TIMB Zimbabwe Tobacco Auction and Contract Sales Decline in 2024

Chenai Museta

06.08.24

The tobacco production sector has recorded a significant decline in sales, with a total value of US$785 million, down 11.54 percent from the same period last year.

According to the latest statistics from the Tobacco Industry and Marketing Board, the total mass sold has also decreased by 21.84 percent to 228,911,066 kilogrammes.

Auction floors have struggled to match the sales of contract floors, with only 13,690,689 kilogrammes sold at auction, compared to 215,220,377 kilogrammes through contracts, as of July 31. The average price per kilogram has increased by 13.17percentage to US$3.43, with the highest price recorded at US$6.99 per kilogrammes.

The number of bales sold has also decreased by 16.6percent to 3,006,819, with the average bale weight dropping by 6.24 percent to 76 kilogrammes. The rejected percentage has increased by 11.07 percent to 3.03 percent, indicating potential quality issues.

Industry stakeholders are closely monitoring the situation, as the season has not yet concluded. Farmers and buyers alike are adapting to the changing market conditions, with a focus on quality and competitiveness.