Tobacco farmers smuggle crop into ZAMBIA

Tobacco farmers who were stuck with huge stocks following the unexpected early closure of auction floors are smuggling the crop outside the country, it has been learnt.

Traditionally, auction floors open in February and close in September, but for the first time they closed in June with the Tobacco Industry and Marketing Board (TIMB) citing low deliveries.

A great number of farmers were holding on to their best crop anticipating higher prices towards September and were, thus, caught unawares.

Such farmers are now illegally moving their stocks mainly into Zambia where the price has reportedly been set at US$7 per kilogramme.

Over 100 000 growers registered with TIMB this year and sold a record 200 million kg.

Information gathered in Kanyemba shows that farmers from different tobacco-growing districts were smuggling the crop at various points along the Kanyemba and Chirundu borders.

Some smugglers transport the crop to Kanyemba at night and use canoes to cross the mighty Zambezi River into Zambia.

They then link up with merchants in that country to facilitate trade.

The transactions are conducted at night and in areas close to the border to avoid detection by security agents.

After selling the tobacco, the farmers return to Zimbabwe via the same route they use when entering Zambia.

Mr Marvin Obert, an immigration officer stationed at Kanyemba Border Post, said the border was porous, making it easy for various goods to pass through.

Preferring anonymity, one of the smugglers blamed the low auction floor deliveries between April and June on low prices which ranged between US$0,80 and US$3 per kg.

The smuggler said farmers in Kanyemba were still grading when they learnt of the close of the selling season.

“Transporters charged us US$50 per bale to ferry the crop from here (Kanyemba) to Harare only to have our crop bought at US$0,80 per kg.

“I had six bales ready then and realised US$700 after paying US$300 for transport. On top of that, I had to pay the person who had cured the crop for me.

“Information regarding the close of the selling season only reached us much later, while we were still grading. As a result, I found myself stuck with huge stocks which I opted to take across the border. I know it is illegal, but what option did I have? I even managed to fetch better prices there compared to what I got here!’’

Another farmer in the area, Mrs Alfai Ngoma, who is also stuck with the crop, confirmed hearing the smuggling reports, saying most farmers were determined to get returns after months of hard work.

TIMB chief executive officer Dr Andrew Matibiri said while it could be true that tobacco was being smuggled into Zambia, it was unlikely that the farmers could be fetching US$7 per kg.

He encouraged the concerned farmers to approach the TIMB for advice.

“I cannot understand what they would gain after transporting the crop across the border as the Zambian average prices are US$3,04 per kg as of today (Friday).

“The price of US$7 per kg you quoted is patently untrue.

“The auction floors were closed because their daily throughput had declined to levels that were rendering the already struggling auction floors into uneconomic levels of operation. In addition, the decision was further supported by the low intake during clean-up sales, for which a notice period of more than two weeks was given.

“During clean-up sales 287 594 kg (or 3 971 bales) were delivered and sold. Please note that contract sales are still continuing.

“Those farmers who are still holding on to their tobacco are asked to approach our offices for best advice.”

by Emilia Zindi (Recently in KANYEMBA)