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Thursday / May 16.
HomeAgribusinessLocal farmers complain of being frozen out of the lucrative tobacco market

Local farmers complain of being frozen out of the lucrative tobacco market

Self-sponsored tobacco farmers (farmers not enrolled on an out-grower scheme) in Zambia have bemoaned the lack support to access tobacco markets in the industry as priority is only given to those on sponsorship schemes.

A tobacco grower from Vubwi district of Eastern Province, Chishala Chilufya told the Zambian Business Times – ZBT in an exclusive interview that many self-sponsored farmers are challenged when it comes to accessing the tobacco market as buyers prioritize to source only from farmers on sponsorship schemes hence creating economic slavery.

Chilufya added that the current state of affairs has further led to buyers fixing lower local prices of tobacco without  considering the cost of production, hence pushing self-sponsored farmers to having their tobacco sold at a lower prices due to desperation.

He told ZBT that the tobacco industry has been captured by a few firms which have frozen out independent or self sponsored farmers. This has led to the sponsored or scheme farmers being trapped in a perpetual borrowing cycle and are kept in scheme out of  fear to continue having their produce bought under the sponsor’s scheme.

Chilufya stated that sponsors have concentrated on making their own profit and neglect improving the local farmers wellbeing despite farmers having the capability to increase produce and output if well supported.

He added that only white commercial farmers are given the opportunity to independently grow the crop with an already provided market while majority local farmers struggle to find a market if not captured on the buyer’s program. He has since called on government through the Ministry of Agriculture to revisit the industry and address the issue of pricing especially for self- sponsored farmers who end up being exploited.

He has noted the need for the Zambian government to fully involve itself in the tobacco industry stating that more responsibility has been left to the Tobacco Board of Zambia – TBZ who are also struggling to gain some level of control over how to run the industry without government’s support.

“Tobacco is a high value crop which can also compete with copper, sometimes it can even beat the price of copper per tonne and it can go up to $7,000 per tonne hence the need to critically pay attention to this industry because it has potential to greatly contribute to the growth of the economy,” he said.

Chilufya further said China is the biggest tobacco buyer and that the country should take advantage of its good bilateral ties with the people’s republic of China to link local farmers to a bigger market if the industry is to grow.

The Vubwi based tobacco farmer said that Zambia should emulate countries like Zimbabwe which has strongly supported its national tobacco industry, stating that it is producing 350 million Kilograms of tobacco per annum while Zambia is producing close to 30 Million Kilograms per annum, an indication that Zambia can do more.

Chilufya who is into growing irrigated tobacco owns 530 hectares of land with 30 hectares of tobacco already grown for the 2019/2020 season and has anticipated to produce 90 tonnes from the 2019/2020 marketing season compared to 25 tonnes produced in 2018/2019 session as he only grew 10 hectares of tobacco.