BLANTYRE (MaraPost)–Malawi has earned over US$50 million from the tobacco market, according to a market report by Auction Holdings Limited.
“At week six after the official opening, the total sales were US$50 million as compared to the same period last year at US$32 million which represents 19 % increase over last year,” reads part of the report.
The development comes amid growing concern from tobacco producers on poor prices being offered for the leaf at the auction floors.
Prices are ranging from 2 dollar 40 cents per kilogram, sometimes 2 dollar 55 cents per kilogram.
Burley tobacco is still selling in huge volumes as compared to flue cured tobacco having fetched over 48 million dollars to 1.9 million dollars for the later.
Tobacco Control Commission (TCC) Chief Executive Officer Bruce Munthali said there is a mark-up improvement in both sales and volumes.
The market, according to TCC boss, has witnessed very few interruptions, which show that relations between growers and buyers have improved on the markets.
“If we compare with the previous season, we are now able to see a difference in terms of speed. Interruptions have reduced and buyers are also able to take growers’ complaints positively,” said Munthali.