THE country’s tobacco sector is boasting record volumes, but the farmers who toil in the fields are being left behind.
While the 2026 marketing season has seen a significant surge in deliveries, a sharp collapse in prices has slashed farmer earnings, prompting urgent warnings from analysts that the industry risks the same fate as that of cotton sector.
According to the Tobacco Industry and Marketing Board (TIMB), farmers sold 41,4 million more kilogrammes of tobacco compared to the same period in 2025, a 16,6% increase in volume.
However, the production boom has been overshadowed by a devastating price crash.
The average price plummeted 25%, from US$3,37 per kilogramme last year to just US$2,52.
This decline has wiped out the gains from increased production, leaving farmers with roughly US$106,8 million less in collective earnings than the previous season.
Analysts warned that the disconnect between soaring production and deepening rural poverty signals a system in crisis.
The Zimbabwe Coalition on Debt and Development (Zimcodd), in an analysis released ahead of the International Tobacco Growers Association meeting in Harare, highlighted a “disconnection between the sector’s growth and continued rural poverty”.
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“The tobacco value chain remains characterised by significant power imbalances between tobacco companies and farmers,” Zimcodd noted.
The watchdog noted that while smallholder farmers shoulder the burden of production risks, including climate shocks, high input costs and labour expenses, they receive minimal returns after deductions for loans, transport and other charges under the dominant contract farming system.
For many, the prices are not enough to cover basic needs like food, school fees and healthcare.
The dire situation is particularly acute for the growing number of farmers entering the sector.
TIMB indicated that the industry supports over 135 000 households, a 37% increase in recent years, making the impact of the low prices widespread.
A farmer from Mt Darwin, who has farmed for 45 years, said he sold his crop for as little as US$1,10 per kilogramme, barely enough to cover transport and pay his workers, let alone pay debts or invest in the next season.
Zimcodd said the experience echoed across the country, with low-grade leaf fetching as little as US$0,50 per kilogramme at auction floors.
Zimcodd called for a legally enforceable minimum price linked to costs of production, alongside strong regulation and transparency in contract farming agreements.
The coalition insisted that farmers should have a seat at the table where policies and prices are set.
“If these challenges remain unresolved, there is a risk that tobacco farming can follow the path of the cotton sector, where low returns and unfavourable market conditions drove many farmers out of production,” Zimcodd warned.
