How To Avoid Killing The Chicken That Lays The Golden Eggs: An Analysis Of The Potential Impacts Of An Export Tax On Raw Tobacco In Mozambique
Anabela Mabota,
Arlindo Miguel,
Julieta Zandamela,
Natércia de Sousa,
Duncan H. Boughton (),
David Tschirley () and
Higino de Marrule Additional contact information David Tschirley: Department of Agricultural Economics, Michigan State University
Abstract:
Tobacco production in Mozambique has grown very rapidly over the past seven years. From 1,500 tons in the 1996/7 agricultural season, national production of raw tobacco has increased every year to reach approximately 50,000 tons in 2003/4 (Figure 1). Over the same period the estimated number of tobacco growing households has increased from 6,000 to more than 120,000. There are currently five major firms (or partnerships) operating in the country promoting both smallholder contract farming schemes and larger scale commercial operations. The impact of this rapid expansion of the tobacco sector on rural smallholder household incomes and economic growth has been dramatic.