Staff Reporter

Zimbabwe’s tobacco industry has reached a historic milestone, with farmers selling 323 million kilograms of tobacco as of June 30, 2025, a sharp rise from the 219 million kilograms sold during the same period last year.

The increase represents a record-breaking 47% growth in output, generating more than US$1 billion in revenue, so far, this marketing season.

According to the Zimbabwe Economic Reviewreport, released yesterday, this performance demonstrates the robustness of the agricultural sector and the importance of tobacco as a major export earner.

“This milestone highlights the resilience and productivity of our farming community despite economic headwinds. It reflects not only favourable climatic conditions but also increased private sector financing, better extension services, and improved access to inputs,” the report stated.

The report further noted that contract farming remained dominant, contributing over 90% of the crop.

“Private sector participation has been key in driving volumes. However, the long-term sustainability of tobacco farming will depend on how we manage pricing systems, support smallholders, and respond to international regulatory pressures,” it warned.

The Zimbabwe Economic Review also pointed out that despite the tobacco success story, the broader agricultural sector continues to grapple with challenges such as high production costs, erratic power supply, and currency instability.

“This is a record year, yes, but it should also be a wake-up call to future-proof the sector,” the review concluded.

Meanwhile, in an interview with this publication, industry analysts say the figures are encouraging but caution that overdependence on tobacco could pose long-term risks.

“Tobacco remains vital for Zimbabwe’s economy, but the global environment is shifting. As markets like the EU intensify restrictions on tobacco products, Zimbabwe must start positioning alternative high-value crops like horticulture and medicinal cannabis,” said Tendai Mhlanga, an agricultural economist with the Zimbabwe Policy Dialogue Institute.

Another analyst, Rufaro Nyoni of AgriData Insights, added that the windfall should be reinvested into climate-smart agriculture and rural infrastructure.

The earnings from this bumper crop must not just be celebrated; they should be used to cushion farmers from future shocks and diversify incomes,” she said.

With the marketing season nearing its end, the focus is now shifting to ensuring farmers are paid fairly and on time, amid growing calls for reforms to the auction and contract systems.