Beyond the Leaf: Zambia’s Tobacco Industry Eyes Value Addition and Sustainability

By Alain kabinda

For generations, tobacco farming has shaped livelihoods across rural Zambia. In districts where agricultural seasons determine household incomes and local economies, tobacco has long stood as more than a crop — it has been a source of employment, export earnings, and economic survival.

But as climate change intensifies, global markets shift, and international sustainability standards evolve, Zambia’s tobacco industry is confronting a defining question: how can it remain competitive while securing long-term growth?

That question took center stage at the 61st Annual Congress of the Tobacco Association of Zambia (TAZ) held in Lusaka, where government officials, producers, and industry stakeholders gathered to chart a future for one of Zambia’s most significant agricultural sectors.

Held under the theme “Building a Competitive and Sustainable Tobacco Industry in a Changing Global Market,” the congress became more than an annual meeting — it became a conversation about transformation.

Speaking During the official opening the congress, Ministry of Agriculture Permanent Secretary (Technical Services), Mr. John A. Mulongoti, described tobacco as a strategic industry that continues to contribute significantly to national development through exports, employment creation, and support for rural communities.

He further stated that Zambia’s tobacco production has grown sharply — rising from approximately 30 million kilograms in 2022 to more than 100 million kilograms in 2025, signaling strong recovery and expansion within the sector.

Government officials and industry leaders at the congress emphasized that future success should no longer be measured only by production volumes but by how much value remains inside the country.

The conversation focused on processing, manufacturing, skills development, industrialization, and strengthening domestic participation across the tobacco value chain.

And Tobacco Association of Zambia (TAZ) President Mr. Sianga Musheke argued that Zambia’s competitive advantage will increasingly depend on reducing production costs, improving efficiency, and expanding investments beyond farm gates.

One proposal attracting attention is the development of a Public-Private Partnership One-Stop Tobacco Industry Park, envisioned as an integrated hub for processing, training, logistics, manufacturing, research, and export development. Industry stakeholders believe such investments could create jobs, attract capital, and strengthen Zambia’s industrial base.

The congress also highlighted discussions around the Popota Concept, an initiative aimed at broadening economic participation and stimulating rural industrialisation.

While competitiveness dominated discussions, climate change emerged as an equally urgent concern.

Farmers and policymakers acknowledged that changing rainfall patterns, prolonged dry spells, and growing environmental pressures are reshaping agricultural production.

Government outlined plans to prioritize irrigation development, climate-smart agriculture, water harvesting, sustainable land management, and environmental stewardship as part of broader agricultural transformation efforts.

Investment in irrigation, mechanisation, and climate adaptation technologies is increasingly viewed as necessary insurance against future shocks. Stakeholders stressed that maintaining yields while protecting natural resources will define the sector’s long-term sustainability.

Farmers argued that productivity improvements require investment capital that many producers still struggle to access.

TAZ proposed continued dialogue around innovative financing models, including ideas such as an Agriculture Development Fund to support investments in irrigation, mechanisation, and farm-level modernization.

Government signaled willingness to continue exploring mechanisms that improve access to productive financing across agriculture.

Stakeholders also welcomed the recent reduction of the tobacco levy from 2 percent to 1.5 percent, describing it as an example of how consultation between government and industry can improve competitiveness.

As global expectations evolve and agricultural industries face mounting pressure to adapt, Zambia’s tobacco sector appears to be repositioning itself.

It is about building an industry that is resilient to climate shocks, competitive in global markets, and capable of creating more value locally.

For farmers attending the congress, the message was clear: the future of tobacco in Zambia will depend on innovation, partnership, and the ability to transform agricultural growth into broader economic opportunity.

And as delegates concluded their discussions in Lusaka, one idea stood out — competitiveness in the future may no longer begin in the field alone, but in what happens after the harvest.