Expectation is for tobacco exports to outstrip the results in dollar terms in 2024. In 2023, tobacco represented 11% of the total shipments in Rio Grande do Sul
July 2024 – After the flood in May that left its mark in the history of the State of Rio Grande do Sul, signs of recovery are beginning to emerge. As far as agribusiness goes, tobacco gains prominence, as attested by MDIC/ComexStat data, presented at the 73rd meeting held by the Sectoral Chamber of the tobacco supply chain, this Wednesday, July 17.
The president of the Interstate Tobacco Industry Union (SindiTabaco), Iro Schünke, exhibited the tobacco export panorama of the first half of year 2024. Brazil has been the top tobacco exporter since 1993, and ships abroad, according to historical averages, more than 500 thousand metric tons a year, bringing revenue of US$ 2 billion, annually.
According to MDIC/ComexStat sources, from January to June, the considerable amount of 195,261 tons were shipped abroad, down 8.82% from the same period in 2023. In dollar terms, it reached US$ 1.24 billion, up 7.65% if compared with the previous year. China, Belgium, the United States, Indonesia and Egypt have been the top importers up to the moment.
“In 2023, tobacco represented 11% of all exports by the State of Rio Grande do Sul and, in 2024, this representativeness is likely to go up further. The expectation is that we are going to export a smaller volume, due to the smaller size of the crop, but with revenue increasing by 10% to 15% in dollar terms. Within this context, the sector will certainly contribute towards a trade surplus in Rio Grande do Sul”, Schünke comments.
FLOOD IN RS – The president of SindiTabaco also presented the results of the survey conducted by the entity jointly with the associate companies focused on the damages suffered by the tobacco farmers caused by the floods in May. The numbers reveal that 75 tobacco producing municipalities were hit, adversely affecting 1,929 farmers, one way or another, with losses estimated to amount to R$ 95 million. According to Schünke, losses could have been even more serious. “Tobacco played a decisive role in mitigating the losses of the small-scale farmers, where two factors contributed toward it: by the end of April, most farmers had already delivered their tobacco to the dealers, because it was a smaller crop, and the high prices fetched by the crop”, he commented. “We regret the one-off losses of some municipalities and tobacco farmers, but we are confident that the size of the tobacco crop in the most affected areas shall remain close to the estimated projections for the 2024/25 growing season,” Schünke argues.
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ABOUT THE CHAMBER – Promoted by the Ministry of Agriculture, Livestock and Food Supply (Mapa), the Sectoral Chamber, on a periodic basis, promotes a meeting of the main leaderships of the tobacco sector. At the meeting, Edimilson Alves, executive manager at Abifumo, was nominated new consultant of the Sectoral Chamber. The next meeting has been scheduled for October 30.
Contact with the press
AND,ALL
Daniella Turano – daniella.turano@andall.ag – (11) 98596-7477
Eliana Stülp Kroth – eliana.stulp@andall.ag – (51) 99667-7405
Roberta Sena – roberta.sena@andall.ag – (11) 98435-6712
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SindiTabacoeliana.stulp@andall.ag (51) 99667-7405
