Tobacco farmers are expected to earn a substantial income this season as the National Tobacco Administration (NTA) reported an increase in buying prices.
NTA Administrator Belinda S. Sanchez explained that the price adjustment reflects market demand and the crop quality.
“[And] the more income the farmers earn will boost their purchasing power to buy their foods and other basic needs in their household,” she said.
One kilogram of Class AA or prime class of the flue-cured Virginia tobacco is worth P113, while the approved floor price is at P97.
The prime class of both air-cured Burley-type tobacco and Native-type tobacco is seen to reach P100 per kilo, with a P81 approved floor price.
To meet the tobacco demand, the NTA has been actively implementing farming technologies and capability enhancement of farmers to harvest high-quality tobacco leaves.
Sanchez hopes that production volume of tobacco will exceed last year’s value of 42 million kilograms.
Flue-cured Virginia tobacco trading began in February and will last until June 2024.
Tobacco traders like the Universal Leaf Philippines (ULPI), Trans Manila Incorporated (TMI), and ConLeaf started operating buying stations in Ilocos Norte, Ilocos Sur, La Union, and Abra.
Meanwhile, NTA-accredited field canvassers have also shown interest in purchasing tobacco directly from farmers.
Currently, about 2.2 million Filipino farmers depend their finances on tobacco. This includes 430,000 farmers, farm workers, and their families.