Tobacco revenue goes up in 2021

Auction Holdings Limited has described the 2020/2021 Tobacco Selling season as a success.

Speaking to YONECO FM online as week 19 of the tobacco market has realized 194.9 million US dollars compared to last year’s 174.5 million US dollars the same period, AHL groups spokesperson Tereza Ndanga said there’s been a significant rise in the revenue for this year.

“The difference in revenue  is around 20 million dollars, in terms of volumes there’s a difference because last year as the market was closing in the 19 week the volumes sold were 113.8kilograms but for 2021 the volumes for week 19 are at 121.7 million kilograms.”

Ndanga attributed the success of this season to among other things the low production volumes of the crop than what buyers were demanding .

The average price for week 19 of 2021 is $1.60 per kilogram where as in 2020 it was at $1.53 per kilogram.

Ndanga nonetheless cautioned tobacco growers against growing more than the licensed volumes of the crop ahead of the 2021/2022 tobacco season.

The 2020/2021 tobacco market is expected to close this week.

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