Harare – The Tobacco Industry and Marketing Board (TIMB) says it has extended the tobacco inputs credit scheme to over 1 000 youths to grow the golden leaf under the banner ‘Young Farmers Club’.
The youths identified under the club in tobacco greenbelts will benefit from the TIMB tobacco credit scheme programme launched in Muzarabani recently.
Earlier the Reserve Bank of Zimbabwe (RBZ) set up a $28 million facility for lending to small scale tobacco farmers through Agribank and TIMB.
Presenting a trading update in the capital recently Agribank CE Sam Malaba said the RBZ is setting up a new $85.3 million enhanced facility for lending to small scale farmers.
He said the RBZ is offering the facility to TIMB through Agribank to finance procurement of inputs and working capital requirements to increase tobacco production.
“Of this facility about $66.2 million is towards procurement of inputs for the production of tobacco covering an area of 51 000ha, of which the inputs worth $15.3 million covering 11 000ha has already been purchased and are now being distributed. The remainder of the inputs are yet to be secured and would cover 40 000ha benefiting the small scale tobacco farmers,” he said.
Malaba also said the balance of $19.1 million to fund the development and enhancement of tobacco infrastructure (curing and irrigation) by eligible small scale tobacco farmers.
In an interview with ZBC News the young farmers’ representatives hailed the initiative that will avail inputs for one hectare including 10 bags of fertiliser, land pack chemicals, bailing material and working capital.
“This arrangement is going be a game changer, bringing the programme to the grassroots will enable easy and cheaper access to the youths. We applaud TIMB, and the new dispensation at large which also launched Empower Bank for youth to get loans to kick start income generating projects.”
The tobacco inputs credit scheme has so far funded over 11 000 hectares against a target of 40 000 hectares this year.
Tobacco production hit a new record of 250 million kilogrammes, the highest since independence, this 2018 season and expectations are that the timely disbursement of inputs will increase output to rake in a projected one and a half billion dollars in foreign currency earnings next year.
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