Minister of Agriculture Kondwani Nankhumwa has announced the suspension of the 75% penalty on tobacco sold outside individual quotas.
The minister, who was addressing hundreds of tobacco farmers gathered at the Tobacco Commission head office in Lilongwe, eased tension as the farmers were anxious towards the new tobacco Act. Having stiff penalties on overproduction, the Act reads, “where a grower willfully produces excess tobacco in contravention of his production quota or the contractual agreement with his buyer, as the case may be, the [Tobacco] Commission shall uplift the grower’s production quota and collect three quarters of the proceeds of the excess tobacco and remit the remaining one quarter to the grower”.
With the suspension announced, farmers will enjoy profits of the sales, being relieved of 75% loss which would have gone to the Tobacco Commission.