The tobacco market is agog with rumours that a Chinese trade delegation will soon arrive here and consider purchase of quality tobacco from traders and exporters.
Sceptics in the industry doubt it as they recall that China blacklisted the exporters here after one prominent exporter had supplied to that country huge quantities of substandard tobacco. Four Chinese officials were executed in connection with that scandal.
The Tobacco Board officials, it is understood, are under pressure from a section of exporters to reopen a dialogue with their Chinese counterparts on tobacco purchases. As the world trade scenario has changed, there is nothing wrong trying for renewal of tobacco trade with China, they contend.
The Indian exporters, like all the tobacco-producing nations, look towards China which in recent years, has emerged as world's top international market for tobacco, tobacco products. On the other hand, tobacco exports are dwindling year after year. Exports of tobacco and tobacco products stood at 1,36,221 tons valued at Rs 1,050.22 crore in 1999-2000.
The exports touched 1,15,390 tons (Rs 903.38 crore) in 2000-01, stood at 1,02,086 tons (Rs 888.52 crore) in 2001-02, touched 1,27,557 tons (Rs. 1,095.95 crore) in 2002-03. They touched so far (April-September) this year 71,073 tons valued at Rs 542.08 crore.
In view of fluctuations in in the tobacco exports, the local farmers, traders, exporters expect the Tobacco Board to somehow win over the Chinese before the next auction season begins.
