aar 2009-10 final p&c - tobacco...

TOBACCO BOARD

Performance_Report_2009-10 3/11/2011 1:09:08 PM

EXPORTS OF UNMANUFACTURED TOBACCO AND TOBACCO PRODUCTS FROM INDIA IN 2009-10 – A REVIEW

Exports of tobacco and tobacco

products continued to grow for the

eighth consecutive year and

registered a record performance

during the financial year 2009-10

surpassing all the previous records.

Indian tobacco and tobacco product

exports were a record US$ 928

Millions in 2009-10.

7.1. EXPORTS FROM INDIA 7.1.1. Overall performance:

Exports of tobacco and tobacco products had increased by about 30 % in

rupee terms to Rs.4402crores in 2009-10 on y-o-y basis. In spite of global economic

recession, Indian tobacco exports are bullish and strong. In dollar terms, the

exports increased by a record 26% to US$928 millions. Exports of

Unmanufactured tobacco and tobacco products from India in 2009-10 in comparison

with exports in the last year are as follows:

Item

2009-10 2008-09

Qty

M.Tons

Value Qty

M.Tons

Value

Rs. Cr. M.US$ Rs. Cr. M.US$

Unmanufactured Tobacco 229632 3655.49 770.88 197127 2713.28 591.00

Tobacco Products 29934 746.80 157.49 27740 675.15 147.06

Total 259566 4402.29 928.37 224867 3388.43 738.06

% Change ( + ) 15 30 26 10 68 47

TOBACCO BOARD


7.1.2. Performance against targets:

Government of India had not fixed any specific targets for export of

tobacco and tobacco products during 2009-10. Government, however, had envisaged

that the exports in 2009-10 in general shall grow to US$180 billion or by 30% over

last year. Indian exports of tobacco and tobacco products had grown by 25%, far

exceeding the overall growth rate envisaged by Government.

TOBACCO BOARD


7.1.3. Unmanufactured tobacco exports:

India’s leaf exports accounted for about 88% of total tobacco and tobacco

product exports in quantity terms and 83% in value terms. During 2009-10, leaf

tobacco exports from India increased by 16% in quantity terms and 35% in value

terms compared to exports during 2008-09.

7.1.4. Major markets for unmanufactured tobacco during 2009-10

(Qty: Tons; Val: Rs.Crores)

S.No Country 2009-10 2008-09

Qty % change Value % Change Qty Value

1 Belgium 39419 2 709.73 7 38740 662.45

2 Russia 16488 1 255.51 35 16348 189.74

3 South Korea 13194 9 189.14 45 12106 130.37

4 Germany 10336 2 187.88 31 10097 142.92

5 South Africa 11068 11 157.52 21 9962 129.96

6 Indonesia 2781 -60 54.47 -57 7024 126.19

7 Yemen 6541 -6 49.66 20 6986 41.46

8 Vietnam 10716 56 194.54 67 6862 116.57

9 Netherlands 12180 80 245.18 115 6764 113.87

10 Nepal 7779 23 101.73 69 6340 60.11

11 USA 5321 -2 63.51 20 5432 52.84

12 Philippines 3000 -39 60.50 -35 4920 92.90

13 Ukraine 2470 -42 43.64 -18 4278 53.20

14 France 9162 126 77.53 464 4061 13.75

15 Singapore 2235 -45 30.28 -46 4059 55.59

16 Tunisia 3727 -8 37.07 -3 4046 38.20

17 Poland 3304 -7 63.67 33 3566 47.91

18 Egypt 10790 240 138.46 416 3172 26.85

19 Brazil 5542 78 89.63 77 3122 50.64

20 Australia 2979 5 64.49 41 2838 45.79

21 U.K. 5301 97 102.39 182 2689 36.29

Grand Total (Incl. others) 229632 16 3655.49 35 197127 2713.28

TOBACCO BOARD


Belgium and Russia continued to be the leading destinations for Indian

tobacco exports. South Korea, Netherlands, South Africa, Egypt, Vietnam,

Germany, Nepal, Yemen and UK are other important markets for Indian tobacco in

2009-10. Exports to Indonesia, Poland, Philippines, Singapore, Ukraine and USA

were down significantly on y-o-y basis.

