The ManicaPost
Samuel Kadungure
Senior Reporter
VOEDSEL Tobacco International — a wholly indigenous company that bought about 5 400 000 kilogrammes of contracted tobacco at an average price of US$2,70 per kg last season — has acquired 10 hectares of land in Rusape where it is building a state-of-the-art auction floor with capacity to hold 6 000 bales per day.
The firm offered the highest price of US$6,30 per kg.
The land, which is adjacent to Rusape River in the industrial area, cost US$364 000 and the firm has since paid 70 percent of the purchase price.
The auction floor, which is at trench stage, comprises on-site banking halls, separate dormitories for men and women, an administration block, canteen and ablution facilities.
Voedsel is involved in the tobacco value chain through contracting small-scale farmers in Manicaland and Mashonaland provinces, tobacco processing, trading and exporting.
Under the contract farming arrangement, farmers receive different packages of support that include finance, fuel, coal, chemicals and extensive agronomy assistance.
The firm made inroads into Manicaland during the 2019-20 season, and has eclipsed its rivals by accounting for the bulk of the crop grown in the province.
With the construction of the auction floor taking shape, the firm is this season expected to further flex its muscles in boosting employment, production and productivity, and contributing to the Gross Domestic Product (GDP) per capita and the development of Manicaland.
Voedsel this year contracted at least 5 500 growers against 4 300 contracted last season including a few commercial farmers.
Some growers were dropped after failing to clear their debts.
The auction floor will cut unnecessary transport costs for growers who over the years have been delivering their crop to Harare where they would spend days at the auction floors, and fall prey to marauding thieves, con-artists and commercial sex workers.
Speaking at the handover of two motorbikes to Chief Makoni last Friday, Voedsel provincial production manager, Mr Silas Chingodza said they had also acquired a processing plant from Malawi which willenable the firm to add value to the tobacco before exporting it.
Some unscrupulous merchants have been smuggling tobacco to their plants in South Africa at the expense of the national interest of value addition.
Once smuggled to South Africa, the cartels would remove the stem and process it into cigarettes, earning themselves millions of dollars.
“We bought 95 percent of the contracted tobacco in Manicaland, and this season we are expanding our operations by investing US$5.5 million towards tobacco production.
“The inputs distribution programme started last week on Thursday. Ten 30-tonne trucks have been dispatched so far. A total of 70 trucks will be dispatched to Manicaland,” said Mr Chingodza.
He said Voedsel was involved in various corporate social responsibility initiatives to strengthen its bond with the communities it operates from.
“We have given two motorbikes to Chief Makoni to spearhead development in his area, and Mayo Police Station to curb stocktheft. We are drilling 10 boreholes in the Mayo area to ameliorate the situation of water shortages,” he said.
The company recently erected a security fence, and contributed cement to complete the construction of some facilities at the chief’s traditional court ahead of First Lady Amai Mnangagwa’s visit.
Chief Makoni applauded the firm’s gesture and rallied it to assist women in his area who have coalesced around Vimbiso, an empowerment vehicle spearheaded by Pastor Redempter Gwasira to extricate the vulnerable from poverty.
“I approached their boss (Mr Innocent Mahufe) for assistance, and he immediately tasked contractors to erect a security fence around my traditional court. After that we ran short of cement to complete some structures ahead of the First Lady’s recent visit and he did not hesitate to contribute 20 bags. He has fulfilled his promise to avail motorbikes.
“Rarely do traditional leaders get this kind of support because some people donot even want to contribute towards Zunde Ramambo. If we get four companies like Voedsel, surely my district will be on course to attain Vision 2030,” he said.
Chief Makoni implored his subjects to be contracted to companies that plough back into their communities and shun fly-by-night ones that rip off people.
He said given that tobacco was the country’s largest foreign currency earner after gold and contributes significantly to national economic growth, there was need to ensure that the golden leaf produced through the various supportive input loan facilities finds its way to those who financed its production.
He warned contracted growers against side-marketing their crop to avoid repayment of loans.
