MALAWI

EXPORT OVERVIEW

Export Overview comprises information regarding the national exports of tobacco leaf

EXPORT WEIGHT

60%

Percentage that tobacco leaf represents on the overall exports of the country (Source: calculated from data from UN Comtrade)

IN THE WORLD

4%

Percentage that the country represents in the international tobacco leaf trade (Source: calculated from data from FAO)

PRODUCTION OUTLOOK

Types of tobacco leaf grown in 2017 (Source: ITGA): Burley, FC Virginia and Fire Cured

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

PEOPLE INVOLVED IN TOBACCO

Employment numbers of the tobacco leaf value chain in 2017 (Source: ITGA): Clubs: 45 888; Individual Growers: 163 180

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

AREA BY LEAF TYPE

Represents the percentage of area cultivated by tobacco leaf type in the country in 2017 (Source: ITGA)

81%BURLEY
14%FLUE-CURED VIRGINIA
5%FIRE CURED

KEY INSIGHTS

Key statistics of the tobacco leaf production in the country

113

AREA

Thousand Hectares (2018), Source: ITGA

202

PRODUCTION

Thousand Tons (2018), Source: ITGA

1.33

AREA/GROWER

Hectares per Grower (2017), Source: Calculated by ITGA

527

EXPORT VALUE

Million US$ (2017), Source: UN Comtrade

337

PRODUCTION VALUE

Million US$ (2018), Source: ITGA

1,785

YIELD

kg per Hectare (2018), Source: ITGA

2,981

REVENUE/HA

US$ per Hectare (2018), Source: ITGA

TOBACCO IN MALAWI

Brief contextualization of the importance of Tobacco in Malawi

80%

CONTRACT

% of contract farming on total sales
M

alawi’s economy is heavily reliant on the primary sector, namely agriculture. Agriculture provides livelihood to over 90% of the population and represents 29% of the Gross Domestic Product (GDP) of the country. Malawi, the leading Burley producer, is the country that most depends on tobacco for foreign currency earnings (59%), according to the latest figures. The crop has been produced in the country since 1893. Burley tobacco leaf produced in Malawi has a good reputation and as such is in high demand. The tobacco industry is one of the most well organized in the country, with a supply chain well defined from production to export, thus aiding the popularity of the crop. There have been further pressures to diversify from tobacco into other possible crops. However, the lack of a supply chain, like the one the tobacco industry has in place, difficults the process. The country sold US$ 78 million of tobacco products, generating US$ 10 million in Government revenue.

Sources: Malawi Government, KPMG, UN Comtrade, FAO, Euromonitor International, Institute for Agricultural Economics, Tobacco and Nicotine Database and ITGA.

Malawi is the country that is more heavily dependent on tobacco. The nation is the 2nd largest African tobacco producing country

EXPORT PARTNERS

This section aims at identifying the most important commercial partners in terms of Value and Quantity (Source: Calculated from data from UN Comtrade)

  • BELGIUM 37%

  • EGYPT 9%

  • GERMANY 8%

  • CHINA 7%

  • ITALY 4%

  • OTHERS 35%

  • BELGIUM 33%

  • EGYPT 10%

  • GERMANY 9%

  • RUSSIAN FEDERATION 6%

  • POLAND 6%

  • OTHERS 36%

                                    VALUE (2017)                                                                                                          QUANTITY (2017)