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... but tobacco needs financing.


Zimbabwe needs more than $223m to finance its once-lucrative tobacco crop "The next tobacco crop requires funding to the tune of Z$19trillion (US$191.5m) and a foreign currency component of $32m," says a report in the government-owned Herald newspaper.

Once the largest foreign exchange earner after gold, tobacco has dropped in production and quality over the last five years; this year's crop is estimated at 47 to 50m kg. Output came in at 73m kg after falling to 64m kg in 2004, a steep reduction from the record 237m kg sold in 2000. "If necessary funding is in place on time, forex for inputs made available on time and viability addressed, rebounding of the industry can be much quicker with tobacco assuming once again its rightful role of being the leading generator of forex and the driver of the economy," says Agriculture Secretary Simon Pazvakavambwa. The next tobacco farming seasons starts in August.

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Title Annotation:tobacco has dropped in production
Publication:African Business
Article Type:Brief article
Geographic Code:6ZIMB
Date:Jun 1, 2006
Words:155
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