Malawi leaf sales boost economy
World Leaf News
Despite having suffered a difficult selling season, Malawi expects that its leaf tobacco earnings will reach $178 million this year, up 9.8 percent on those of last season, reports Reuters, citing the Tobacco Control Commission.
Malawi’s 2005-2006 tobacco crop is estimated at 158 million kg, 9 percent more than was produced during the previous season, but 7 percent less than that of the 2003-2004 season.
Malawi Finance Minister Goodall Gondwe told Reuters that the earnings increase was encouraging. Gondwe is forecasting that Malawi’s economy will grow by 8.4 percent and that inflation will fall to 10.9 percent on account of improved agricultural production. Tobacco accounts for more than 70 percent of Malawi’s export earnings and about 15 percent of its gross domestic product.