grower in Africa and the sixth largest globally.
However, the tobacco industry also faces challenges, such as environmental degradation, labor exploitation, health risks, and low prices for farmers. Tobacco growing contributes to deforestation, soil erosion, water pollution, and greenhouse gas emissions. Some farmers also rely on child labor and face exposure to nicotine and pesticides. Moreover, farmers often receive low crop prices due to market fluctuations and high production costs.
To address these challenges, the government and the industry have launched the Tobacco Value Chain Transformation Plan (TVCT) to create a US$5 billion industry by 2027. The plan focuses on enhancing the tobacco sector’s productivity, quality, value addition, and sustainability. Some strategies include promoting alternative energy sources, improving labor standards, diversifying into other crops, and increasing local cigarette manufacturing.
The TVCT also seeks to align the tobacco industry with the global trends and standards on environmental, social, and governance (ESG) issues. The plan recognizes that ESG factors are increasingly influencing tobacco stakeholders’ investment decisions and consumer preferences. Therefore, the plan aims to improve the ESG performance of the tobacco sector by adopting best practices and reporting frameworks.
The tobacco industry is a vital pillar of Zimbabwe’s economy and a source of livelihood for many people. Despite its challenges, the industry has shown resilience and potential for growth. With the implementation of the TVCT plan and the support of all stakeholders, the industry can achieve its vision of becoming a world-class and sustainable sector.
Source: The Herald