By Burnett Munthali
The 2025 tobacco marketing season started in Lilongwe yesterday with the green gold attracting a maximum price of $3.20 per kilogramme (kg), up from an opening day high of $3 per kg recorded last year.
This year’s opening marks a notable improvement in pricing, suggesting renewed optimism among growers and stakeholders in the tobacco value chain.
The $3.20 per kg price is not only an encouraging sign for farmers but also reflects positively on Malawi’s prospects for increased foreign exchange earnings.
Tobacco, which remains Malawi’s top export crop, is often referred to as “green gold” due to its vital contribution to the national economy.
The rise in prices may be attributed to increased demand on the global market, as well as improved grading and quality assurance mechanisms implemented by the country’s tobacco regulatory bodies.
Officials from the Tobacco Commission and Agricultural Development and Marketing Corporation (ADMARC) were present during the official market launch, underscoring the importance of the industry to the government.
Minister of Agriculture Sam Kawale, who officiated the opening ceremony, applauded farmers for maintaining quality standards despite climatic and financial challenges during the growing season.
He emphasized the government’s commitment to supporting tobacco farmers through reforms, improved extension services, and timely access to farming inputs.
The minister also highlighted the importance of diversifying the agricultural sector, even as tobacco continues to dominate Malawi’s exports.
Tobacco Commission Chief Executive Officer Joseph Chidanti Malunga noted that this year’s market is expected to handle over 120 million kilograms of tobacco leaf.
He added that if the current price trend continues, farmers and the country stand to gain significantly from improved earnings.
Malunga further indicated that the Commission has taken additional steps to enforce strict adherence to anti-child labour regulations and sustainable farming practices, which are essential to Malawi’s international reputation.
Growers at the Kanengo Auction Floors expressed mixed feelings—while the opening prices were welcomed, many voiced concerns over transportation costs, delayed payment systems, and the need for more transparency in pricing mechanisms.
Several smallholder farmers also called on government to improve road networks to facilitate smoother delivery of tobacco to the markets.
The 2025 season is taking place against a backdrop of economic uncertainty, with Malawi facing foreign exchange shortages, rising inflation, and a growing need for job creation.
In this context, a strong performance from the tobacco sector could inject much-needed liquidity into the economy and ease some of the fiscal pressures facing the government.
The International Tobacco Buyers Association (ITBA) has pledged to continue sourcing quality leaf from Malawi, provided the country maintains ethical and sustainable production standards.
This assurance from international buyers underscores the global market’s continued trust in Malawian tobacco, despite increasing health-driven campaigns against smoking.
Experts have, however, warned that the country cannot afford to rely solely on tobacco for its economic survival in the long term.
They urge policymakers to use the gains from tobacco sales to invest in alternative cash crops and agro-processing industries that can widen Malawi’s export base.
For now, the encouraging opening price of $3.20 per kg has infused fresh hope into the farming communities who depend on tobacco for their livelihoods.
Whether the trend will hold throughout the season remains to be seen, but the first day has certainly set a positive tone for the months ahead.
As the marketing season unfolds, the eyes of the nation will remain fixed on the auction floors, where each kilogramme sold carries the promise of economic relief and rural transformation.
