Tobacco boom justifies land grabs, Made

via Tobacco boom justifies land grabs, Made 07 July 2014

ZIMBABWE’S biggest tobacco sales in 13 years vindicate the land transfer campaign pursued by President Robert Mugabe’s government, according to Agriculture Minister Joseph Made.

The more than 205.5 million kilograms of tobacco delivered for sale this marketing year topped the 200 million kilogram mark for the first time since 2001, according to data from the country’s Tobacco Industry and Marketing Board. That year the market still was dominated by large-scale, mainly white-run farms.

Often violent government-backed invasions that began in 2000 eventually pushed about 3,000 farmers and 300,000 workers off land that now makes up small and medium-scale black-run farms.

Production of flue-cured tobacco, also known as Virginia tobacco, plunged after 2002 as farmers struggled with the cost of inputs like fertilizer and chemicals, as well as with technical know-how. Output slumped to 48 million kilograms in 2008.

The industry has been recovering since the southern African nation abandoned its currency in February 2009, allowing farmers to purchase seed and fertilizer with mainly U.S. dollars.

“The tobacco crop vindicates the country and the policy, because our detractors thought we’d fail to farm the land and embarrass ourselves,” Made, a member of Mugabe’s ruling Zanu PF party, said in an interview.

“Instead, we’ve shown the world that we’re endowed with human capital and resourcefulness.”

In the seven years following the start of the land seizures in 2000, Zimbabwe’s world rank as an exporter of top-grade, or flue-cured, tobacco slipped to sixth from second. The country experienced years of famine. The economy shrank 40 percent between 2000 and 2008, according to the International Monetary Fund.

By 2008, Zimbabweans faced inflation of 500 billion percent, according to an IMF estimate, as well as empty shop shelves, fuel and electricity shortages.

The country abandoned the Zimbabwe dollar in February 2009 to use mainly the U.S. dollar and South African rand. The move halted hyperinflation and saw the first economic growth in a decade.

While tobacco production is recovering to pre-2000 levels, farm invasions laid waste to the country’s profitable flower and vegetable export industry, as well as denting corn, dairy and beef production.

And though the tobacco industry’s recovery is now earning the country much-needed currency, the disruption of the last decade caused significant damage, said Harare-based independent economist John Robertson.

“We’d have sustained earnings throughout the period and kept them close to the billion dollar mark” without the disruption, Robertson said in an interview.

Farmers earned more than $651.9 million from the crop this year, according to TIMB data published July 2. The leaf is the country’s second-largest export earner after minerals.

Zimbabwe was the world’s ninth biggest producer in 2012, with output of 115 million kilograms, according to data from the United Nations’ Rome-based Food & Agriculture Organization. China, with 3.2 billion kilograms, was the top producer.
Zimbabwean leaf is used by merchants to provide flavour to cigarettes filled with cheaper, “filler” tobacco.
While prices fell to an average $3.17 a kilogram from $3.70 last year, a 33 percent increase in deliveries pushed earnings higher, said Andrew Matibiri, chief executive officer of the TIMB, the state regulator. The volume of tobacco sold will increase “slightly” after mop-up sales are held July 15, he added.

In 2001, about 1,400 large-scale farmers sold the bulk of a 236 million kilogram crop of tobacco planted the previous year. This year, more than 106,000 mainly small-scale farmers sold the crop planted between September and November, according to TIMB data.

“It’s not the great crop they’re making it out to be because inputs are prohibitively expensive,” Tendai Nyikadzino, 48, who farms two hectares (4.9 acres) of the leaf near the northern town of Mvurwi, said in a phone interview.

“Profits are low and labour intensive. I won’t plant next year, I’m switching to vegetables and chickens because I can’t afford coal or even wood to cure the crop in the barns.”
Fenton Magaya, who farms two hectares nearby, said the value of his crop was “relative.”

“I struggled to achieve 800 kilograms a hectare and it sold for about $3 a kilogram,” he said in an interview on his farm July 2.

“So while I was happy to earn the money, $4,800 isn’t a lot for my family. It’s nice, but it isn’t going to see me through because it cost me about $3,500 to grow the crop.”

