US: 2013 Brings Tobacco Quality, Crop Rotation Changes

USDA's Risk Management Agency (RMA) announces quality adjustment changes and a crop rotation requirement for flue-cured, burley and dark tobacco beginning with the 2013 crop year.

Quality adjustment factors were modified for the least valuable grades of flue-cured and burley tobacco. Producers are no longer required to destroy tobacco assigned these grades to qualify for quality adjustment. Producers can choose to destroy the least valuable graded tobacco, resulting in no production to count, or sell it and have 20 percent of that production count toward their insurance guarantee. This allows producers more flexibility in marketing or disposing of their tobacco while retaining the maximum value of their crop insurance benefits. Enditem