Briefing journalists in Lilongwe Friday Tobacco Commission (TC) Chief Executive Officer Dr. Chidanti Malunga said the Malawi Investment Trade Centre is finalizing paper works for the new company to start buying tobacco.

Tobacco Commission Chief Executive Officer Dr. Joseph Chidanti Malunga is optimistic that the coming in of the new company from Serbia will enhance competition which will, in turn, improve the industry.

Dr. Malunga said officials from the company, Tobacco Industry of Boyanovac have been in the country for the past four days and have been discussing with various stakeholders on their intention to start buying tobacco in this selling season.

“We are very excited that we have a new tobacco buyer on the market who is willing to invest in the industry, this is a boost to us and we are optimistic that there will be stiff competition among buyers which will improve the rate of tobacco rejection in our auction floors especially on the auction market,” explains Malunga.

He adds, “one interesting thing is that this company is coming while we are still selling tobacco here in Malawi and this will enhance competition on the auction market where there are few buyers and the tobacco rejection rate is very high. Besides we are happy because the company has intention to set up a tobacco plant right in the country”.

Tobacco Industry of Boyanovac chairperson Dragan Stankovic said his company is interested in burley tobacco and is set to start buying the commodity in this selling season. “There is stiff competition among tobacco companies in Europe and tobacco products are fetching high prices, we want to remain relevant and competitive on the international market in Europe and this is why we are investing in the tobacco industry in Malawi where farmers are producing quality leaf and companies know that quality tobacco comes from Africa.”