By Chisomo Phiri

BLANTYRE-(MaraviPost)-President Lazarus Chakwera on Thursday, March 31, 2022 officially opened the 2022 tobacco marketing at Kanengo Auction Floors in Lilongwe with calls to buying companies to offer good prices.

Chakwera said, “I am encouraged but not completely happy because of our farmers are still complaining of prices attached to their leaf.

“As a quick remedy, I have asked tobacco buying companies to be fair and consistent with their pricing structure. They must offer good prices for the leaf to help farmers to realize enough income from their sweat “.

The Malawi leader has also asked the farmers to adhere to acceptable farming standards by taking good care of the crop in the field and afterwards at grading stage before transporting it to the auction floors.

He then assured the farmers that he will frequently monitor the prices at the Auction so as to maintain the good prices for the crop.

Tobacco Commission ( TC) Acting Board Chairperson Lowry Mbulo said this year’s tobacco market is expected to have good prices because of the addition of one buying company called Protrade Group Limited.

“We have one tobacco company Protrade Group Limited that had joined our market. We should expect good prices for the crop this year since the market base has now been extended,” he said.

Mbulo said, the Tobacco Commission is continuously searching for new buyers to increase competition in the market to benefit farmers.

On the auction market, the highest price being displayed was US$1.75 with the minimum price of US$0.95 while on the contract market, the highest price being displayed was US$2.30 with the minimum price of US$0.95.

According to first round of crop estimates survey, the projected volume for 2022 is 103 million kilogram (Kgs) against the demand of 140 million kgs.

TC disclosed that nine companies have been licensed to buy the green gold at the auction floors.