Malawi''s Tobacco Sales Wire in US$5.8m

Source from:  bnltimes.com  04/02/2014

Malawi last week realised at total of US$5.8 million during the opening week of tobacco sales, The Daily Times has learnt.

Official figures from Auction Holdings Limited show that cumulative national figures up to Friday saw a total of 5.1 million kilogrammes of tobacco sold at an average price of $1.14 per kilogramme.

The average price is US$0.62 shy of the minimum US$1.76 per kg set by government at the start of the selling season.

The first week sales were characterised by disagreements between buyers and sellers which saw sales at the Limbe Auction Floors being disrupted just minutes after the opening of the market on Wednesday.

Tobacco Control Commission (TCC) Chief Executive Officer, Bruce Munthali, said there was a relatively low level of competition among buyers in the first week and expressed hope that the competition will heighten as the market progress.

Munthali noted that the first week is always tricky as the buyers are not certain on the moisture content in the leaf available.

"We are hopeful that the market will stabilise as we progress and that the buyers will offer better prices," said Munthali. Enditem