Limbe Auction Floors Opens Today

Limbe Auction floors will open its doors for this year’s Tobacco marketing season on Thursday according to Tobacco Control Commission (TCC).

TCC through its Chief Executive Officer (CEO) Kayisi Sadala indicated before the opening of the season that Limbe Auction floors will be opened on Thursday.

So far Lilongwe and Chinkhoma floors have already been opened.

President Peter Mutharika and his Tanzanian counterpart, John Magufuli opened the 2019 Tobacco growing season last week at Lilongwe floors while Chinkhoma was opened on Monday.

According to Sadala, Mzuzu and Kabwafu Satelite floors will be opened on Monday May 6 and Thursday May 16 respectively.

The second crop assessment results as conducted early this year by TCC indicated that the country will produce 205.5 million kilograms of the leaf against the 152 kilograms targeted by the international markets.

This year’s season started on a low note as compared to farmer’s expectations since the prices did not exceed $2.50 as highest price.

The only hope for farmers is the announcement by president Mutharika that there will be no withholding tax for farmers selling less than 10 bales.

Minister of Agriculture and Water Development Joseph Mwanamvekha said as Government they are impressed with the prices offered on the opening day of the season but said they expect companies to improve for the betterment of the village farmers.

In 2018, Malawi realized $330 million from the 202 million kilograms of Tobacco.

The country relies on the leaf for its foreign income.

Limbe Auction floors carters for farmers from the Southern Region.

Farmers do sell their Tobacco in two ways, on auction and contract basis.

It has been noted however that farmers on contract with international companies sell their leaf at a higher price than those on auction.

Source : Kulinji