During Auction Holdings Limited (AHL) growers tour at the Mzuzu Auction Floors, tobacco farmers in the region have called for the abolishment of contract marketing, stating the system is not beneficial to them.

The farmers coordinating chairperson Joasi Mulungu described  the system is exploitative, as growers are forced to get hefty loans that leave nothing for them in the end. “Our major concern is the contract farming. It will be good if we only use the usual auction system. We are no longer reaping as we did with the contract farming system. We are forced to get loans from buyers which we end up repaying with huge interests without remaining with something as used to,” explained Mulungu.

In response, AHL floors manager Tim Kachitosi stressed that abolishment of contract marketing is a policy matter that can best be commented by Tobacco Commission (TC).

On the other hand, TC announced that buying companies have indicated that they are willing to buy 154.3 million kilograms (kgs) during the green gold’s market season next year. TC chief executive officer Kayisi Sadala confirmed the almost 3% increment, while speaking to the media this week. “The demand for tobacco in the 2019/20 is 154.3 million, which is slightly higher than 149.56 million kg in 2019.