7.2. REGION WISE EXPORT PERFORMANCE

(Qty : Tons ; Value : Rs. Crores)

REGION 2009-10 2008-09 % Change

Qty % Val. % Qty % Val. % Qty Val.

West Europe 85522 37 1467.45 40 69806 35 1082.66 40 22 36

East Europe 28292 12 478.64 13 29657 15 382.50 14 -5 25

Middle East 13972 6 179.44 5 11409 6 115.25 4 22 56

South & South East Asia 46577 20 748.81 20 46979 24 654.12 24 -1 14

Africa 35902 16 506.26 14 24901 13 297.04 11 44 70

North & South Americas 16001 7 202.91 6 11366 6 133.78 5 41 52

Australasia 3366 2 71.98 2 3009 2 47.93 2 12 50

Total 229632 100 3655.49 100 197127 100 2713.28 100 16 35

2009-10

TOBACCO BOARD


7.2.1. West Europe

• Exports to this region accounted for more than a third of India's exports.

Belgium, Germany, France, Netherlands and UK are important markets.

• During 2009- 10, exports of unmanufactured tobacco to Western Europe

increased by 22% in quantity terms and 36% in value terms on Y-O-Y basis.

• This is mainly on account of increased exports of tobacco to Belgium (by

48%) and Netherlands (14%) in this region. Tobacco exported to Belgium is

mostly meant for re-export to Russia and other East European destinations.

• Exports to Indonesia and Philippines declined in quantity terms compared to

last year.

• Malta which imported 594 tons in 2008-09 had not imported any tobacco in

2009-10.

7.2.2. East Europe

� Exports of unmanufactured tobacco to Eastern Europe declined by about 5% in

quantity terms. However, in value terms, the value of exports had increased by

25% on Y-O-Y basis because of general increase in export prices.

� Exports to Russia is increased by 1% in quantity terms 35% in value terms

during 2009-10. Re-exports of Indian tobacco to Russia from Belgium will partly

make up this short fall. Russia has traditionally been a top export destination

TOBACCO BOARD


for India’s tobacco. However, increased share of multinationals in Russian

cigarette market and competition from Brazil, China and some suppliers in

Africa other than Zimbabwe is limiting India’s share in Russian market in recent

years.

• Exports to Belarus, Bulgaria and Czech have increased, while Ukraine and

Romania reduced its off take by 42% and 57% in quantity terms and 18% and

48% and in value terms respectively.

• Poland is one of the world’s fastest growing cigarette exporters. Most of the

additional cigarette exports from Poland are made predominantly from imported

leaf tobacco. Exports to Poland have declined by 7% in quantity terms and

increased in value terms by 33%.

• New markets for Indian tobacco during 2009-10 is Slovenia in this region.

• The main reason for the decline of tobacco exports to Russia and other CIS

destinations is steep increase in the price of Indian tobacco. As these markets

are extremely price sensitive and import low cost / low-end tobaccos, there is

decline in exports in quantity terms. Despite this, Eastern Europe continued to

be the third most important destination for Indian tobacco with 12% share in

total exports.

7.2.3. South & South East Asia:

� South & South East Asia emerged as the second most important destination for

Indian tobaccos with a share of 20% in total exports and had contributed

significantly for increased exports of Indian tobaccos.

� Unmanufactured tobacco exports to South & South East Asia declined by 1% in

quantity terms and increased by 14% in value terms over last year’s exports.

� This increase is mainly due to large exports of tobacco to South Korea

(increased by 28% to 13194 tons) which emerged as the third major market for

Indian tobaccos after Belgium and Russia. Increased exports of cigarettes

TOBACCO BOARD


from South Korea to countries like UAE, Iran and Iraq contributed to increased

demand for imported tobacco and hence the strong demand for Indian tobacco

from South Korea.

