Government has finally set tobacco minimum prices as the market opens
on 24 March.
Minister of Agriculture Dr James Munthali said this in an interview
three weeks after the Tobacco Control Commission had claimed it was
waiting for government on minimum prices.
“The Minimum prices have been release, the president had already
indorsed, sent back to ministry of agriculture -so my team at the
ministry has them readily, if TCC guys wants, they can come and access
them.
“I cannot reveal them now as we are waiting for a proper channel of
disseminating information but it will get to be known.” Munthali said.
However, reports indicate that government approved 1 dollar 76 cents
as a minimum price for barley and 2 dollar 65 cents per kilogram for
flue cured tobacco.
This is an increase from last year’s minimum prices of 1 dollar 69
cents and of 2 dollar 63 cents for Barley and Flue cured respectively.
The minister has justified the increase was due to a notable increase
in production costs.
On the market’s commencement dates, Munthali said the auction flows
will open on 24th march.
“It has been set, the market will open on March 24th, and we are
looking ahead to seeing another successful season of tobacco selling.
“Both buyers and growers are well prepared, and we expect a market
which will be without disruptions based on disagreements from the two
sides.” The minister said.
Munthali also said;- “The final production estimates also indicate
that we will produce 186 000 tons of barley and about 20 000 tons of
flue cured tobacco adding to over 200 000 tones from last year’s grand
total of 168 million kilograms which is below 190 000 tones.