Issue link: https://read.dmtmag.com/i/550325
56 tobaccoasia LEAF NEWS 烟叶新闻 Light up your business. The international platform for the tobacco industry: Experience the world's largest trade show for tobacco goods and smoking accessories. www.intertabac.com DISCOVER THE NEW INTERSUPPLY. SEPT. 18 ƒ 20, 2015 Solutions for success. The new international trade show for the production of tobacco goods: Develop new business areas and target groups. www.intersupply.com INTERTABAC 2015 NEW LOOK & FEEL, PROVEN QUALITY. SEPT. 18 ƒ 20, 2015 InterTabac_InterSupply_AZ_TobaccoAsia_E_86x124_4C_RZ.indd 1 02.03.15 11:06 season at the Japan Tobacco International (JTI) Rosewood Sales Floors in Nkeyema yesterday. In a speech read on her behalf by Nkeyema district administrative officer, Patrick Mweemba, Mrs Luhila said over 2,700 hectares of tobacco was cultivated resulting in a huge injection of money into the district's econom- ic lifeline. According to the agriculture minister, Given Lubinda, a total of 33,500 metric tons of tobacco valued at approximately US$190.7 million was produced in the country last year. It is, however, projected that this year there will be a slight reduction in tobacco production to about 27,000 metric tons valued at US$155 million. The tobacco industry plays an important role in the nation's economy and the livelihoods of rural farmers as it employs over 450,000 people directly countrywide. Lubinda said the policy and legislative reforms that govern- ment has embarked on will contribute to the desired growth of the tobacco industry in Zambia, adding that, increased produc- tivity and enhanced value addition to tobacco is the only avenue through which to increase earnings. He also said that only 13% of small-scale farmers have access to credit and commended the tobacco industry for helping small-scale farmers to access finance and credit facilities through the out-grower schemes. The agriculture minister insisted that the government expects that the floor price for tobacco in 2015 will be determined in a transparent and participatory manner with all players in the industry. Tobacco Board of Zambia (TBZ) board secretary, Samson Muyembe, urged tobacco farmers to cooperate with their sponsors by repaying loans, avoiding side-trading and keeping away from illicit trade. Muyembe said the tobacco industry world-over has marketing challenges arising from over production and over supply and TBZ with its stakeholders should strategically put in place a sustainable tobacco marketing system which will facilitate a fair price for the grower and merchant. At the same event, Western Tobacco Leaf Association chairperson, Richard Kamocha, said there is need to train farmers in tobacco production as tobacco grading comes with the good grading of the crop. Kamocha thanked the industry stakeholders for the continued support to farmers and called on government to introduce an initiative such as the Farmer Input Support Program (FISP) for tobacco farmers in the country. Zimbabwe Exports Earn $270m The country has earned over US$270 million from 49.4 million kilograms (mkg) of tobacco exported since the beginning of the year compared to 38.8 m kg during the same period last year. During the comparable period, US$141.2 million was earned on flue-cured tobacco exports. Data released by the Tobacco Industry and Marketing Board (TIMB) show that China was leading as the major consumer of Zimbabwe's golden leaf. China has spent $170.8 million on 20 mkg of tobacco averaging $8.53 a kg. South Africa, the second largest importer purchased 6.7 m kg of tobacco valued at $19.9 million averaging $2,97 per kg while Indonesia, in third place, spent $13.4 million importing 3.2 m kg at an average price of $4,25 a kg. TIMB data also showed that United Arab Emirates spent $7.8 million on 2.5 m kg at an average price of $3.05 per kg, while Russia, in fifth position, has so far imported 2.5 m kg of tobacco from Zimbabwe spending $9.5 million at an average price of $3.65 a kg. In 2015, a total of 40 countries are importing tobacco from Zimbabwe compared to 44 during the same period in 2014. On seasonal sales locally, TIMB said: "The current seasonal auction sales at 44.4 million kg is 8.1% below 2014 auction output. Both contract sales output and price for 2015 have also been depressed by 14.3% and 6.3% respec- tively compared to previous season. Current auction floors throughput has significantly dropped and now signaling the end of the 2015 selling season." Last year, the country earned close to $1 billion from tobacco exports.