� Exports to Vietnam, Malaysia, and Nepal increased by vast margins over the

previous year. Also Vietnam emerged as major buyer of Indian tobacco with

quantity of 10716 tons.

� Exports to Philippines, the fifth largest importer of Indian tobacco in 2008-09,

declined by 39% compared to last year. Though Philippines is a potential import

market because of increased exports of Philippines’ cigarettes to other ASEAN

countries, competition from domestic production is limiting the prospects of

India's exports to this market.

� Exports to Malaysia increased by 19% to 3116 tons and exports to Bangladesh

increased by 10% to 1519 tons this year. Exports to Sri Lanka has declined.

SriLanka imported around 517 tons against 1006 tons of last year.

� Exports to Indonesia and Singapore were down by 60% and 45% respectively.

7.2.4. Africa

� Exports to African region increased by 44% in quantity terms and 70% in value

terms on Y-O-Y basis.

� South Africa was the leading importer in African region accounting for more

than 31% of total exports to African region. Exports of tobacco to South

Africa increased by 11% in quantity terms and 21% in value terms compared to

last year.

� Egypt was also the leading importer in African region with a quantity of 10790

tons as against 3172 tons of last year. (Increase 240% in quantity terms 416%

in value terms).

� Nigeria, Morocco, Ethiopia, Zimbabwe, Mauritania and Libya are other major

markets in this region and exports to all these countries increased in the year

2009-10 compared with 2008-09.

TOBACCO BOARD


� Congo, Madagascar and Gambia are the new destination for Indian Tobacco in

African region in 2009-10. While Somalia had not imported any tobacco from

India.

7.2.5. Middle East � Exports of tobacco to Middle East increased by 22% in quantity terms and

56% in value terms over last year.

� This is mainly due to increased exports of chewing tobacco to Iran (1,817 tons

as against 316 tons), Turkey (1,932 tons against 901 tons) and UAE (1,979 tons

against 1,534 tons).

� Exports to Yemen declined by 6% in quantity terms however increased in value

by 20%. Tobacco imported from India is being used for manufacture of

cigarettes in free trade zones for export to Iraq, Iran and other neighbouring

countries and hence the requirements of these countries are not constant and

will vary from year to year.

7.2.6. North & South America

� Exports of tobacco to North & South Americas increased by 41% in quantity

terms and 52% in value terms.

� Exports to Brazil increased to 5542 tons by about 78% from 3122 tons

exported during last year. Exports to USA declined by 2% to 5321 tons from

5432 tons over last year.

� Trinidad&Tobago is the new markets for Indian Tobacco in this region and

imported 192tons of unmanufactured tobacco valued at Rs.354.17 lakhs.

� Exports to Honduras, Mexico and Uruguay countries are declined by about 56%,

12% and 61% during 2009-10.

� Exports of leaf tobacco to Colombia, Costa Rica, Dominican Rep, Guatemala and

Panama is nil during 2009-10 as against 264tons, 80tons, 52tons, 63tons and

25tons exported during 2008-09.

TOBACCO BOARD


� Exports to Canada, Chile and Paraguay had increased significantly in 2009-10.

7.2.7. Australasia

� Unmanufactured tobacco exports to this region increased by about 12% in

quantity terms and 50% in value terms over last year.

• Australia imported 2979 tons of tobacco as against 2838 tons imported last

year, with increase of 5%. With complete phasing out of domestic production of

tobacco, Australia is dependent on total imports and offers great scope for

export of Indian tobaccos.

7.3. EXPORT OF FCV TOBACCO

7.3.1. Volume of FCV tobacco exports

Of total unmanufactured tobacco exports, FCV tobacco exports constituted

76% in quantity terms and 82% in value terms. FCV tobacco exports during 2009 -

2010 totaled 174274 tons valued at Rs. 2988.40 Crores. FCV tobacco exports

increased by 16% in quantity terms and 34% in value terms on Y-O-Y basis. In dollar

terms the increase is 30%.

