Negotiations with Major Tobacco Companies Raise Hopes for Fair Prices

Market by 2FIRSTS.ai

Jan.15.2024

Negotiations with Major Tobacco Companies Raise Hopes for Fair Prices

Brazilian tobacco producers and major tobacco companies are in talks to determine the minimum price of tobacco for the 2023/24 season.

According to Brazilian media outlet Globorural, on January 15th, the Tobacco Farmers Association of Brazil (Afubra) joined forces with the Agricultural Associations of Rio Grande do Sul, Santa Catarina, and Paraná (Farsul, Faesc, Faep) as well as the Farmers Union Federation (Fetag, Fetaesc, Fetaep) to form the Tobacco Producers Committee. On the 15th and 16th of the local time, this committee engaged in a two-day negotiation with eight major tobacco companies.

The conference on the first day began in the morning of the 15th, where representatives from various organizations came together to negotiate the minimum price for tobacco for the 2023/24 fiscal year. By noon on the 16th, representatives from eight major tobacco companies will be received, namely Alliance One, BAT, China Brazil, CTA, JTI, Marasca Tobacco, Universal Leaf, and UTC.

The chairman of Afubra Tobacco Growers Association, Marcilio Drescher, expressed his hopes for the meeting, urging all companies to present fair prices that consider the interests of tobacco farmers and production costs, as well as compensate for the price deficit experienced in previous years.

It is worth noting that Japan Tobacco International (JTI) initiated negotiations with the committee in December last year and continued discussions during this meeting. Chairman Mario Driesel expressed trust in JTI's sincerity and hopes that the talks will yield satisfactory outcomes for all parties involved.

References:

[1] Reuniões sobre preço do tabaco ocorrem nos dias 15 e 16

Also Read:

[1] Controversial Regulations on E-Cig Sales in Brazil: Public Consultation Initiated

[2] Successful Operation by DOF Seizes Illegal Goods in Brazil

#Traditional tobacco #Market #South America #Brazil #E-cigarette Companies

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