Philippines Looks for Bigger Crop After Prices Hike

Source from:  tr.itsmyiq.com Dec 13, 2007 12/14/2007

Tobacco industry interests in the Philippines have agreed at a tripartite conference to the biggest ever increase in leaf tobacco prices, and local politicians are encouraging farmers to plant more tobacco, according to a report in The Inquirer. Representatives of tobacco manufacturers and traders, farmers and the National Tobacco Administration (NTA) have agreed to raise by P10 per kg the buying price of the Ilocos region's Class AA tobacco, and the prices of its other tobaccos by P9.50 per kg. Usually, increases are of the order of P1.50 per kg. Class AA tobacco will now sell at P61 a kg; Class A at P59 per kg; Class B at P57 per kg; Class C at P55 per kg; Class D at P50 per kg; Class E at P49 per kg; Class F1 at P45 per kg; Class F2 at P42 per kg; and rejects at P23 per kg. Welcoming the new prices, Congressman, Eric Singson, of Ilocos Sur province, said he hoped they would inspire farmers to plant more this season. But had the increase been lower, Singson, and Governor Deogracias Victor Savellano, would have asked farmers not to plant tobacco. Singson and Savellano led local officials and leaders of farmers' groups in the tripartite conference held at the NTA offices in Quezon City. Meanwhile, Singson has said he will push for the passage of a bill that would require manufacturers to use at least 75 per cent of locally produced tobacco in the production of cigarettes in the country. Enditem