FCV Tobacco Exports Quantity

(Tons)

Value

(Rs. Crores) IN US$

2009-2010 174274 2988.40 630.46

2008-2009 150174 2230.27 485.79

% Change from 2008-09 to 2009-10

16 34 30

TOBACCO BOARD


7.3.2. Major markets for FCV tobacco during 2009-10

(Qty: tons; Value: Rs. Crores)

S.l No

Country 2009-10 2008-09 2007-08

Qty % Change

Value % Change

Qty Value Qty Value

1 Belgium 33825 -3 626.47 4 34914 605.32 18632 194.06

2 Russia 13077 0 218.26 39 13066 156.73 13011 103.54

3 South Korea 11468 2 159.17 34 11285 118.57 8968 59.27

4 Germany 8165 11 158.27 45 7326 109.39 8680 95.75

5 Vietnam 9918 47 184.80 60 6768 115.48 6153 59.86

6 Indonesia 2017 -68 41.93 -64 6328 115.69 2057 21.71

7 Nepal 6677 21 88.89 71 5529 52.06 4460 33.31

8 S. Africa 8003 68 124.89 47 4768 85.12 4200 42.36

9 Netherlands 7874 71 178.51 114 4612 83.45 5605 59.99

10 Singapore 2214 -44 30.06 -44 3949 54.13 2836 21.68

11 France 8939 139 76.73 574 3738 11.39 3650 14.52

12 Philippines 2403 -35 51.91 -32 3699 76.38 12043 110.61

13 Tunisia 2152 -35 26.48 -17 3334 31.85 1300 9.10

14 Ukraine 2330 -24 41.59 5 3085 39.66 3923 23.91

15 Poland 2269 -22 47.40 23 2905 38.64 2765 25.01

16 Brazil 4919 80 82.38 77 2729 46.63 1949 20.8

17 Australia 2626 -1 58.42 36 2664 43.04 3150 39.28

18 U.K. 4674 96 92.08 188 2381 31.99 6469 54.89

19 Malaysia 3116 44 67.97 82 2164 37.44 1649 17.78

20 Nigeria 2712 36 55.68 96 1993 28.44 876 9.56

21 Morocco 1451 -7 23.38 20 1566 19.52 843 4.47

22 UAE 1979 43 23.64 57 1386 15.10 2959 26.12

23 Egypt 3586 442 49.12 3384 662 1.41 4446 40.31

Grand Total (incl others)

174274 16 2988.40 34 150174 2230.27 137779 1242.14

TOBACCO BOARD


7.4. NON FCV TOBACCO

Non-FCV tobacco exports during 2009-10 accounted for 24% of total

unmanufactured tobacco exports. Variety-wise breakup of exports in comparison

with 2008-09 is as follows:


Variety 2009-2010 2008-2009 2007-2008

Qty. Value Qty. Value Qty. Value

Flue Cured Virginia 174274 2988.40 150174 2230.27 137779 1242.14

Burley 31270 423.90 20378 247.81 19622 143.58

Sun Cured Natu 5292 54.90 7780 82.56 4339 20.96

Top leaf/Jutty 2358 20.90 1502 12.28 2201 9.45

Lal Chopadia 7997 61.29 9633 61.38 5337 17.51

Others 8441 106.10 7660 78.98 5412 44.87

Total: 229632

3655.49 197127 2713.28 174690 1478.51

7.5. TOBACCO PRODUCT EXPORTS

Exports of tobacco products account for about 12% (in quantity terms) of

total exports of tobacco and tobacco products from India. In value terms the share

is about 17%. Exports of tobacco products during 2009-10 increased by 8% in

quantity terms and 11% in value terms. Exports of tobacco products during 2009–

2010 vis-à-vis exports in 2008–2009 along with figures for 2007-08 are as follows.

