Export of tobacco and tobacco products from India had declined in the wake of uncertainties caused due to COVID-19 pandemic such as lockdown restrictions, logistic problems, reduced frequency of shipping lines and increased freight rates, Union Minister of State for Commerce Anupriya Patel told the Rajya Sabha on Friday.
Replying to an unstarred question by BJP MP G.V.L. Narasimha Rao, she said delay in confirmation of orders had led to decline in exports. “Tobacco industry is in overall slowdown mode globally due to increasing restrictions being placed on smoking and tobacco consumption,” explained the Minister in a written reply, a copy of which was made available to The Hindu here by the MP.
She said the export up to October quarter of this fiscal was 2,14,412.68 tonnes worth ₹4,062.54 crore(US Dollars 548.60 million) as against export of 2,14,412.68 tonnes worth ₹6,496.99 crore (USD 876.71 million) during 2020-21. The export during 2019-20 was 2,18,844.89 tonnes worth ₹6,408.15 crore (USD 897.78 million) as against 2,31,805.84 tonnes valued at ₹6,857.94 crore ( USD 983.59 million) in 2018-19, 2,20,108.12 tonnes valued at ₹6021.71 crore (USD 934.25 million) in 2017-18 and 2,39,909.08 tonnes valued at ₹6,423.27 crore (USD 958.69 million), according to a report compiled by the Directorate General of Commercial Intelligence and Statistics (DGCI&S), Kolkata.
The Tobacco Board extended assistance to the trade for quick normalisation of the supply chain during lockdown period and striving to reorient production of tobacco to meet changing international demands and also enhance quality and productivity of tobacco.
The Finance Ministry decided against including flue-cured virginia tobacco under Scheme for Remission of Duties and Taxes on Exported Products scheme in view of its adverse health impact, she added.
