Southside Tobacco Farmers Want Buyout

Source from:  WSET-TV 13 (Lynchburg, VA) 04/28/2004

A class action lawsuit against some tobacco companies will give about 400,000 American tobacco farmers will receive an additional $33-million. Some farmers hope it will lead to a buyout. But what does that mean to you? It could mean several things. The farmers won $210-million last year because several companies including Philip Morris and Dimon agreed to price fixing at tobacco auctions. R.J. Reynolds is now paying its share. And some farmers believe this is a step toward a government buyout. [img border=0 hspace="4" vspace="4" align="left" src=http://www.tobaccochina.com/english/picture/tobaccoleaf.gif] [b]"You have your roots right here."[/b] Several Pittsylvania County farmers' roots run deep in farming. They aren't ready to let them die, but they may not have a choice. [b]Bobby Wilkerson, Tobacco Farmer - "This year looks like to be the most critical year we've ever faced."[/b] Bobby Wilkerson hopes the recent tobacco settlement will lead to a government buyout, basically paying for farmers to retire and clearing the way for the younger farmers. [b]Wilkerson - "If we don't I'm afraid this is gonna be the straw that breaks the camel's back for a lot of us farmers."[/b] But how would a buyout affect you? The county receives about $12-million in sales tax each year from farmers. If too many retire it could be a problem. [b]Dan Sleeper, Pittsylvania County Administrator - "There'll be a drop in sales tax and farm equipment in the area."[/b] But Dan Sleeper says it may not be a bad thing because some farmers will stay in business, some will change crops and others could use their land for development. [b]Sleeper - "You can take three different paths. None of them are going down hill. All of them are just going different ways." "Right much money in here."[/b] Wilkerson says farmers may not have those options. He's tried growing other crops but they didn't make his wallet grow. [b]Wilkerson - "I got a feeling a lot of growers are gonna be out of business."[/b] Wilkerson says he is optimistic about the buyout. He says he spoke to President Bush four years ago, stressing the importance of a buyout. And with elections coming up, do the same this year.