Minister of Agriculture Kondwani Nankhumwa on Tuesday announced the immediate suspension of the 75 percent penalty on tobacco sold outside individual quotas.
The minister made the announcement while addressing tobacco farmers at the Tobacco Commission headquarters in Lilongwe.
Nankhumwa told the farmers that service tax for farmers with less than 10 bales has also been scrapped off. He then encouraged farmers who have been taxed to seek refund through the commission.
According to Nankhumwa, some of the provisions in the new Tobacco Act will not be applied during this coming growing season as his ministry has observed that there is a need for proper and adequate sensitization.
The minister also assured farmers that his ministry will continue holding consultative meetings with farmers and other stakeholders in the industry so as to have a collective understanding of the challenges faced by farmers and find solutions collectively.
During the meeting, Nankhumwa was with by the Principal Secretary in the ministry Dr Gray Nyandule Phiri and TC CEO Mr Kaisi Sadala,
Before meeting the farmers, Nankhumwa toured the TC premises where last week arsonists torched a vehicle belonging the organisation.