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Tag: Brazil

  • Brazil Attacking its Own Farmers, Critics Say

    Brazil Attacking its Own Farmers, Critics Say

    The International Tobacco Growers’ Association (ITGA) criticized Brazil for sending an “anti-tobacco” delegation to COP11, pointing out the hypocrisy for the third-largest tobacco grower in the world. In contrast, it pointed to Poland, which reportedly defended its 30,000 growers who held protests in Warsaw ahead of the conference.

    “Farmers also highlighted the hypocrisy of reducing European production only to replace it with imports,” the ITGA wrote in its daily update. “In Geneva, Poland’s delegation reinforced these concerns with strong statements defending growers and calling for balanced policymaking.

    “In stark contrast, Brazil—where more than 133,000 farming families rely on tobacco—has sent one of the most aggressively anti-tobacco delegations, showing little regard for the livelihoods at stake in its own domestic sector.”

    Romeu Schneider, vice president of Afubra (the Tobacco Growers’ Association of Brazil), voiced his opposition to the Brazilian government’s tobacco policy. “Brazil should never have ratified the FCTC, as it compromises national sovereignty and threatens Brazil’s tobacco market, which is valued for its quality and volume and has promoted many social and environmental initiatives in rural communities,” he said. “Tobacco is economically and financially crucial for a developing country like Brazil, yet current policies risk ceding this market to other countries. These measures are deeply concerning and place Brazilian producers in a difficult position, prompting strong indignation from our side.”

  • Smoking Rises in Brazil as Vaping Ban Fuels Illegal Market

    Smoking Rises in Brazil as Vaping Ban Fuels Illegal Market

    For the first time since 2007, the number of smokers in Brazil increased last year, according to a Health Ministry survey. The trend is alarming in a country once hailed internationally for its successful anti-smoking policies, which had steadily reduced smoking rates for decades.

    The same survey found that 2.6% of Brazilian adults—about 4 million people—now use electronic cigarettes, despite a nationwide ban in place since 2009. With no regulatory oversight, these products circulate exclusively in clandestine markets, exposing users to unknown health risks and strengthening illegal networks.

    Public health experts warn that prohibition alone may be backfiring, citing examples from other countries, like the UK, Sweden, Japan, and Canada, where regulated e-cigarettes have contributed to falling smoking rates. Critics argue that Brazil must reconsider its approach, shifting from prohibition to regulation based on scientific harm reduction.

  • Despite Ban, 1-in-9 Brazilian Teens Vape

    Despite Ban, 1-in-9 Brazilian Teens Vape

    Despite a national ban on electronic cigarettes, one in nine Brazilian teenagers now uses e-cigarettes, according to a new survey conducted by the Federal University of São Paulo (Unifesp).

    The findings, released this week, are part of the Third National Survey on Alcohol and Drugs (Lenad 3), which surveyed around 16,000 people aged 14 and up across Brazil. The results show that e-cigarette use among teens is five times higher than traditional cigarette smoking, indicating a major shift in youth nicotine consumption.

    Dr. Clarice Madruga, a professor of psychiatry at Unifesp and the study’s lead author, says that easy online access to e-cigarettes—despite the national prohibition—has fueled the trend.

    “We had a major success story with policies that led to a steep decline in smoking,” Madruga said. “But a new challenge has completely disrupted that progress. Today, we’re seeing much higher consumption rates—especially among teenagers—which remain largely invisible.”

  • Brazil Projected to Crack $3B in Tobacco Exports

    Brazil Projected to Crack $3B in Tobacco Exports

    According to yesterday’s projection by consulting firm Deloitte, Brazil’s tobacco exports are expected to surpass the $3 billion mark in 2025. The forecast anticipates an increase of 10% to 15% in volume and value. In February, the projection was $2.977 billion.

    According to data from the Ministry of Development, Industry, Trade and Services, Brazil shipped 104,000 tons of tobacco in the first quarter of 2025. The volume was 1.78% lower compared to the same period in 2024, however, the value of sales rose by 12.85%, reaching $744 million. The main buyers of Brazilian tobacco in the first quarter were China, Belgium, Indonesia, the United States, and the United Arab Emirates.

    In 2024, Brazil exported 455,000 tons of tobacco to 113 countries, generating around $2.9 billion in revenue. This figure exceeded the historical average of the past decade, which stood at $2 billion. Brazil has been the world’s largest tobacco exporter for over 30 years. About 90% of its production is destined for international markets. In terms of overall production, Brazil ranks second only to China.

    “The preference of international customers for Brazilian tobacco is a direct result of the product’s quality and integrity, guaranteed by the Integrated Tobacco Production System,” said Valmor Thesing, president of the Interstate Tobacco Industry Union.

