Zimbabwe’s tobacco sector, historically one of the country’s most lucrative industries, faces growing calls for localising tobacco beneficiation to curb the losses caused by climate disruptions and soaring input costs. The Tobacco Farmers Union Trust (TFUT) recently highlighted the urgency of developing a local tobacco processing chain, which could retain more revenue within the country and offer better resilience for farmers against external shocks. With the 2023/24 season recording a sharp 20% production drop, TFUT argues that local beneficiation could be a crucial step in stabilizing the sector.
The Economic Rationale Behind Local Beneficiation
The call for local beneficiation of tobacco in Zimbabwe is about creating added value within the country rather than exporting raw tobacco. Beneficiation, or value addition, involves processing raw tobacco into products that fetch higher prices and have broader applications. By retaining this processing stage locally, Zimbabwe’s economy stands to benefit through job creation, enhanced product value, and increased foreign currency earnings, which are especially critical given the sector’s central role in Zimbabwe’s economy.
Beneficiating locally also has several other economic advantages:
- Higher Export Value: Processed tobacco products command significantly higher prices on international markets compared to raw tobacco.
- Job Creation: Processing plants would create jobs within local communities, supporting both skilled and unskilled labor markets.
- Reduced Export Dependence: By focusing on local value, Zimbabwe could decrease its dependence on tobacco exporting merchants, who currently capture much of the profit.
Edward Dune, the deputy president of TFUT, emphasized that the high earnings often associated with Zimbabwe’s tobacco sector mostly benefit merchants and contractors, not the farmers who bear the bulk of production risks. “Localising beneficiation can potentially increase the economic returns for farmers and reduce their vulnerability to price fluctuations controlled by external players,” Dune explained.
Weather and Economic Pressures Undermine Tobacco Yields
The 2023/24 farming season proved challenging for Zimbabwean farmers, with tobacco yields dropping by 20% to 231 million kilograms, largely due to the El Niño-induced drought. This weather pattern brought lower-than-expected rainfall, directly impacting crop viability for farmers reliant on rain-fed agriculture.
Drought conditions are compounded by rising production costs, including fertilizers, pesticides, and labor, all of which have soared in recent years. The result? A shrinking profit margin that leaves farmers vulnerable and disillusioned.
“We’re fighting on two fronts,” a farmer from the region explained. “One is nature, and the other is these escalating costs that make it nearly impossible to sustain a good harvest year over year.” While some farmers have turned to irrigation to maintain crop yields, these systems are costly and are only an option for a fraction of Zimbabwe’s smallholder tobacco farmers.
Farmers Seek Fairer Practices from Contractors and Merchants
While tobacco has long been a critical cash crop for Zimbabwe, its farmers face numerous hurdles beyond weather. Chief among these are the often exploitative practices of contractors and merchants, who wield considerable power in the industry. Contractors frequently provide farmers with necessary inputs like seeds and fertilizers but at high costs, effectively locking small farmers into cycles of debt.
Edward Dune points out that farmers often end up with only a fraction of the earnings from their produce after the contractors deduct costs for inputs, loans, and other charges. “Farmers need a better deal, and localisation can be a pathway to achieve that,” Dune argued. By processing locally, farmers may see a fairer share of revenue without relying heavily on these middlemen.
Many farmers are also advocating for a more balanced tobacco transformation plan, one that places emphasis on farmer welfare and equitable distribution of profits throughout the value chain. This forthcoming plan aims to restructure Zimbabwe’s tobacco industry to address these long-standing issues, though its specifics are yet to be finalized.
Irrigation and Preparations for the 2024/25 Season
Despite the challenging conditions, Zimbabwe’s farmers remain resilient, pushing forward with preparations for the upcoming 2024/25 growing season. Those with access to irrigation have already secured a measure of stability, planting early to avoid the pitfalls of dry spells. For dryland farmers, the labor-intensive task of land preparation and seedling care is underway, as they look to capitalize on anticipated good rains linked to the La Niña phenomenon expected in the coming months.
This cyclical preparation for favorable conditions highlights both the challenges and resilience within Zimbabwe’s agricultural sector. For smallholder farmers, however, the question remains whether 2024 will finally bring a reprieve from the cost burdens and erratic weather that have marked recent years.

Michael Brown is a seasoned journalist with a knack for uncovering compelling stories within the realm of cannabis. Through his investigative reporting and in-depth analysis, he sheds light on the regulatory challenges, market trends, and societal impacts of the burgeoning cannabis industry. Michael’s commitment to objective journalism and ethical reporting makes him a trusted voice in providing readers with balanced and informative articles about this rapidly evolving landscape.