Agriculture Reporter

The Tobacco Farmers Union of Zimbabwe (ToFUZ) has applauded the Government for the foreign currency retention review ahead of the upcoming 2021 tobacco marketing season.

In a statement yesterday, ToFUZ president, Believe Tevera, said that the move by Government to lend a listening ear to tobacco farmers’ concerns would go a long way in motivating more farmers thus improving the next farming season’s hectarage.

“We raised concerns with the Tobacco Industry and Marketing Board (TIMB) and further engaged the central bank.

“Due to the productive engagements, we have seen foreign currency retention increased from 50% to 60%, and farmers being free to purchase and/or supplement their foreign exchange requirements from the auction system, for the upcoming season,” he said.

Tobacco farmers faced numerous challenges last season that consequently resulted in a decrease in the number of farmers who registered to grow the crop for the 2020/21 season.

“Given that tobacco is the country’s largest single foreign currency earner after gold and it contributes much to our economic growth as a nation, tobacco farming should be promoted through supportive input loan facilities,” he added.

The union further urged the Government to, through the RBZ, unveil low interest loans for tobacco farmers especially women and youths who are finding it difficult to fund their projects as this would see an increase in tobacco production as farmers would in turn increase hectare capacity.

Tevera also urged farmers to take use of the auction system if need be as the doors are widely open for tobacco farmers to purchase and/or supplement their foreign exchange requirements from the auction system.

Likewise he pleaded with authorities to initiate flexible input schemes for tobacco farmers’ not willing to join the contract system.