Leaf tobacco

Area planted

Tobacco is primarily cultivated under irrigation. Leaf tobacco is produced in various areas of the country, but farmers in certain areas tend to concentrate on certain varieties. Flue cured tobacco is produced at Nelspruit in Mpumalanga, Vaalwater and Brits in North West and in the Gamtoos Valley in the Eastern Cape. Air cured tobacco is mainly produced at Thabazimbi, Swartwater and Naboomspruit in the Northern Province and Oudtshoorn in the Western Cape. Oriental tobacco is grown at Paarl, Riebeeck Kasteel and Malmesbury in the Western Cape.

From 1998 to 1999, the area planted to tobacco decreased by 3,0%, from 14 427 ha to 13 962 ha.

Production

The quantity of leaf tobacco received by the tobacco co-operatives from the growers decreased by 4,5%, from 31,5 million kg in 1998 to 30,1 million kg in 1999.

The quantities of leaf tobacco received by co-operatives from 1995 to 1999 compare as follows:

* Preliminary  

Consumption

Over the past few years, the local consumption of tobacco products has shown a consistent decline. Consumption declined from 37 031 tons of tobacco in 1995 to 28 817 tons in 1999. The current intensified antismoking campaign in South Africa and the exorbitant increase in excise duty on tobacco products have resulted in the decline in the consumption of tobacco products.

Consumption expenditure on tobacco products, however, has maintained an upward over a number of years, with an increase of 6,0% from R10 819 million in 1998 to R11 465 million in 1999.

Consumption of and expenditure on tobacco products compare as follows:

The local leaf tobacco producers deliver their tobacco to six co-operatives for marketing. The average minimum prices received by farmers for each class of leaf tobacco is determined on a weighed basis against total mass of tobacco. The average prices of tobacco showed a constant upward trend from 1995 to 1998, but prices declined during 1999, with the exception of oriental tobacco.

The average minimum prices received by farmers for each class of leaf tobacco from 1995 to 1999 compare as follows:

Imports and exports

During 1999, about 57% of the tobacco exports of the Southern African Customs Union (SACU) went to Zimbabwe, Turkey, United Kingdom, Germany and France. The top five countries from where tobacco was imported (Zimbabwe, Malawi, Brazil, Paraguay and India) represented about 90% of SACU’s tobacco imports.

The quantities of leaf tobacco exported and imported from 1995 to 1999 compare as follows:

Wheat

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