The Tobacco Board of Zambia, a government […]

The Tobacco Board of Zambia, a government agency that is supposed to protect the interests of majority Zambian local tobacco growers has been accused of being captured and instead facilitating the commercial interests of a clique of Tobacco international traders that have been extracting supernormal profits from Zambia’s tobacco industry. ‎ ‎

According to exclusive interviews conducted by the Zambian Business Times – ZBT with some local contracted farmers whose identity have been withheld, the local farmers have called for TBZ officials be subjected to official investigation by the Anti-corruption Commission – ACC. ‎ ‎A check by ZBT with sources at ACC revealed that the institution is aware of suspected corrupt practices and that it made it a point to even push for the establishment of an integrity committee. ‎ ‎

Some of the local farmers spoken to complained that TBZ is a “toothless bulldog” which they have even gotten tired of reporting any grievances they have with the out-grower schemes and international buyers in the tobacco sector. ‎ ‎One local farmer based in Serenje stated that “for instance, one of the major challenges faced is sourcing for cheaper loans to help with the farming to market delivery, that is funding to cover for labour, curing costs, storage, transport and other logistics”.

 ‎ ‎”We end up incurring huge interest costs because we are forced or have no alternative but to take money from Kaloba (loan sharks) who extract extremely high interest rates in excess of 100% interest per month. TBZ is very much aware of this major challenge and does not bother to facilitate the putting together of a package to allow local farmers to access cheaper and affordable finance which the local out-growers can fall back on.” ‎ ‎

Another farmer based in Lundazi whose name has also been withheld for fear of them losing their place in an out-grower scheme stated that “our suspicion is that TBZ officials get kickbacks from the international traders and out-grower schemes operators to pay a blind eye to these issues that are perpetuating poverty and slave contracts, the sources complained to ZBT in confidence, fearing being removed from the scheme.

 Also, the issue of grading and pricing of the produce remains another area of grave concern. There is no one to negotiate on behalf of the local out-growers to ensure independent and fair grading and pricing of their produce. Farmers are captured at the time of signing up for the out-grower scheme.

 TBZ being a government agency has experts or can source for experts that can help to arrive at fair buying prices, fair grading methods but non of this happens. ‎ ‎”On the issue of out-grower contracts, these are slave contracts which TBZ is very much aware of. They pretend that farmers have to agree with the out-growers themselves but they are very much aware that most growers are rural based, with most of them not well educated to review these contracts and negotiate for a better deal.”

‎These contracts are being used as a survival tool, when this is supposed to be a business which by now should have seen a good number of local out-grower farmers grow into commercial farmers. ‎ ‎Asked by ZBT why they are not expanding fields and growing, the local farmers complained that most of them can not even afford to grow to buy their own trucks to save up one of the big cost of transporting to reach the markets.

 ‎ ‎Meanwhile, according to a statement seen by ZBT, TBZ this year 2026 announced conducting 100% validation for self contracted farmers while committing to only conducting 20% for out-grower local farmers. ‎ ‎This perhaps adds more questions as to the accusations of administrative capture of TBZ by out-grower companies, puting the institution to work on facilitating and perpetuating the commercial interests of this clique of private players. ‎

TBZ seems pre-occupied in making sure that local farmers remain yoked to the out-grower schemes and make sure they conduct the 100% validation for self contracted farmers which is something that is solely in the interest of the scheme operators. ‎ ‎When contacted for a comment by the Zambian Business Times – TBZ Executive Director Robert Mwale, requested for a press query and that they needed more time to respond to the concerns raised by time of publication of this report.

 ‎ ‎Tobacco remains a key cash crop for Zambia but local farmers continue to break their backs with limited to minimal returns while the international buyers and traders continue to make supernormal profits.

Article by Phillip Sinkala