ECC approves minimum indicative prices for tobacco crops for 2022
ISLAMABAD – The Economic Coordination Committee (ECC) of the Cabinet on Monday approved the minimum indicative prices (MIPs) for various types of tobacco crops for year 2022.
A special meeting of Economic Coordination Committee (ECC) of the Cabinet was held Monday. Federal Minister for Finance and Revenue Shaukat Tarin virtually presided over the meeting to discuss the minimum indicative prices of tobacco. Federal Minister for National Food Security and Research Syed Fakhar Imam, federal secretaries and senior officers attended the meeting. Ministry of National Food Security & Research submitted proposals for minimum indicative prices of tobacco. The ECC, after detailed deliberation considered and approved following minimum indicative prices (MIP) of various types of tobacco crops for year 2022 for further submission to the Cabinet for its approval/ratification.
The ECC has fixed the MIP for Flue Cured Virginia (FCV) for plain area at Rs240 per kg and Rs281.13 per kg for FCV in sub-mountainous area. It has set MIP for Dark Air-Cured Tobacco (DAC) at Rs149.09 per kg and for White Patta (WP) at Rs123 per kg. MIP for burley has been fixed at Rs187.50 per kg and for Naswar/Snuff/Hookah and other Rustica tobacco and its products has set MIP at Rs123 per kg. Earlier, National Assembly’s Special Committee on Agricultural Products recommended that the minimum indicative price of tobacco should be fixed at Rs260/kg. The committee instructed the Pakistan Tobacco Board to ensure that no stock is left unsold with the farmers. It also said that urgent steps were needed to ensure that cigarette manufacturers purchase 1.4 million kg of surplus tobacco as per the quota assigned under PTB Marketing Rules.
On the other hand, representatives of farmers had asked the government to fix Rs300 per kg tobacco rate. They had asked the government to establish a chamber of agriculture on the pattern of chamber of commerce to address their grievances and frame a mechanism for the tobacco crop production and its procurement by the companies.