Business Reporter
Boka Tobacco Floors will open another auction floor in Mvurwi, Mashonaland Central, as efforts to decentralise marketing of the cash crop gather momentum.
Already, Boka, which owns the largest auction floor in the country, runs buying facilities in Rusape and Karoi.
While the decentralisation of tobacco marketing began in the past few seasons, albeit at a slow pace, it has been expedited by the coronavirus pandemic after
Government imposed restrictions on movements to limit the spread of the deadly disease.
Authorities feared that allowing multitudes to converge at auction floors in Harare would help spread Covid-19 infections.
However, concerns have been raised over some of the facilities that are considered substandard.
The Boka Mvurwi auction floor is expected to bring convenience to many farmers in the Mashonaland Central province, who have been travelling long distances to sell their crop in Harare.
“Like our Karoi floor, we are renting a facility in Mvurwi, but only for this season,” Boka managing director Chido Nyakudya said.
“We have already started constructing our own floor in Karoi measuring about 12 000 square metres and we will do the same in Mvurwi. These facilities will be ready next season.”
Some farmers who spoke to The Sunday Mail Business welcomed the new development.
It is believed that in addition to eliminating the cost and inconveniences of travelling to Harare, the auction floor will help reduce chances of contracting the virus.
Tobacco is the country’s second-largest foreign currency earner after gold.
Last year, the cash crop generated US$747 million in exports mainly to China and Europe.
Further, the decentralisation of tobacco floors will help change economic activities in line with the ongoing drive to devolve power to communities around the
country.
Devolution, which is a key policy in the country’s national development agenda, mainly emphasises regional economic development.
Accordingly, devolution and decentralisation programmes feature prominently in the socio-economic development roadmap — the Transitional Stabilisation Programme (TSP) — and Vision 2030.
It is anchored on the overriding objective of promoting sustainable, representative, accountable and inclusive governance.
It recognises the right of communities to manage their economic affairs and further their own development, as well as encouraging the equitable sharing of local and national resources.
It is envisaged that this key policy thrust will facilitate investment in various districts and growth points around the country.
The national Gross Domestic Product (GDP) will be disaggregated to the provincial level in order to promote competitiveness.
The provincial management of the economy entails working closely with the private sector to capture data and understanding their requirements.
Tobacco production is expected to decline from a record 259 million kilogrammes produced last year to 224 million kg this season due to the reduced planted area and the erratic rains, according to second round of the crop and livestock assessment report.