Wednesday, August 03, 2005

International Development: Tobacco smuggling costs Malawi $59

Tobacco smugglers have cost Malawi $59 million dollars this seasons. This represents at least a quarter of the countries tobacco crop.

According to industry insiders, smuggling avoids the government owned Auction Holdings Limited, cutting red tape and fetching higher prices.

Malawi is one of the worlds poorest countries and more than 100,000 small farmers grow about 20% of the world's Burley tobacco - the "fillers" added to other varieties to make their distinct brands.