Tobacco exports increasing the current fiscal year

Mysore, Sep 30: Tobacco exports are likely to touch rs 1605 crore during the current fiscal up from Rs 1506.02 crore last year as growers are set to export over 60 per cent of the production due to rising demand in several countries.

Tobacco Board sources told the sources that tobacco growers have come out of the recession suffered by the sector during the last few years as demand for Indian tobacco was increasing in countries such as Russia, Vietnam, UK, Germany and Belgium.

The sources said the export potential country could be much more, provided the farmers were paid reasonably well for growing tobacco as was the case in countries such as Brazil and Zimbabwe. Then indian tobacco industry was highly taxed particularly its cigarettes segment, in which the tax component was round 350 per cent as against 70 percent in Brazil and Zimbabwe, the sources pointed out.

The sources said compared to the tobacco grown in these countries the nicotine content of Indian tobacco was much less and was famous for its fascinating flavours.

In India about six million farmers were engaged in cultivation of tobacco and about 36 million people were dependent on the tobacco industry, either directly or indirectly. Of the total exports of tobacco items from the country, unmanufactured tobacco products accounted for 80 to 85 percent and the manufactured tobacco products account for 20 percent to 25 percent. Of the unmanufactured tobacco exports Flue Cured Virginia (FCV) tobacco was the single largest item accounting for 75 to 80 per cent of the tobacco exports.

Constant bickerings within the coalition partners up marked an eventful 20 months. While the BJP leaders maintained stony silence as the deadline approached, anxiously waiting for the smooth transfer of power, the JD(S) ministers went whole hog and constantly caused irritants to the coalition partner striking discordant notes. They even tried to cash in on the bickerings within the BJP, which worked overtime to assert that all was well within the party.

Though Mr Kumaraswamy continuously maintained his stand of handing over power on the scheduled October 3, several of his ministers made open statements favouring his continuance. To crown it all was the JD(S) leader Devegowda's last salvo against the BJP for not controlling its minister Sriramulu on various occasions.

Developments were being watched intensely by both the groups with the opposition Congress waiting to encash on the opportunity for its gain.

The scheduled meeting of JD (S) legislators, to be held later in the day followed by BJP legislators meet on October one should throw light to resolve the tangle. " There should not be any problem in transfer of power as I have wholeheartedly cooperated with Mr Kumaraswamy from the day one," Mr Yediyurappa asserted.

UNI