Argentina:  Argentine total leaf production for 2002 is expected to reach a record level, totaling  127,500 metric tons, up nearly 30 percent from the previous year.  Much of this increase is due to an additional 5,500 hectares of tobacco being planted along with favorable weather conditions. Flue-cured production in 2002 is estimated to total 71,700 tons, compared to 54,400 tons in 2001.  Flue-cured and burley leaf exports combined account for 93 percent of Argentine leaf exports, and are estimated up 1 percent and 15 percent, respectively, from the previous year.  The leading export markets for Argentine leaf are Paraguay, the United States, and the European Union.  Argentine leaf prices are not expected to decrease significantly in 2002 despite the devaluation in the peso.   AR2030

Bulgaria:  Bulgarian leaf production is likely to increase for all types due in part to financial incentives giving the industry by the government.  Total leaf production for 2002 is forecast at 50,210 tons, up nearly 23 percent from 2001.  Total leaf imports are forecast to decline by 14 percent in 2002, although the domestic cigarette industry is still expected to buy most of its needed higher quality flue-cured and burley tobaccos from foreign sources.  Despite an improvement in local leaf quality, domestic stocks of lower quality leaf will likely increase in 2002, and push total leaf stocks to 30,809 tons.   BU2008

Egypt:  Total leaf  imports in 2002 are projected at 57,500 tons, up about 2 percent from 2001.  Although Egypt prefers American tobacco because of its high quality and flavor, its high price makes it prohibitively expensive for the Egyptian market.  The Egyptian leaf market has long been considered very price sensitive.  The leading sources of Egyptian leaf imports in 2001 were Malawi and China.   EG2011

Germany:  German cigarette production is forecast at 218 billion pieces in 2002, up 2 percent from the previous year.  Much of this increase is due to a rise in cigarette sales to the Spanish and Italian markets.  For 2002, cigarette exports are expected to increase by nearly 4 percent over 2001.   GM 2007

Italy:  Leaf production for 2002 is forecast to remain within the European Union’s tobacco quota for Italy and reach 130,400 tons, unchanged from 2001.  Area planted to leaf is expected to increase slightly.  Italian leaf exports are forecast to decline about 4 percent from last year.  The leading export markets for Italy are the European Union, Eastern Europe, and the United States.   IT2007          

Korea:  The Korean Tobacco and Ginseng Corporation ended their monopoly control in 2001 and have begun contracting for leaf based on volume rather than area planted.  Total leaf production is forecast to drop about 6 percent because of this change.  Korean cigarette manufacturers have also begun streamlining the industry in an effort to regain market share lost to foreign brands.  Consumer preference for cigarettes has shifted toward higher quality foreign brands in recent years.   KS2019

Malaysia:  As the Malaysian economy improves, the demand for American-style cigarettes is expected to grow.  Cigarette production in 2002 is forecast to rise by 10 percent from last year.  Ample domestic leaf production is expected to dampen the demand for foreign leaf.  Domestic leaf production in 2002 is estimated at 10,520 tons, up 12 percent from the previous year.  Leaf imports in 2002 are forecast to drop nearly 25 percent.  MY2023

Russia:  Cigarette production is expected to exceed domestic demand for the third consecutive year and reach 375 billion pieces compared to 374 billion pieces in 2001.  High cigarette stocks are expected to help boost cigarette exports in 2002 to nearly 5 billion pieces, up 56 percent from the previous year.  Major export markets for Russia include the Ukraine and Belarus. RS2014