TOBACCO BOARD



Name of the

Product

2007-08 2008-09 2009-10 % Change

Qty. Value Qty. Value Qty. Value Qty. Value

Cigarettes 5833 145.14 7760 247.65 8022 276.81 3 12

Cut Tobacco 4680 54.82 4490 76.07 4665 79.31 4 4

Chewing Tobacco 8338 252.95 8154 283.73 8725 315.76 7 11

Hookah tobacco Paste 10656 45.70 6508 32.40 7905 47.99 21 48

Bidis 1003 44.22 731 34.43 532 25.78 -27 -25

Snuff 147 1.44 97 0.88 85 1.16 -12 31

TOTAL 30657 544.27 27740 675.15 29934 746.80 8 11

7.5.1. Cigarettes

Cigarette exports during 2009-10 increased by 12% in value terms over the

exports of previous year. Major markets for cigarettes are UAE, USA, Panama,

Saudi Arabia, Singapore, Malaysia and Romania where the demand for generic low

cost cigarettes is growing.

Exports of cigarettes to all major markets have increased significantly

during 2009-10. In addition, cigarette exports from India have diversified to

many new markets. Belize, Brunei, Costa Rica, Greece, Niger and Honduras are the

new markets. Exports to Egypt, Iran, Philippines, Singapore and USA declined by

large margins during 2009-10. On the whole the markets for Indian cigarettes are

expanding year by year.

TOBACCO BOARD


(Qty: tons; Value :Rs. Crores)

Country 2009-10 2008-09

Qty % Change

Value % Change

Qty Value

USA 1282 -21 54.43 -15 1626 64.40

UAE 1392 -2 46.20 37 1414 33.72

Saudi Arabia 719 -12 29.13 3 820 28.17

Singapore 523 -17 14.71 -4 629 15.32

Philippines 284 -28 11.91 -26 393 16.19

Qatar 317 -13 18.15 6 365 17.10

Panama 987 207 22.40 226 321 6.88

Romania 352 20 9.64 74 294 5.53

Kuwait 281 0 12.66 10 281 11.48

Malaysia 471 92 14.66 86 245 7.88

Cyprus 0 0 0 0 204 4.74

Egypt 72 50 1.53 -37 144 2.44

Guinea 116 21 2.19 10 96 2.00

Bahrain 104 2 6.11 23 102 4.95

Iran 15 -25 0.66 50 20 0.44

Turkmenistan 0 0 0 0 30 0.39

Total inc. others

8022 3 276.81 12 7760 247.65

7.5.2. Cut tobacco

Cut tobacco exports in 2009-10 increased by 4% compared to 2008-2009.

UAE (1837tons), Yemen (896 tons), Cyprus (751 tons) are major importers of

Indian cut tobacco. Establishment of cigarette manufacturing units in free trade

zones of UAE and opportunities for large-scale imports of cigarettes in Iran and

other neighboring Middle East and African countries, provide good scope for

exports of Indian cut tobacco.

TOBACCO BOARD


Ukraine and Denmark are new markets for this product in 2009-10, while

Guinea, Iraq, Maldives and Singapore have not imported any cut tobacco from India

during the year under report.

Exports to South Korea, China and USA declined marginally in quantity terms

as there was a drastic fall in exports of cut tobacco to South Korea by about 69%.

(Qty in Tons, Value Rs.Crores)

Country 2009-10 2008-09

Qty % Change

Value % Change

Qty Value

UAE 1837 22 27.98 42 1501 19.65

Cyprus 751 6 11.57 35 707 8.54

Yemen 896 43 17.83 29 625 13.82

Cambodia 435 -3 8.08 -15 448 9.55

S. Korea 97 -69 1.81 -60 313 4.55

USA 42 -84 1.47 -84 265 9.02

Singapore 0 0 0 0 245 3.92

China 161 -9 2.93 -29 176 4.11

Jordan 43 -35 0.99 -22 66 1.27

Iraq 0 00 0 0 65 0.57

Total (incl. Others)

4665 4 79.31 4 4490 76.07

7.5.3. Chewing tobacco

Exports of chewing tobacco increased by 7% in quantity terms and 11% in

value terms during 2009-10 as against the exports of 2008-09. More than 48

Countries have imported this product from India. Major imports are by UAE (4477

tons), Afghanistan (1383 tons), Saudi Arabia (980 tons), Yemen (496 tons),

Malaysia (323), Nepal (231 tons) and USA (160 tons). Iran had lifted the ban on

imports of Indian chewing tobacco which helped in reviving this market for Indian

chewing tobacco.

