Weather, Imports Cause Tobacco Prices To Fluctuate

Farmers, tobacco buyers and agriculture experts say this has been a challenging year for the burley crop in Kentucky.University of Kentucky tobacco specialist Bob Pearce, says a combination of the hot, dry weather and the prevalence of imported tobacco from Argentina and Brazil has caused prices to fluctuate."...In the dollar seventy to dollar 80 range per pound all the way down to 50 cents per pound or less. One of the more troubling aspects is the fact that a lot of tobacco is being rejected without an offer being made on it at all. It’s so bad that they don’t even make an offer on it they just tell the grower to take it back home," he says.Pearce says many of the farmers lost their contracts with tobacco companies earlier this year. The contracts were cut because the companies are concerned that potential increases in federal regulation will hurt sales next year