Tobacco export earnings plunge 20%
STAFF WRITER
Zimbabwe’s tobacco export earnings fell sharply during the 2026 marketing season despite a stronger harvest, as lower international prices wiped out gains from increased production.
Latest figures from the Tobacco Industry and Marketing Board (TIMB) show that export earnings declined by 20% to US$859,6m, down from US$1,07bn recorded during the 2025 marketing season.
The decline came despite the country selling 344,2m kilogrammes of tobacco this year, compared to 321,4m kilogrammes in 2025, representing a 7% increase in volumes.
However, the higher output failed to translate into improved revenues after average prices slumped by 26% to US$2,50 per kilogramme, from US$3,35 per kilogramme last year.
The sharp fall in prices erased the benefits of increased production, leaving growers and the country with significantly lower export receipts despite delivering a larger crop.
The marketing season also recorded a notable deterioration in tobacco quality, with rejected bales rising by 54% to 185 799, up from 120 381 during the previous season.
As a result, the rejection rate increased from 2,95% to 4,31%, highlighting growing concerns over quality standards.
Industry analysts said while the increase in production reflects continued expansion in tobacco farming, the decline in prices and higher rejection rates underscore the urgent need to improve leaf quality and accelerate value addition to enhance export earnings.
Tobacco remains one of Zimbabwe’s largest foreign currency earners, sustaining hundreds of thousands of smallholder farmers while making a significant contribution to the country’s agricultural sector and export revenues.
Government has been promoting increased productivity, stronger farmer support systems and greater value addition as part of wider efforts to maximise returns from the country’s tobacco industry and strengthen agricultural export performance.
