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WORLD DEVELOPMENTS

RECENT REPORTS:

WHO Framework Convention on Tobacco Control: In May 1999, the World Health Assembly, which is the governing body for the World Health Organization (WHO), unanimously backed a resolution calling for a Framework Convention on Tobacco Control (FCTC). The WHO resolution calls for the adoption of the framework convention and possible related protocols by May 2003. The United States announced support for the convention and has formed an interagency working group to develop guidance for U.S. participation in the convention. In October 1999, and again in March 2000, the WHO held meetings of the FCTC Working Group with a purpose of preparing proposed draft elements of the convention and possible protocols. Formal negotiations of the FCTC and possible related protocols began October 16th in Geneva.

A convention is a treaty, an international legal agreement, which generally entails more general or limited obligations. A protocol, also a form of treaty, typically involves more specific legal obligations and supplements, clarifies, amends, or qualifies an existing international agreement such as a convention. For more information on FCTC developments, visit the World Health Organization’s FCTC websight: http://tobacco.who.int/en/fctc/ 

AUCTIONS:

Canadian Flue-Cured Auction Update: Through the 9th sale day of the 2000/01 Canadian flue-cured tobacco marketing season, the Ontario Flue-Cured Tobacco Growers Marketing Board reports that 5,581 metric tons of flue-cured tobacco have been sold. This represents a 7-percent increase in volume when compared to the same period of last years’ marketing season. Prices in Canadian currency so far this year are averaging $3.57 (US$2.36) per kilogram, up from $3.34 (US$2.21) per kilogram last year. So far this year, sales of grade "A" leaves account for almost 69 percent of purchase, up 10 percent from last year.

Zimbabwe Tobacco Auction Update: Zimbabwe’s Tobacco Marketing Board reported that 203.5 million kg of flue-cured tobacco was sold after 25 weeks of the auction season for an average price of U.S. $1.68 per kilogram, up nearly 6 percent in volume and down nearly 4 percent in value for the same period a year ago. Recently, demand is reported down due to a decline in leaf quality and an increased number of bales declared defective .

U.S. DEVELOPMENTS

RECENT REPORTS:

U.S. Industry Buys 358 Million pounds of 1999 Flue-cured Tobacco: The U.S. Department of Agriculture announced that U.S. cigarette manufactures purchased 357.9 million pounds of farm sales weight flue-cured tobacco from July 1, 1999, through June 30, 2000, when compared to 476.3 million pounds in the 1998-1999 marketing year. For complete report go to FSA PR#1622.htm

$340 Million in Payments to Assist Tobacco Farmers: Agriculture Secretary Dan Glickman announced that the Department of Agriculture Commodity Credit Corporation began distribution of $340 million to compensate tobacco farmers who suffered a reduction of tobacco quota or acreage for the 1999-2000 crop years. For complete report go to FSA PR#1618.htm

Glickman Announces Tobacco Commission Members and Forums: Agriculture Secretary Dan Glickman announced the membership of the President’s Commission on Improving Economic Opportunity in Communities Dependent on Tobacco Production While Protecting Public Health. For complete report go to FSA PR #0364.htm

AUCTIONS:

U.S. Flue-Cured Auction Update: Through the 11th week of the 2000 auction season, total flue-cured sales reached 260,296 metric tons at an average price of $3.95 per kg. This represents a 20-percent decrease in volume and a 3-percent increase in price when compared to the same period last year. Loan receipts so far this season reached nearly 5 percent gross sales compared to 19.3 percent gross sales of the 1999/2000 marketing year. Based on the effective quota, about 92 percent of the 2000 flue-cured crop has been sold at auction. For complete report go to AMS.MNCS/index.htm

 

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Last modified: Wednesday, November 26, 2003