Tobacco Growers Fear for Industry

Victorian tobacco growers say their industry is on its deathbed, with their main buyer set to pull out at the end of 2008. British American Tobacco will look to other countries for cheaper tobacco, offering its 138 Australian growers a $10 million compensation package. John Muraca from the Tobacco Co-operative of Victoria says they have been told their crops are too expensive due to high labour costs. "We've got to compete with the Third World countries of this world - your Thailands, your India, Brazil and Zimbabwe and look our wages," he said. "When you put in super and work cover its nearly 20 bucks an hour, they don't even pay that in a week over there so you don't have to be real clever to work out that we're not going to be competitive." Enditem