BAT increases tobacco prices by sh300
Dec 10, 2006
THE British American Tobacco Uganda yesterday announced an increase in the price of tobacco,
THE British American Tobacco Uganda yesterday announced an increase in the price of tobacco, writes Steven Candia.
The incoming leaf director, Serhat Eroglu, said the prices are for tobacco to be grown in 2007.
Flue-Cured Virginia Tobacco will go for sh3,300 instead of sh3,000.
Top-grade Burley Tobacco will go for sh2,450 instead of sh2,400.
“We will pay higher prices for higher quality tobacco as our strategy is to maintain Uganda’s position as a producer of world class tobacco. The continuous price increases are partly as a result of improved quality brought about by innovations such as the Centralised Purchasing Points,†Eroglu said in a statement yesterday.
The announcement comes ahead of the 2007 growing season, which begins mid-December with the preparation of seedbeds.
The sh300 increment will largely benefit tobacco farmers in West Nile, Middle North and North Kigezi regions.
The regions comprise Yumbe, Koboko, Arua, Lira, Pader, Kitgum, Gulu, Kanungu and Rukungiri districts where Flue-Cured Virginia is grown predominantly.
Burley is grown in Bunyoro region which is comprises Hoima, Masindi, Kibaale, Kiboga and Mubende districts.
The number of farmers currently requesting for contracts from BAT to grow tobacco in 2007 has increased significantly because of the high prices paid in 2006, the statement said.
BAT area leaf growing manager Pedro Seambelar said the farmer-base in 2007 is estimated to increase significantly from 26,000 in 2006.
The incoming leaf director, Serhat Eroglu, said the prices are for tobacco to be grown in 2007.
Flue-Cured Virginia Tobacco will go for sh3,300 instead of sh3,000.
Top-grade Burley Tobacco will go for sh2,450 instead of sh2,400.
“We will pay higher prices for higher quality tobacco as our strategy is to maintain Uganda’s position as a producer of world class tobacco. The continuous price increases are partly as a result of improved quality brought about by innovations such as the Centralised Purchasing Points,†Eroglu said in a statement yesterday.
The announcement comes ahead of the 2007 growing season, which begins mid-December with the preparation of seedbeds.
The sh300 increment will largely benefit tobacco farmers in West Nile, Middle North and North Kigezi regions.
The regions comprise Yumbe, Koboko, Arua, Lira, Pader, Kitgum, Gulu, Kanungu and Rukungiri districts where Flue-Cured Virginia is grown predominantly.
Burley is grown in Bunyoro region which is comprises Hoima, Masindi, Kibaale, Kiboga and Mubende districts.
The number of farmers currently requesting for contracts from BAT to grow tobacco in 2007 has increased significantly because of the high prices paid in 2006, the statement said.
BAT area leaf growing manager Pedro Seambelar said the farmer-base in 2007 is estimated to increase significantly from 26,000 in 2006.