Malawi records increase in tobacco earnings

Blantyre, Malawi - Earnings from Malawi's main foreign exchange earner - tobacco - are expect to rise by 88 per cent this year, the Tobacco Control Commission (TCC) has said.

TCC General Manager Godfrey Chapola told PANA Friday Malawi would realise about US$ 348 million this year, up from US$ 185 million last year.

"These are record sales considering that we had adverse weather in the last growing season," Chapola said, adding "The bottomline is that we had improved prices for our tobacco."

A total of 143,000 metric tonnes of tobacco was auctioned by the end of July, going at an average of US$ 3 per kilogramme.

Tobacco accounts for over 75 per cent of Malawi's foreign exchange earnings. Over 80 per cent of Malawians are employed directly or indirectly in the tobacco in d ustry which also contributes to 23 per cent of Malawi's entire tax collections.

Tobacco sales will close in september.