Farmer's Voice

VALUE OF ARGENTINE TOBACCO EXPORTS DECLINES 15.9 PERCENT

es.jpg Spanish version of the document

Foto7.jpgArgentine exports of unmanufactured tobacco and tobacco products reached US$ 310 million in the period January - November 2013, a 15.9 percent decline in terms of value compared with the same period in 2012, reported today the Sectoral Economic Research (IES) firm. 

Aggregate exports for the first eleven months of 2013 were US$ 310.6 million, while exported volumes were 66 thousand tons, a 21.9 percent decline compared with the same period in 2012.  However, average export prices were 7.6 percent higher.  During the period of record, 60 percent of production was exported, compared with 67.2 percent of production exported during the same period in 2012, and well below the 81.9 percent of production exported in 2008.  The main export product was stripped tobacco, accounting for 88.5 percent of total tobacco exports in 2012 and 88 percent of total tobacco exports during the period January - November 2013 (US$ 273.2 million).

According to the report, imports in the period January - November 2013 totaled US$ 61 million, a 37.8 percent decline compared with the same period in 2012; in terms of volume, imports declined 36.6 percent.  Per capita cigarette consumption in Argentina was 49.7 packages in the period, with prices increasing 21.9 percent.  The report states that cigarette manufacturing and consumption showed a decline, explained by a significant fall in the 2012/2013 domestic tobacco crop, which reduced the supply of raw material in the domestic market.  However, and in spite of the implementation of anti tobacco legislation in 2011, which regulates advertising, marketing, and consumption of tobacco products, domestic sales have not been significantly impacted in the last two years as a result of this legislation, says the report.  In line with this scenario, cigarette manufacturing in Argentina showed a 5.7 percent decline in the period January - November 2013 compared with the same period in 2012.  Likewise, domestic cigarette consumption showed a 3.1 percent decline over the same period, with total sales of 1,884 million packages.