Tobacco Clean-up Sales End on High Note

Source from:  herald.co.zw Business Reporter 04/29/2008

THE 2007 tobacco clean-up sales ended on a high note on Friday with deliveries improving significantly as farmers rushed to beat the September 28 deadline. Although the sales figures for the last three days of the week were not available, about 660 000 kilogrammes of tobacco had been sold during the first two days of the clean-up sales which began on Monday. This brought the seasonal total to 71,3 million kg, about 5,7 million kg shy of the 77 million kg targeted by the Tobacco Industry and Marketing Board. About 466 000kg went under the hammer on Monday, raking in US$864 972 and earning the farmers $31,7 billion as Government support price. A further 200 000kg had been sold by the end of trade on Tuesday. Officials from one of the auction floors said Friday's deliveries were high with a possibility that some of the tobacco delivered may not have been sold. TIMB acting chief executive Dr Andrew Matibiri, in a circular to farmers last week, indicated that the clean-up sales would be extended to October 1 and would continue until all the remaining tobacco was sold. He said those who did not sell their tobacco beyond December 15 were expected to destroy it or apply for a permit to hold on to it in terms of the Tobacco Industry and Marketing Board Act. "Applications for such permits must be lodged with TIMB before 15th December 2007. "Permits will be issued under such terms and conditions will be advised to each applicant," he said. Earlier in the week Dr Matibiri had expressed hope that deliveries would improve and that the 77 million kg target was within reach. Tobacco production, which had registered a decline in the last two years, is steadily regaining its status as one of Zimbabwe's foreign currency cash cows. A total of 55 million kg were sold last season. Enditem