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U.S. TOBACCO INDUSTRY TO BUY 194.6 MILLION POUNDS OF BURLEY TOBACCO DURING 2004
NEWS
Farm Service Agency
Public Affairs Staff
1400 Independence Ave SW
Stop 0506, Room 3624-South
Washington, D.C. 20250-0506

                                         Release No. 1418.04

                              Jillene Johnson (202) 720-9733
                                jillene_johnson@wdc.usda.gov

    U.S. TOBACCO INDUSTRY TO BUY 194.6 MILLION POUNDS
              OF BURLEY TOBACCO DURING 2004

      WASHINGTON, Jan. 20, 2004 -- The U.S. Department of
Agriculture (USDA) announced today that U.S. cigarette
manufacturers plan to purchase 194.6 million pounds (farm
sales weight) of burley tobacco during crop year 2004.

      Major domestic cigarette manufacturers are required
by statute to annually report to USDA their intended
purchases of burley tobacco from U.S. auction markets and
producers.  In 2003, manufacturers' intended purchases
totaled 184.9 million pounds.

      Data on intended purchases, average annual burley
exports for the preceding three years and the amount of
tobacco needed to attain a reserve stock level are used to
determine the annual burley tobacco-marketing quota. 
Marketing quotas limit the amount of tobacco a producer
can sell in a given marketing year.  The 2004 quota, along
with other program parameters, such as the support price
and the no-net-cost assessment, will be announced by Feb.
2, 2004.

      The 2003-04 burley tobacco-marketing year began Oct.
1, 2003, and ends Sept. 30, 2004.  Burley tobacco is the
main type of air-cured, cigarette tobacco that together
with flue-cured tobacco account for more than 90 percent
of total U.S. production.

      Burley exports for crop years 2001, 2002 and 2003
averaged 144.5 million pounds, up 6.6 million pounds from
the 2000-2002 average.

      For program information, please contact Daniel
Stevens at (202) 720-5291; or by e-mail at:
daniel_stevens@wdc.fsa.usda.gov

                            #

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