Still, with more than 100,000 growers now compared with about 1,400 in 2001, money generated by the industry is trickling down further, said James Chari, a shop owner near Mvurwi.
“The crop is allowing more people to send children to school, buy goods and live better lives,” he said.

COMMENTS

WORDPRESS: 17
  • comment-avatar

    Outrageous ‘justification’. No thought by him on the farm workers made homeless; on the deforestation accompanying the current boost in small scale production; the destruction of the remaining agri sector supplying food and jobs to the Zim people. He has NO idea! Incompetent or what.

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    So we can all eat tobacco

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    Of course, more production justifies stealing. This is the logic of Made and Zanu. Never mind the loss of production and demise on every other front. We still cannot feed ourselves. Our factories are not producing but we can supply China with cheap tobacco. This is success!!! Made is clueless as is this entire government.

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    Unbelievable I can now justify stealing again. These people are sick in the head.

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    josphat jirihanga mugadzaweta 12 years ago

    and then shows the money!!!

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    Tiger Shona 12 years ago

    Made is just a bootlicker. He has no credibility.
    This land grab has hurt black people far more than whites.
    And it destroyed the economy and the tax base.
    The majority of black people now accept that it was a bad policy.

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    What a sick twisted joke ! Justified ! How dare you use those words…. In your own mind it is justified because you were not the one being clubbed shot, raped or beaten to death ! This lies at your door Made ! Just prepare your answers for the almighty you cringing coward !

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    Mr Made….. Don’t make comments like this… YOU were not the one beaten to death, raped or murdered ! This is the sickest of all comments … You toy politician !
    You and your Party…. Have your answers ready for when you meet the Almighty !
    Who do you think you are…. Driving this way and that in your fancy cars and doing little or nothing for your people who you have driven in reverse since independence !
    Everyone else’s fault eh Made….. Never yours….. Never yours !

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    Charles Frizell 12 years ago

    ZPF – always desperately looking for excuses and justifications for their greed, corruption and racism.

    I see now that no one believes the “sanctions” myth the new myth is that The Dreaded West is “destabilising” the economy. Believe that, you’ll believe anything!

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    DubboZimbo 12 years ago

    Not sure if you can make sadza from tobacco stalks but what the hell. This is the Minister of Agriculture…..what a joke.

  • comment-avatar
    injiba yeGoli 12 years ago

    Shame on you detractors of the land reform programme. You have now tucked your filthy tails in between your soiled legs. A black person has a right to own land in Africa.

    • comment-avatar
      Doris 12 years ago

      Chum, you are only entitled to what you can afford. The rest is theft. You will be accountable one day.

    • comment-avatar
      DubboZimbo 12 years ago

      So does a white man, but Mugabe is a pure racist. Enjoy eating tobacco you moron. Yes we have left, we live in democratic countries with little bonuses, like electricity, running water and affordable food. Enjoy your third world utopia it’s only going to get worse and we are only going to laugh louder.

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    munzwa 12 years ago

    What an idiot!! and what spin, More and more white farmers are returning to the land to grow tobacco by leasing farms from these so called new farmers, tobacco companies are financing the crop despite massive side marketing and the extension services are facilitated by mostly ex commercial (white) farmers…The environmental degradation has been overlooked!!!What would happen to this industry if the financing was to be withdrawn??

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    Doctor do little 12 years ago

    Made is a strange fellow. He reminds me of a man that bets $100 on a horse. He loses. He then place $5 dollars on the next horse. It wins him $10 and he runs screaming with delight to his wife. “Honey” he says to his wife “what a good day at the horses. I won $10”

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    Former Zimbo 12 years ago

    In 2001, about 1,400 large-scale farmers sold the bulk of a 236 million kilogram crop of tobacco planted the previous year. This year, more than 106,000 mainly small-scale farmers sold the crop planted between September and November, according to TIMB data

    So… in 2001 it took 1,400 dedicated farmers to grow 236m Kg. 13 years later…. it takes 106,000 small scale farmers to grow less than 206m Kg. And this is success…. Wow, we have really set high standards for ourselves here in Africa hey…. we must be so proud of ourselves… n wonder we are the laughing stock of the world and why the rest of the world keeps referring to “The Dark Continent”. Unbelievable.