By Alois Vinga
THE Tobacco Industry Marketing Board (TIMB) says a total of 448 grower numbers have been blocked for suspected side-marketing activities in a bid to ensure sanity in the value chain.
The illicit practice is a form of contract default where contracted tobacco growers sell their tobacco to third parties in breach of the contractual agreement which states that tobacco shall only be sold to or bought by the contractor who provided inputs to the grower.
In an update this week, TIMB said the 448 grower numbers clearly indicated a breach of the standards following interrogations of the illegal activity.
“The blocked grower numbers had sold tobacco five times or more in only 13 days of the 2023 tobacco marketing season.
“It is illogical and cost-ineffective to bring 20 bales to market on a Monday then bring 10 on Wednesday and 15 on Friday the same week only to bring similar amounts of tobacco in the following week,” said TIMB.
The industry regulator said such sales behaviour is typical of tobacco farmers who sell tobacco on behalf of their peers or illegal tobacco buyers who buy the golden leaf from farmers at low prices only to come and resell it at auction or contract floors at a higher price.
“We have blocked these growers from making more sales to make sure we only have legitimate tobacco farmers selling.
“The individuals with blocked grower numbers should approach TIMB with their sales sheets, and verify that they are legitimate tobacco growers selling their own produce,” TIMB said.
Apart from this, technical teams will be dispatched for physical farm visits to verify and inspect the respective farms and if they are legitimate growers we will unblock their grower numbers.
TIMB said it is sufficient to mention that side marketing can be perpetrated by a farmer, an unlicensed buyer or an errant licensed contractor.
“This criminal practice is responsible for the loss of millions of dollars annually and has the potential to kill the tobacco industry.
“This year, 2023, we are on an accelerated drive to ensure orderly tobacco marketing and end tobacco side marketing.
“We are armed with SI 77 of 2022 as well as the Contractors’ Compliance Administration Framework as our main tools to fight side marketing and there will be no sacred cows and unturned stones,” said TIMB.
Tobacco stakeholders were urged to utilise the TIMB booking system to book their tobacco for sale in advance in order to detect side marketing and stop it.
“We have also extended the arm of our Inspectorate department; they will be conducting random inspections of farms, sales floors and warehouses throughout the season.
“Our Inspectors will also conduct intelligence-led operations in partnership with law enforcement agencies for example surveillance patrols and stops and search at roadblocks,” added TIMB.
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