Presentation on Cigarette

Robin Christian11PGDM003

Tobacco cultivation has a history of about 8000 years.

Portuguese traders introduced tobacco in India during 1600. Tobacco became a valuable commodity in barter trade and its use spread rapidly.

Gradually tobacco got assimilated into the cultural rituals and social fabric due to presumed medicinal and actually addictive properties attributed to it.

Introduction of Tobacco Industry

It was to discover a sea route to this fabled land, reputed for its spices, silk and gems, that Christopher Columbus set sail in 1492.

Historical Overview of Tobacco in India-

A cigarette is a product consumed through smoking and manufactured out of cured and finely cut tobacco leaves and reconstituted tobacco, often combined with other additives, then rolled or stuffed into a paper-wrapped cylinder (generally less than 120 mm in length and 10 mm in diameter). The cigarette is ignited at one end and allowed to smoulder for the purpose of inhalation of its smoke from the other (usually filtered) end, which is inserted in the mouth.

What is cigarette?

Tobacco cultivation has sustained despite social disapproval because of domestic demand (beedi tobacco) and the international market (flue-cured Virginia tobacco).

Tobacco plays a significant role in the Indian economy as it contributes substantially in terms of excise revenue, export revenue and employment.

India is the world’s second largest producer of tobacco and also the second largest consumer of unmanufactured tobacco. It is a major exporter of unmanufactured tobacco.

The total social costs of tobacco products exceed the direct outlay on them, owing to morbidity, mortality and negative externalities associated with the consumption of tobacco products.

Tobacco in Indian Economy

Area, production and yield of tobacco in India

Source: Directorate of Economics and Statistics, Ministry of Agriculture.Various issues. Area and Production of Principal Crops in India.

Distribution (%) of production of different types of tobacco in India.

1. European Union ... 18.1% of world total2. Brazil ... 16.6%3. United States ... 9.9%4. Zimbabwe ... 9.1%5. Turkey ... 6.5%6. China ... 5.6%7. India ... 5.5%8. Malawi ... 5.3%9. Russia ... 3.9%10. Other European countries ... 2.0%

Top Tobacco Leaf Exporting Nations

1. China ... 2.66 million tonnes (38% of world total 7 million tonnes)

2. European Union ... 0.71 million tonnes (10.2%)3. India ... 0.52 million tonnes (7.4%)4. Russia ... 0.44 million tonnes (6.4%)5. United States ... 0.43 million tonnes (6.2%)6. Brazil ... 0.23 million tonnes (3.3%)7. Japan ... 0.18 million tonnes (2.6%)8. Indonesia ... 0.17 million tonnes (2.4%)9. Turkey ... 0.14 million tonnes (2%)10. Pakistan ... 0.10 million tonnes (1.4%)

Top Tobacco Consuming Nations (2005)

India is the second largest producer of tobacco in the world. China and the USA rank first and third, respectively, in terms of tobacco cultivation.

In 2000–2001, the contribution of tobacco to the Indian economy was to the extent of Rs 81,820 million, which accounted for about 12% of the total excise collections. Foreign exchange earnings during the same period were Rs 9030 million, accounting for 4% of India’s total agricultural exports.

Tobacco Industry Today

Even the growing awareness of health risks isn't stopping global tobacco consumption, particularly in the fast-growing BRIC nations (Brazil, Russia, India & China). In addition to leading the world in tobacco consumption as shown below, China is also the world's foremost cigarette-consuming country.

Consumption

Globally, tobacco output rose from 4.2 million tonnes in 1971 to an annual average of 6.9 million tonnes in 1998-2000.

The Food and Agriculture Organization (FAO) of the United Nations projects that world tobacco leaf production will reach 7.1 million tonnes by 2010, although tobacco leaf production in developed nations including the U.S. will fall.

Production

The government receives a huge amount of taxes from cigarettes companies and it actually uses the money to help fund the welfare program, which a lot of people can benefit from.

When we think of tobacco, the first things that come to mind are cigarettes, second-hand smoke, lung cancer and early death.

The benefits of tobacco are evident to farmers who use their land for growing the cash crop.

Advantages of Cigarette Smoking

Decreased lung capacity Increased risk of many health conditions just to name a

few big ones ◦ Heart disease◦ Coronary Artery Disease◦ Lung Cancer◦ Chronic Obstructive Pulmonary Disease (COPD)◦ Emphysema◦ Spending money◦ Trouble breathing, shortness of breath◦ Decreased immune system response◦ Decreased oxygen to tissues throughout the body

Disadvantages of Cigarette Smoking

cigarette smoking is a dependence, which causes an addiction that is difficult to break.

The long-term affects result in tobacco related diseases, which negatively affects the cigarette smoker.

However everyone who is exposed to 2nd hand cigarette smoke also becomes a passive smoker by default.

More than 47,000 Canadians will die prematurely each year due to tobacco use. Almost 8,000 non-smokers die each year from exposure to second-hand smoke.

Conclusion