TOBACCO BOARD


Brazil, Egypt, Libya, Djibouti, Jordan, Slovenia, Germany, Kuwait, Tunisia,

Qatar and Greece had imported Indian chewing tobacco for the first time in small

quantities, while China, Iran and Tanzania had not imported any quantities this year.

Exports to major market UAE had declined by 2%.

(Qty. tons; Value – Rs. Crores)

Country 2009-2010 2008-2009

Qty % Change

Value % Change

Qty Value

UAE 4477 -2 147.69 3 4572 142.77

Afghanistan 1383 7 57.60 22 1294 47.33

S. Arabia 980 41 29.30 58 694 18.59

Yemen 496 -28 9.54 -42 688 16.36

Malaysia 323 37 7.65 33 235 5.76

USA 160 -4 19.24 -4 167 20.14

Nepal 231 65 3.21 23 140 2.61

Singapore 122 65 17.61 45 74 12.12

Kenya 77 67 3.25 73 46 1.88

Belgium 11 -72 0.56 -64 39 1.54

U.K 30 -21 2.69 -22 38 3.47

Iran 0 0 0 0 37 0.35

Total inc others

8725 7 315.76 11 8154 283.73

7.5.4. Hookah Tobacco Paste

Exports of Hookah Tobacco Paste increased by 21% in quantity terms and

48% in value terms on Y-O-Y basis. Major markets for this product are Saudi

Arabia (7011 tons), Tunisia (256 tons), Egypt (249 tons), and Brazil (60 tons).

TOBACCO BOARD


UAE which imported 48tons during 2008-09 had imported 4 tons during

this year.

(Qty: tons; Value : Rs. Crores)

Country

2009-10 2008-09

Qty % Change

Value % Change

Qty Value

S.Arabia 7011 16 36.66 54 6055 23.87

Tunisia 256 2227 1.66 632 11 0.23

S. Africa 128 2 3.34 11 127 3.00

Brazil 60 -21 1.59 -16 76 1.90

Egypt 249 408 1.21 356 50 0.26

UAE 4 -92 0.10 -66 48 0.29

Yemen 20 -47 0.06 -55 38 0.13

Libya 0 0 0 0 37 0.16

Total inc others

7905 21 47.99 48 6508 32.40

7.5.5. Bidis

Bidi exports in 2009-2010 have declined by 27% over last year in quantity

terms and 25% in value terms. Major export destinations are UAE (326 tons),

Afghanistan (44), Singapore (43 tons) and Iran (42 tons). Exports to UAE were

down by 27% in quantity terms. Exports to Afghanistan and USA had also declined

by 42% and 7% respectively. Hong Kong, Bahrain and Bahamas are the new markets,

while Oman, Brazil, and West Indies had not imported bidis in 2009-10.

( Qty. tons; Value – Rs. Crores)

Country

2009-10 2008-09

Qty % Change Value

% Change Qty Value

UAE 326 -27 17.79 -25 445 23.69

Afghanistan 44 -42 1.44 -37 76 2.28

Singapore 43 -42 1.71 -4 61 1.77

Iran 42 -14 0.89 -46 50 1.64

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Yemen 25 0 1.48 30 24 1.14

USA 13 -7 0.85 -5 14 0.90

Total inc others

532 -27 25.78 -25 731 34.43

7.5.6. Snuff

Exports of Snuff are in the order of 85 tons, valued Rs.1.16 crores against

97 tons exported last year. China is the major market (59 tons) for Indian snuff

accounting for 69% of total exports. Tanzania, South Africa and USA are other

important markets. Netherlands, Singapore which imported sizeable quantities of

snuff last year had not imported any quantities this year. Tanzania, South Africa ,

UK and West Indies are new markets for this product in 2009-10.

