Zimbabwe to Set Tobacco Support Price

Source from:  Xinhua  04/06/2006

The Zimbabwean government is to announce a support price for tobacco, its leading foreign exchange earner, ahead of the opening of new season auction scheduled for April 25, said agriculture officials on Tuesday. The beginning of the tobacco-selling season has been characterized by disruptions in the past by growers who boycotted the low prices. Pfungwa Kunaka,, director of finance and budget in the Ministry of Finance, said that consultations between the government and the central bank on the support price were at an advanced stage and figures would be announced well before the opening of auction floors. The Zimbabwean government has expressed its commitment to restoring the viability of tobacco sector, which has been in steady decline over the past five years. Tobacco production has declined from a peak of 263 million tons in 1998 to around 69 million tons last year. Enditem