The Tobacco Association of Malawi (Tama) has called government to intervene on tobacco buyers’ current conduct of venturing into production through loans which are offered to famers saying the development has negatively impacted their families’ income.
The quell is coming amid dissatisfactory among tobacco farmers in this years selling season as most tobacco grown by farmers are highly rejected at the auction floors than that of farmers who are given loans by buyers.
Speaking in an exclusive interview with the Maravi Post on Thursday, June 25, in the capital Lilongwe, on the sidelines of Tama’s annual congress, Ruben Maigwa, Tama’s President said it was disheartening to learn that buyers are now venturing into production through fake contract farming with loans which has affected their gains of theirs sales.
Maigwa said such arrangement has put farmers at disarray as most of their tobacco especially those growing on their own as are sidelined and rejected at the auction floors which will negatively affect the next growing season.
“Buyers are tricking farmers with loans in the name of helping them while their aim is growing the same tobacco. Tobacco buyers are there to buy not to grow through the back door with fake loans to farmers. This is very unfortunate for the industry as tobacco remains cash crop which Malawi relies much on its foreign exchange.
“The most disheartening is when buyers refuse to buy tobacco which is grown by farmers themselves unlike those sponsored by them (buyers). Even, after sponsored farmers have finally paid their loans through the same tobacco selling, buyers are not interested to buy more tobacco from them. What will we do with unsold tobacco?
“With the current situation farmers will have difficult to cope up with the looming hunger that has hit some parts of the country as they haven’t realized enough money from this years’ sales. It’s our sincere hope that the concerns raised will be taken seriously by government with urgent address”, hopes Maigwa.
Under theme titled, “Sustainable climate change mitigation measure: A must in tobacco farming”, this year’s congress attracted delegates from traditional leaders, donors, farmers, tobacco buyers and government officials.
In his response to the concerns Tama raised, Saulos Klaus Chilima, Malawi’s Vice President who graced the congress opening assured tobacco farmers of government commitment towards addressing challenges farmers are facing as tobacco remains the country’s forex earner.
“Government is committed to address challenges tobacco farmers are facing with strategic approach as long as the demand for the green gold in there”, assures Chilima.