(Qty. tons; Value – Rs. Crores)

Country

2009-10 2008-09

Qty % Change Value % Change Qty Value

Yemen 0 0 0 0 51 0.18

China 59 51 0.73 62 39 0.45

Tanzania 9 0 0.11 0 0 0

South Africa 9 0 0.11 0 0 0

USA 1 -75 0.04 -79 4 0.19

Total Inc others 85 -12 1.16 31 97 0.88

7.6. EXPORT PROMOTION ACTIVITIES

7.6.1. Fairs & Exhibitions Abroad

Tobacco Board had participated in the following Fairs/Exhibitions during

2009-10 for promotion of exports of Indian tobacco and tobacco products and

create a brand image in the International markets.

7.6.1.1. China Import and Export Fair (Canton Fair) Guangzhou, China 15-19 April, 2009:

China Import and Export Fair (Canton Fair) Guangzhou, China exhibition is

world’s second largest fair held at Pazhou Complex, located in the Pazhou Island in

southern part of Guangzhou, China during 15-19 April 2009. Federation of Indian

TOBACCO BOARD


Export Organizations (FIEO) by organizing Indian pavilion for a special focus on

Indian Export products. Sri V.Manmadha Rao, Regional Manager, Tobacco Board

and Sri Ajit Kumar, Section Officer, Ministry of Commerce, Government of India

participated in this exhibition and put up the Tobacco Board’s Stall. Tobacco Board

stall was set up in Stall No. 9.3 H17 in a space of 9 sq mts. Tobacco Board displayed

an array of samples of un-manufactured tobacco varieties, cigarettes, Cut tobacco,

bidis, chewing tobacco, Hookah tobacco and Snuff in this exhibition. Apart from

Tobacco Board, M/s Godfrey Philips India Ltd., a manufacturer have also

participated in this event by putting up a stall. About 25 enquiries were received

from customers showing interest in import of Indian un-manufactured tobacco and

tobacco products viz., Bidis and Cigarettes and these enquiries were circulated to

all exporters.

A presentation on Indian tobacco was given by the Regional Manager,

Tobacco Board to the delegates at the trade fair on 17.04.2009.

7.6.1.2.World Tobacco Asia 2009 – Bali, Indonesia – 22-24 April, 2009:

Smt. Manju Prasannan Pillia, Director of Auctions, DOA, Bangalore and Shri

K. Kaladhar, Assistant Manager, Tobacco Board participated in World Tobacco Asia

2009 at Bali, Indonesia, an exclusive tobacco event held at Bali International

convention centre, Bali during 22th – 24th April, 2009. Tobacco Board had put up a

stall no:52 in a space of 18 sq. mts. The event was organised by DMG World Media,

publishers of ‘World Tobacco’ magazine.

Tobacco Board had exhibited the samples of various varieties of Indian

tobacco and tobacco products – cigarettes, bidies, cigars, chewing tobacco-hookah

tobacco paste and snuff. More than 100 International exhibitors participated and

about 2500 visitors from all over the world participated in this exhibition. Good

number of representatives visited the Board’s stall and a total of 17 enquires were

received, which were circulated to exporters for their follow up.

TOBACCO BOARD


A high profile conference entitled ‘The World Tobacco 2009 Conference’ –

Dr. J. Suresh Babu, Chairman, Tobacco Board was invited to the conference as a

guest speaker. The Chairman spoke on the topic ‘ WT Indian 2010 preview:

Improving India’s productivity and competitiveness in the global market’ on 22nd

November, 2009.

7.6.1.3.Tab Info Asia 2009, Bangkok, Thailand 11th to 13th November,2009:

TABINFO-ASIA an exclusive world tobacco show was held at Banngkok

during 11-13 Novmber, 2009. The exhibition represented all spheres of tobacco

industry from raw material suppliers to manufacturers of tobacco products.

