Tobacco Exports Generate US$200mil

Source from:  NewZimbabwe.com 06/13/2010

MERCHANTS say tobacco sales have generated US$199.3 million so far this year, and earnings are expected to rise further as the marketing season is still in progress. The Tobacco Industry Marketing Board (TIMB) said a total of 65.3 million kilogrammes of tobacco had so far been exported, mainly to Asia, Middle East and Europe. It said prices, averaging US$3.09 per kilogramme, were firmer this year than last year because of shortages on the world market after storms destroyed much of Brazil's crop. The Latin American country is a large tobacco producer, but the storms drastically reduced its crop output this year. The board said this improved average prices and export earnings. Zimbabwe expects to export more than 80 million kilogrammes of tobacco this year. Production of the crop continues to increase after falling from peaks of around 200 million kilogrammes in the late 90s The decline has been blamed on the insufficient support given to new producers who benefitted from the country's controversial land reforms as well as successive droughts in the last decades. Enditem