India’s tobacco exports surged 29 per cent to Rs 4,373 crore in the 2009-10 following higher demand from Europe and the US. India is the third-largest tobacco exporter in the world.
In volume terms, tobacco exports — comprising raw tobacco and its products — rose by 14 per cent to 257,469 tonnes in this financial year from 224,867 tonnes in the previous financial year, a senior Tobacco Board official said.
“The shipments rose both in value and volume terms. India exported tobacco worth Rs 4,373 crore in 2009-10 against Rs 3,388 crore in the same period last year,” he said.
According to the official, the export of tobacco surged as lower production in countries such as Europe and the US boosted global demand. He further added that “The rise in exports was also due to higher price realisation for Indian tobacco. The average export price for our tobacco was $3 a kg in this financial year as against $2.50 a kg in the previous financial year.”
Meanwhile, Tobacco Board said that this year India shipped Rs 748.95 crore worth of tobacco products like cigarettes and Rs 3,624 crore worth of unmanufactured tobacco like flue-cured Virginia (FCV) tobacco. In volume terms, exports of tobacco products stood at 29,772 tonnes, while unmanufactured tobacco shipments totaled 2,27,697 tonnes in the review period.
The shipment of FCV tobacco, the major export variety, increased in volume to 1,73,701 tonnes from 1,50,174 tonnes. Tobacco was exported largely to Belgium, Russia, Korea, Netherlands and South Africa. Tobacco production in the country is likely to touch 335 million kg in the 2009-10 season, against 317 million kg in the previous year.
