National symposium on tobacco to focus on future challenges
By Our Economy Bureau | 22 Jan 2003
Guntur:
The three-day national symposium on tobacco is all set
to start from 23 January 2003 in this tobacco capital
of India. The theme of the symposium, being jointly held
under the aegis of Indian Tobacco Association (ITA), the
Indian Society of Tobacco Sciences (ISTS) and the Tobacco
Board, will be ‘Facing Future Challenges.’
Speaking at a press conference in Guntur on 21 January, Tobacco Board chairman Dr P Dayachari said: “We are happy that for the first time the entire tobacco industry, starting from scientists, leading exporters, growers, traders and manufacturers, have come together to hold this important symposium. I am sure what is discussed here for the next three days will have a long-term and positive impact on this important commercial crop that not only employs 35 million people but has a major export potential.”
One
of the key issues that will be discussed by tobacco scientists,
eminent exporters, growers, traders and manufacturers
from India and abroad at this three-day symposium is the
need to enhance the quality of Indian tobacco to meet
future challenges in the global markets.
“It has been scientifically proven that Indian tobacco has the lowest TSNA levels in the world. This finding has found favourable response from the scientific community from across the world. We now have to leverage this strength of Indian tobacco in the global market,” said ISTS president Dr K Deo Singh.
Apart from international delegates a number of ministers from the Indian government and Andhra Pradesh and Karnataka state governments will be participating as guests of honour.
“The
Indian tobacco industry today faces major challenges in
the global and domestic arena. By uniting all the players
of the industry under a single platform, we are addressing
the issues comprehensively and trying to find solutions
for all concerned,” said ITA president Ch Narendranath.
- India is the second-largest tobacco producer in the world (after China) producing 530 million kgs annually.
- India’s share in the global $30-billion annual trade in tobacco is only 0.7 per cent.
- If Indian tobacco exports can grab 5 per cent of the world market the country will earn Rs 5,000 crore in foreign exchange.
- The total tobacco export is valued at Rs 930 crore, or about 4 per cent of India’s total agri-exports.
- Cigarette tobacco accounts for 85 per cent of India’s total tobacco exports.
- Thirty-five million people directly depend on tobacco for their livelihood of which 26 million are farmers and farm labourers.
- The annual per capita cigarette consumption in India is 117 against the world average of 1,030.
- The cigarette share in tobacco consumption in India is 14 per cent against the world average of 90 per cent.
- Tobacco products are estimated to contribute Rs 8,182 crore of the revenue, which is 12 per cent of the national excise revenue collection.
- Cigarettes contribute to nearly 80 per cent of the total revenue collected from tobacco products.
- State taxes on cigarettes fetch an additional revenue equivalent to more than 10 per cent of the excise duties collected from them.
- The gross value generated (including multiplier effect) amounted to Rs 56,638 crore by the cigarette and bidi industries alone in 1996, which is nearly 6 per cent of the gross domestic product.
- The revenue from cigarettes could increase to Rs 30,000 crore if its share of tobacco consumption matches 90 per cent as in the rest of the world without increasing tobacco consumption.