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COMMODITIES: Zimbabwe (MRB Oct 01 2001): Zimbabwe's tobacco production drops sharply.

Asia Africa Intelligence Wire

| October 01, 2001 | COPYRIGHT 2001 Financial Times Ltd. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

Zimbabwe's tobacco production dropped 35.3 million kilos in 2001, to 201.7 million kilos, after last year's record-high crop.

With an average price of 175 Zimbabwe dollars (3.18 US dollars) per kilo, tobacco sales totalled 35 billion Zimbabwe dollars (630 million US dollars) when the auction season closed on October 26, producers said.

Prices were higher than 2000, although the crop was smaller, so on the surface sales rose sharply from last year's total of 395 million US dollars for 237 million kilos.

But because of Zimbabwe's overvalued currency, officially pegged at 55 to the US dollar compared to about 260 to one on the parallel market, tobacco farmers have complained that they are in a financial pinch.

The farmers have to import their ...

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