The
first
bale
of
tobacco
went
under
the
hammer
at
US$4.60
per
kilogramme,
slightly
lower
than
the
US$4.65
recorded
on
the
opening
day
last
year.
However,
some
bales
later
fetched
as
little
as
US$0.35
per
kilogramme,
sparking
anger
among
farmers
who
said
such
prices
may
not
cover
the
rising
cost
of
production.
In
a
statement
issued
on
Thursday
evening,
TIMB
said
the
decline
in
prices
was
largely
due
to
a
global
oversupply
of
tobacco,
the
early
opening
of
the
sales
floors,
and
limited
participation
by
some
buyers
at
the
start
of
the
marketing
season.
Reads
the
statement:
“The
Tobacco
Industry
and
Marketing
Board
(TIMB)
acknowledges
the
prevailing
global
oversupply
situation
currently
affecting
the
tobacco
market.“However,
we
wish
to
emphasise
that
the
pricing
conditions
witnessed
at
the
start
of
the
marketing
season
were
largely
attributable
to
the
early
opening
of
sales
floors
and
limited
initial
participation
by
some
tobacco
buyers,
rather
than
any
structural
distortion
of
the
market.“We
are
pleased
to
advise
that
the
situation
is
now
stabilising.
With
the
opening
of
contract
floors
today,
encouraging
improvements
in
pricing
are
beginning
to
reflect
in
the
market.“Stable
prices
were
recorded
at
the
auction
floors
and
at
Northern
Tobacco,
one
of
the
contract
floors
that
opened
today.
Notably,
no
grower
complaints
were
received
during
today’s
sales.“The
viability
and
welfare
of
the
tobacco
grower
remain
at
the
centre
of
TIMB’s
mandate.“As
the
regulator
of
the
industry,
TIMB
will
continue
to
closely
monitor
market
developments
and
will
not
tolerate
any
conduct
that
undermines
competitive
integrity
or
prejudices
the
interests
of
our
growers.“We
encourage
all
growers
to
remain
calm
and
allow
normal
market
dynamics
to
firm
up
as
broader
buyer
participation
continues
in
the
coming
days.”