From: wsargeant@IGC.ORG (Winslow L. Sargeant)
Newsgroups: soc.culture.african
Subject: IPS:ZImbabwe, tobacco industry may be h'
Date: 14 Apr 92 15:55:20 GMT
Article-I.D.: cdp.9204141555.AA04254

/* Written  3:04 am  Apr 14, 1992 by newsdesk in cdp:ips.englibrary */
/* ---------- "ZIMBABWE: TOBACCO INDUSTRY MAY BE H" ---------- */
Copyright Inter Press Service 1992, all rights reserved.  Permission to re-
print within 7 days of original date only with permission from 'newsdesk'.

Reference: Science & Industry; Trade & Finance
Title: ZIMBABWE: TOBACCO INDUSTRY MAY BE HEADING FOR TROUBLE


an inter press service feature

by godfrey karoro

harare, apr 11 (ips) -- zimbabwe's tobacco industry appears to
be facing problems which might compromise its ranking as the
country's principal export crop.

the industry has been growing steadily since 1903 when
tobacco was first grown in the country to become one of its
major industries, generating 25 percent of all foreign exchange
earnings.

apart from export earnings, tobacco production employs 92,000
people permanently and a further 500,000 are dependant on the
industry for their livelihood.

in the 1991 season, zimbabwe sold 170 million kgs of
flue-cured tobacco compared to 89 million kgs during the 1981
marketing season.

this year 190 million kgs -- 20 million kgs more than
last year -- are expected to be auctioned.

but despite the expected production increases, the 2,800
registered tobacco growers in zimbabwe are having to contend
with three major issues:

-- a devastating drought gripping the whole of southern
africa, which has affected the quality of the crop,

-- a controversial land reform bill passed by parliament
last month, and

-- a growing anti-smoking lobby which, according to
zimbabwe tobacco association (zta) president, michael taggart,
has been able to reduce by two percent annually the number of
smokers in the country.

although there is general optimism that prices will pick up
later, tobacco farmers are already gritting their teeth over
future prospects of the industry.

for the past two weeks, for example, the price of tobacco at
zimbabwe's auction floors has averaged 163 u.s. cents per kg
compared to about 240 cents a kg last year.

but the general manager of the tobacco marketing board (tmb),
ken ashton, is confident the (tobacco) industry will continue to
play its major role in the economy. (more/ips)


zimbabwe: tobacco (2)

''the drought affected quality,'' he told ips, ''but it is
not as bad as other crops like maize.''

the late rains in march had come at the right time, he says,
and he expects ''some nice crop. the normal trend is prices will
pick up especially when the late planted crop comes in''.

taggart also points out that the current drought will affect
the irrigated crop during the 1992/93 growing season. about 26
percent of last year's crop was under irrigation.

''what this means is that expansion will not take place next
year,'' adds taggart.

despite these hitches, taggart says the zta anticipates the
same size of crop next year as this year.

however, he says the bigger volume produced this year will
not necessarily translate into a larger income from tobacco
because of the lower quality which he put at 20 percent down on
average.

a veteran tobacco grower, allen ravenscroft, says farmers are
anxious about land reform and are unlikely to increase hectarage
under tobacco this planting season.

under the land reform act, the government can expropriate
land from commercial farmers and redistribute it to the
country's landless majority.

''the land bill could affect production and foreign exchange
earnings,'' ravenscroft told ips. he sees the bill as ''a
short-term policy to save the government'' from the public
outcry for land redistribution.

however, the zta president says the programme will not be
implemented haphazardly.

''we are cooperating with the government to ensure that
production does not decrease. the government is not likely to
take productive farms,'' taggart said. (end/ips/gk/apc/ar/92)