Zimbabwe tobacco sales down 23.5% after poor rains – Agricultural Commodities
Source: Zimbabwe tobacco sales down 23.5% after poor rains – Agricultural Commodities – Reuters
HARARE (Reuters) – Sales of Zimbabwe’s tobacco, the second largest foreign currency earner, fell 23.52% to 178.7 million kilograms this year, official data showed on Monday, after production was affected by lower rainfall.
The tobacco auction season, which ended on Friday, traditionally leads to improved foreign exchange inflows in the southern African nation as buyers bring in dollars to purchase the crop.
Although this year’s crop was smaller, firmer prices helped farmers earn $460.7 million, more than the $447 million they got year.
Tobacco is the second single biggest foreign currency earner after mining. Demand from China, the world’s biggest smoking nation, and funding from private tobacco companies have helped drive output, which had plunged to its lowest in 2008.