Manufacturers of cigarette manufacturing and packing machinery also participated

in the show. Dr J. Suresh Babu, Chairman, Tobacco Board and Sri P. Manoj Reddy,

Auction superintendent, Tobacco Board participated in this exhibition and put up

the Tobacco Board Stall. Tobacco Board stall was set up in Stall No. 11 in a space of

18 sq mts. Tobacco Board displayed wide range of cigarettes, bidis, cigars, chewing

tobacco, Hookah tobacco paste and Snuff in this exhibition. About 18 enquiries

were received from customers showing interest in import of Indian un-

manufactured tobacco and tobacco products viz., Bidis and Cigarettes and these

enquiries were circulated to all exporters.

7.6.1.4.India Products Show, St.Petersburg, Russia during 30th September-3rd October,09:

An exclusive ‘India Show’ was held at St.Petersburg, Russia from 30th

September – 3rd October, 2009. In this mega event Tobacco Board took the

opportunity to promote Indian tobacco and tobacco products in St. Petersburg.

Russia is the 3rd largest producer of cigarettes after China and USA in the world.

Russia is the single largest market for Indian tobacco, accounting for about 30% of

total exports from India. Dr. J. Suresh Babu, IAS, Chairman, Tobacco Board and

Shri J. Vijaya Kumar, Liaison Office In-charge, New Delhi participated in this

exhibition and put up the Tobacco Board’s Stall. Tobacco Board stall was set up in

Stall No. 6. Tobacco Board displayed an array of samples of un-manufactured

TOBACCO BOARD


tobaccos and wide range of cigarettes, Cut tobacco, bidis, Cigars, chewing tobacco,

Hookah tobacco and Snuff in this exhibition. Tobacco Board’s stall in this

exhibition received good response as variety of tobacco and tobacco products are

displayed.

7.6.2 Advertisements abroad

Tobacco Board issued advertisements in International tobacco magazines -

Tobacco Reporter, Tobacco Asia, Tobacco International, World Tobacco, Tobacco

Journal International and World Tobacco Directories and Buyer Guides every year

highlighting the merits of Indian tobacco for promoting its brand image in the

world market. During 2009-10, Tobacco Board had issued a total of Eighteen

advertisements - five in Tobacco Reporter; three in Tobacco Asia, three in Tobacco

International, one in World Tobacco, five in Tobacco Journal International and one

in Tobacco Traveler.

7.6.3 Issue of RCMCs under Exim Policy

As per the provisions of Foreign Trade Policy of Government of India,

Tobacco Board issues Registration cum Membership Certificates (RCMC) to

exporters of tobacco & tobacco products to enable them to avail export benefits

like DEPB under the existing policy. The Board had issued in total 40 Registration

cum Membership Certificates to the exporters of tobacco and tobacco products

during the year 2009-2010, under the Exim policy within five working days of the

receipt of the application.

7.6.4. Issue of certificates of origin

Under the Regime of the Generalized System of Preferences (GSP) of

European Union, Tobacco Board is authorised to issue certificates of Authenticity

TOBACCO BOARD


certifying the origin of tobacco. The Board is also authorised to issue certificates

of origin under GSTP and Bangkok Agreements.

During 2009-10, the Board had issued 1705 GSP and GSTP certificates of

origin (Form A) to the exporters to help their customers claim duty concessions on

the tobacco imported from India.

7.7 TRADE ENQUIRIES

The Trade enquiries sourced from Embassies and High Commissions of India,

various exhibitions and those received directly from importers were passed on to

the concerned exporters. A total of 10 enquiries received from importers directly

and 60 enquiries received during exhibitions were circulated to exporters during

2009-10.

7.8 MARKET INFORMATION Board had collected the information on production of tobacco, farm prices,

exports, unsold stocks pertaining to the major tobacco producing and exporting

countries, and relevant information was disseminated to the exporters in “Tobacco

News Capsule”.

aar 2009-10 final p&c - tobacco...

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