The newly established Tobacco Industry Act has addressed the matter of oversupply, as revealed by the Tobacco Commission chief executive officer Kayisi Sadala.
According to Sadalal, the new act will see to it that farmers who will produce tobacco exceeding their allocated quotas will have 75% of their proceeds from the extra tobacco given to the commission. “The new Act has provisions in management of overproduction and TC is very sure that sanity shall prevail among growers. Even those that produce without being registered, or choose to secure tobacco through vending, the new Act has provisions to deal with such scenarios,” he said.
Meanwhile, in a scenario whereby tobacco farmers have grown excess tobacco than the demand by buyers, the Tobacco Commission (TC) allows the farmers to sell the excess tobacco, a process known as uplift. TC Chief Executive Officer said uplifts will be considered only when the farmers sell of their tobacco.