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Tobacco industry continues to play an important role in uplifting the socio- economic status of the rural population especially in Kelantan, Terengganu, Kedah and Perlis. Presently, there are 20,524 farm families, 355 tobacco curers, 1,300 grower curers and 25,384 station workers as well as 4,000 personnel employed in the four major cigarette manufacturers. Tobacco industry generates around RM150 million in income a year of which 38% of the income share goes to the farmers, 18% to the curers and the rest to suppliers of fertilizers, plastic materials, farm machinery, firewood for fuels and others.
Around 70% of the annual local tobacco demand is met by local production and the balance is imported, especially those of higher flavoured quality which is not produced in Malaysia, to meet the manufacturers= specification to produce premium brand cigarettes. The consumption for locally manufactured cigarettes is around 20 billion sticks a year amounting to a value of RM2.3 - 2.5 billion. The demand for local cigarette has stabilized over the past years and is expected to remain so in 1998-2003 period.
Tobacco is cultivated in marginal areas especially on the coastal bris soil in the east coast of Peninsular Malaysia. Its production is to cater for the local manufacturing of cigarettes. Under the National Agricultural Policy (1992-2010), tobacco industry would still be continued in view of the fact that there is no other alternative crops that could generate a competitive returns. Tobacco industry will be geared towards improving its competitive position in order to compete with the other ASEAN tobacco producing countries which produce at a substantially lower cost. The production system will be restructured with a view to reduce its cost of production, increase its quality and yield as well as to maximize income to farmers. This will be done through intensifying the grower curer system and the gradual phasing out of the curer system which resently dominates the production system.
Tobacco industry continues to play an important role in uplifting the socio- economic status of the rural population especially in Kelantan, Terengganu, Kedah and Perlis. Presently, there are 20,524 farm families, 355 tobacco curers, 1,300 grower curers and 25,384 station workers as well as 4,000 personnel employed in the four major cigarette manufacturers. Tobacco industry generates around RM150 million in income a year of which 38% of the income share goes to the farmers, 18% to the curers and the rest to suppliers of fertilizers, plastic materials, farm machinery, firewood for fuels and others.
Around 70% of the annual local tobacco demand is met by local production and the balance is imported, especially those of higher flavoured quality which is not produced in Malaysia, to meet the manufacturers= specification to produce premium brand cigarettes. The consumption for locally manufactured cigarettes is around 20 billion sticks a year amounting to a value of RM2.3 - 2.5 billion. The demand for local cigarette has stabilized over the past years and is expected to remain so in 1998-2003 period.
Tobacco is cultivated in marginal areas especially on the coastal bris soil in the east coast of Peninsular Malaysia. Its production is to cater for the local manufacturing of cigarettes. Under the National Agricultural Policy (1992-2010), tobacco industry would still be continued in view of the fact that there is no other alternative crops that could generate a competitive returns. Tobacco industry will be geared towards improving its competitive position in order to compete with the other ASEAN tobacco producing countries which produce at a substantially lower cost. The production system will be restructured with a view to reduce its cost of production, increase its quality and yield as well as to maximize income to farmers. This will be done through intensifying the grower curer system and the gradual phasing out of the curer system which presently dominates the production system.
World Situation
- Supply and Demand,
Area,
Production and Yield,
Employment,
Price and Market of Tobacco Leave,
Import of Tobacco and Cigarettes,
Cigarette Production and Market,
Incentive,
Local Content,
Transfer of Technology,
Challenges,
International Cooperation,
Prospect