Tobacco price fixed at Rs 104.30 per kilogram

Pakistan Tobacco Board (PTB) on Monday announced Rs 104.30/per kilogram for tobacco crop of 2011 giving timely choice to farmers between the cultivation of tobacco or go for the sowing of wheat in the province.

The announcement was made by chairman, Pakistan Tobacco Board (PTB) Major Sahibzada Mohammad Khalid (Retd) in presence of the Crop Commissioner, Ministry of Food, Agriculture and Livestock (Minfal) and representatives of growers and tobacco companies here at PTB Headquarters in Hayatabad.

Briefing the participants, Secretary PTB, Noman Bashir said that the purpose of the prior announcement on minimum indicative price for FCV tobacco was aimed to make decision for growers to cultivate crop of their choice. The process, he said starts in last week of September through marketing wing through costing board comprising of the representatives Pakistan Tobacco Company (PTC), Lakson Tobacco Company (LTC), agriculture department, Khyber Pakhtunkhwa.

For this fixation of the minimum tobacco price, the cost board visits six FCV tobacco producing districts of Khyber Pakhtunkhwa and Mianwali, district of Punjab and representatives of growers associations from six districts of Khyber Punjab. The minimum indicative price, he said fixed after hectic efforts and long series of debate between the growers and tobacco companies.

Speaking on the occasion, chairman, PTB, Major Sahibzada Mohammad Khalid (Retd) called for discouraging non-recommended varieties of tobacco and payment of better price of good quality tobacco. Crop Commissioner, Minfal, Inayatullah Khan said that the timely announcement of tobacco price give signal to the growers to decide about the cultivation or not cultivation of the crop. He said that the NRVs should be discouraged, saying the good quality tobacco would not only be exported, but would be used at the domestic level.

On this occasion, the representatives of growers Tufeeq Ahmad Khan called for fixation of the minimum price of tobacco at Rs 105 per kilogram, saying that the tobacco is high cost and sensitive crop as natural disasters or extra irrigation water also damaged it. The crop besides having high cost of production earned largest amount in head of excise duty for the country than all other crops.

Fazal Elahi, another representative of growers from district Swabi said that the new price has been fixed after increasing the price by Rs 10 per kilogram in keeping in view the current inflation rate and three percent profit for the growers would have proved better.