The future of South Africa’s tobacco farmers just got a whole lot darker after finance minister Enoch Godongwana’s announcement of above-inflation increases in excise duties for tobacco products.
Godongwana announced a 4.7% increase in the price of combustible cigarettes and cigarette tobacco and an 8.2% increase for pipe tobacco and cigars.
With this announcement, the few small-scale tobacco farmers left in the country will either have to diversify or abandon a sinking ship. Over the years the number of black tobacco farmers has drastically decreased from almost 300 to only about 10.
Among the many reasons for this scary figure and the collapse of legal tobacco trade, is South Africa’s illicit tobacco industry.
Here are a few articles that document the demise of South Africa’s tobacco farming industry over the past year alone.
ICYMI: Sparks fly during tobacco bill hearings across SA
This article discusses the ongoing hearings on the Tobacco Products and Electronic Delivery Systems Control Bill in South Africa, which have sparked intense debates and raised concerns among stakeholders.
The article highlights issues with the planning of the hearings in Tshwane, where dozens of people were reportedly denied the opportunity to verbally express their rejection of the bill. This resulted in chaos, with police called in to control access to the venue.
ICYMI: ‘New tobacco bill will worsen public health and destroy jobs’
The South African Tobacco Transformation Alliance (Satta) and other parties have rejected the proposed Tobacco Products and Electronic Delivery Systems Control Bill.
The bill aims to regulate the sale, advertising, and packaging of tobacco products and electronic devices, with provisions to standardise manufacturing and export practices and prohibit sales to minors.
Satta attributes the collapse of tobacco farming to the illegal trade, which has led to the disappearance of numerous tobacco farmers, job losses, and a decline in the sector’s contribution to the national economy.
Tobacco bill: New ciggy law douses Mzansi’s flame
Despite being one of the major contributors to the country’s economy, the industry is facing a rapid decline.
Farmers and organised groups fear that government’s approach is overly stringent and could ultimately lead to the demise of the industry.
A tobacco farmer based Mpumalanga lives in dread. In this article, he shared with Food For Mzansi why he believes the new law will ultimately kill the industry.
Black tobacco farmers abandon sinking ship
The number of black tobacco farmers left in the country are shocking. According to experts, there are only about 10 black tobacco farmers still producing in Mzansi with the rest forced to seek other viable income sources like farming soybeans, sugar beans and cabbages to survive.
This article points to an existential crisis facing the tobacco industry in South Africa and the urgency of addressing challenges to prevent the complete collapse of the tobacco industry.
Podcast: Tracking the rise of tobacco farming
At the beginning of 2023, Mzansi tobacco industry still showed some promise. There is still a market for tobacco products.
This article provides insights into the tobacco industry in South Africa, focusing on the production process and market potential.
It discusses the cultivation of tobacco leaves, their processing into cigars, and the interest among farmers in tobacco farming.
Tobacco farming advice for beginners
For those willing to take a shot at tobacco farming, should read this article. It provides insights into specific requirements and regulations governing tobacco farming in South Africa.
Also, the importance of selecting the right variety of tobacco seeds, the geographic suitability for tobacco farming and more.
