Denizli Tobacco Agriculture Report for 2017
Tobacco production in Turkey No. 4733 dated 3/1/2002 and the Tobacco and Alcohol Market Regulatory Authority of the Law on the Organization and Duties are performed based on a contract written according to Article 6. The province that produced the most tobacco in 2016 is DENİZLİ. 74,238 tons of tobacco was produced in our country in 2016. Denizli is in the 1st place with a production amount of 16,650 tons. All of the tobacco produced in Denizli is exported.
Contract Information:
For the 2017 production year, 12,280 producers in Denizli signed contracts with companies to produce 22,386 tons of tobacco. Tobacco was planted on an area of 231 thousand decares. 6 companies in our province have made tobacco production contracts.
DISTRICTS OF DENIZLI TOBACCO CONTRACT AND PRODUCTION INFORMATION IN 2017
Production:
Tobacco is produced in 12 districts of Denizli. Different diseases and pests occur every year in tobacco production areas depending on rainfall and temperature conditions. Agricultural organizations and technical personnel of tobacco companies are monitored for tobacco diseases and pests, training activities are carried out and when necessary, they are informed via text messages.
Tobacco production in our province starts in February and March with the preparation of the seedbeds. Our producers grow tobacco seedlings themselves. After the tobacco seeds are planted in the seedbed, they grow between 45-60 days. Tobacco planting takes place in April-May. Comminution begins 45-50 days after planting. Crimean tobaccos are dried in tobacco drying greenhouses and the production season is completed. The field cycle of tobacco continues for 3.5-4.5 months. The tobacco production period between February and October is a labor-intensive production that requires knowledge, skills and experience.
In Denizli, tobacco production is produced on an area of 19 decares per household. Although the yield per decare varies between 70-120 kg, it can be accepted as an average yield of 90 kg for 2017.
20,800 tons of tobacco production is expected in 2017, with a production increase of approximately 25% compared to the previous year.
Pricing:
The quality of tobacco was determined in November and December, and tobacco purchases started in February and will be completed in March.
6 companies have signed tobacco production contracts in Denizli. Pricing is made over 7 types. There may be changes in the type of prices according to the companies. The type-price scale tobacco purchases will be made, where the 1st grade is 18,80-19,0 TL and the 7th grade is 6,42-6,70 TL.
For 2016 product tobacco, approximately 285 million TL was paid to producers for 16,650 tons of tobacco production with an average price of 17.12 TL / Kg.
The purchases of tobacco products, which are the products of 2017, are continuing and an income of approximately 355 million TL is estimated.
Companies pay 2-3 times in advance to the producers with whom they make tobacco production contracts. During the production phase, the necessary seed, seedling, medicine, material, vehicle and transportation costs and their supply belong to the producer. However, some or all of the above can be given by the buyer in return for the price on the day it was provided or free of charge, by stating in the special provisions section of the contract in agreement.
Production cost
Tobacco companies cannot give up the Denizli region. Tobacco produced in 12 districts, especially Tavas, Kale, Güney, Buldan, and Bekilli, are in demand. Çalıköy, Sofular, Ebecik, Nikfer, Karaköy, Alaattin are the main production points. The approximate cost of tobacco production in Denizli Region in 2017 is as follows. Assuming that all goods, services and labor are purchased, the cost of tobacco production in 2017 was calculated as 16.92 TL / da.
Tobacco, which will contribute 355 million TL to Denizli's economy with its estimated production amount and the price to be realized, ranks 3rd after grape and wheat according to the gross production values of the province.
İzmir origin tobacco is in the oriental type tobacco class. These tobaccos are in the tobacco group with high aromatic and quality properties. Nicotine content is accepted as 0.5-1%. The sugar content is at the level of 15-18% and gives a sweet taste. Low nicotine content, suitable sugar ratio and high level of aromatic substances give cigarette blends the desired balance of taste and aroma. It improves cigarette blends, has good sauce (additives) absorbency and is an indispensable element of sauce cigarette blends. These tobaccos can be added to the blends at a rate of 10-15%. In this context, it has the opportunity to export 55-60 thousand tons of tobacco. In Denizli, tobaccos produced in 2014 were purchased from the producer for approximately $ 5.30 / kg. Although the export price of the tobacco in the region in 2015 varied between 12.6-1.3 $ / kg depending on their type, it could be accepted as an average of 7.6 $ / kg. Oriental-type tobacco is produced by Balkan countries such as Albania, Bosnia-Herzegovina, Bulgaria, Montenegro, Kosovo, Macedonia and Greece. The world needs oriental tobacco cigarette companies, they provide from Turkey and Balkan countries. Our country generates $ 400-450 million dollars of income from tobacco exports.
Our annual cigarette consumption is an average of 100 thousand tons, excluding customs evasion and pirated products. We are the 5th largest smoker in the world, with cigarette consumption of 15–16 billion dollars.
Evaluation of 2017 Tobacco Market:
The production of tobacco products in 2017 was 25% more than last year due to the increase in production area and rainfall. The quality of tobacco is also low compared to previous years. In market observations, it is observed that prices between 19 TL and 11 TL are realized.
In previous years, due to the production-export balance, companies bought almost all of the tobacco at the highest price (1st price) in the contract without making much distinction between good and bad. These practices in the past have created high price expectations for manufacturers.
It has led some of the producers, who have high price expectations, to produce by keeping the quality elements in the field selection, fertilization, irrigation, crushing-drying in the second place. Ideal tobacco production is done in the form of family agriculture. Due to the reasons listed above, people who plant more tobacco than they can process themselves are not satisfied with the prices given due to high production costs.
Tobacco purchases in our city will be completed at the end of March. Producers who do not like tobacco prices object. Objected tobacco is re-evaluated by a committee formed under the presidency of TAPDK Experts.
70% of the tobacco producers in our city are over the age of 50. It is thought that tobacco production will tend to decrease in the coming years due to the farmers who turn to the production of herbs and medicinal plants in the fields of migration, retirement or tobacco. Tobacco companies have difficulty finding young and new producers to contract.
Tavas, Kale and Beyağaç Districts meet approximately 70% of Denizli's tobacco production. Tobacco business is done as the first job. Tobacco has an important place in the economy of the region. 13.02.2018