Forex down as Malawi tobacco sales take nose dive
Tobacco sales is down compared to same period last year, bringing fears that the country might face forex shortages.
Statistics show that on the 14th week of trading on auction floors, tobacco has fetched K138 billion.
The money has been realized from 1.2 million tonnes of tobacco sold so far.
Same period last year, 1.5 million tonnes of tobacco was sold bringing into the country over K170 billion.
Some economists say this is as a result of a robust anti-tobacco campaign worldwide.
But Tobacco Control Commission maintains the tobacco prices are now picking up.
The Commission said the tobacco sales were affected by the tobacco prices which were hovering at US$1.4 cents per kilogram, saying the prices are now around US$1.7 per kilogram.
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Tobacco is on its way out worldwide as the number of users continues to fall. Farmers should be encouraged by the government to diversify. Relying on tobacco for forex is very short sighted and poor economics.
Of course the world is moving away from tobacco as it has become obvious that smoking causes cancer. The alternative is to make use of the same land to grow other cash crops. Chamba (marijuana) is a great choice, as it has been legalized in USA and many other countries in the world.
Most politicians have dollars in their homes.These people have been not sure of country stability and have converted Kwacha to dollars and externalized, do no bluff Malawians here.We will know more when this government is kicked out soon.
That’s what happens when you stay 50 chakuti years relying on the same crap that fed you in yesteryears. Why not start growing chamba? Why not encourage these young cats to invent something Malawian which we can export? Ntchito phwii same old ideas because our government and institutions are run by nkhalamba with backward mentalities. Good luck with that tobacco 💩