  • Zimbabwe Growers Encouraged to Prioritize Quality

    Zimbabwe Growers Encouraged to Prioritize Quality

    Predicting a significant increase in global flavor-grade tobacco supply for 2025, Zimbabwe’s Tobacco Industry and Marketing Board (TIMB) is urging growers to focus on quality by investing in an energy-efficient curing infrastructure, adopting precision farming techniques, and implementing improved agronomic practices.

    For the 2025 season, Zimbabwe saw a 2.75% increase in hectares planted, which combined with improved rainfall distribution and better agronomic practices, puts the projected national output between 280 million and 300 million kg depending on the weather. Last year’s output of 231.7 million kg of flue-cured Virginia tobacco was a 13.1% increase from 2023.

    The anticipated increase in Zimbabwe combined with projections that Brazil’s output will increase from 461.8 million kg in 2024 to at least 650 million kg in 2025 has experts predicting downward pressure on tobacco prices, particularly for middle to low-end grades.

    Tapiwa Masedza, the factory coordinator for the Tian Ze Tobacco Company, said the global demand for tobacco remains robust, with many companies struggling to meet supply orders due to last year’s reduced crop size. That combined with China’s need for top-end grades gives hope that prices will remain stable for premium leaf, however low- to medium-end grades prices are expected to drop.

    “While the anticipated increase in production is a testament to the sector’s resilience and growth, the potential price pressures underscore the need for strategic planning and investment in quality improvement,” Masedza said. “Mixing grades in bales, excessive moisture, and moldy tobacco can lead to discounts or rejections, ultimately affecting profitability.”

    TIMB is trying to help insulate local farmers from potential subdued prices resulting from excess supply with a new pricing system, expected to be implemented April 5. The system will determine the following day’s minimum price based on the average price of all tobacco sold — both at auction and through contracts — across all grades.

  • Tobacco Harvest Inaugurated in Rio Grande do Sul

    Tobacco Harvest Inaugurated in Rio Grande do Sul

    The tobacco harvest in Rio Grande do Sul has officially been inaugurated, according to SindiTabaco, the Interstate Tobacco Industry Union. In 2024, Brazilian tobacco was shipped to 113 countries and brought in $2.977 billion in revenue from 455,000 tons.

    Results have remained within the projected numbers from the Deloitte Marketing Consultancy in terms of volume (-15% and -10.1%), but revenue from foreign sales was adversely affected by global logistics issues, according to SindiTabaco President Valmor Thesing.

    “Despite all the climate-related problems faced in the 2023/24 growing season, first the prolonged drought and then the flood that occurred in Rio Grand do Sul, we managed to achieve a very positive performance,” said Thesing. “We did not achieve the $3 billion estimated by our research teams because of a global logistic problem. The crop was produced, processed, and commercialized, but we did not manage to ship it abroad before the end of 2024.”

  • Next Brazilian Crop Could Touch 700 Million Kg

    Next Brazilian Crop Could Touch 700 Million Kg

    Photo: Taco Tuinstra

    The South Brazilian tobacco crop for 2024/2025 will cover 309,982 hectares, marking a 9.08 percent increase from the previous crop, reports Kohltrade, citing the Brazilian tobacco growers’ association, Afubra.

    Paraná state recorded the largest growth at 13.63 percent, with 83,981 hectares planted. Santa Catarina follows with 11.78 percent, with 94,212 hectares planted and in Rio Grande do Sul, 131,789 hectares were planted, reflecting a 4.6 percent rise.

    More than 138,020 families will be involved in in this year’s tobacco crop, 3.57 more than in the previous season.

    “We are emerging from two very profitable harvests for many tobacco growers, leading to high profitability,” said Afubra President Marcílio Drescher. “As a result, more land is being dedicated to tobacco cultivation, with families returning to this crop. However, these developments are concerning. An increase in cultivated area during a period of stable weather could lead to higher production levels, which may negatively impact producers’ income.”

    In terms of production volume, the initial estimate indicates a boost of 37.08 percent, leading to a total production of 696,435 tons in southern Brazil. This includes 630,539 tons of Virginia tobacco (36.52 percent), 54,624 tons of Burley tobacco (44.07 percent), and 11,272 tons of Common tobacco (36.45 percent).

    Representatives from grower organizations and tobacco companies are currently calculating the production costs for the 2024/2025 harvest. Price negotiations are expected to commence once this assessment is completed.

  • Stakeholders Mark Start of Brazilian Tobacco Harvest

    Stakeholders Mark Start of Brazilian Tobacco Harvest

    Photo: SindiTabaco

    Public authorities and representatives of the tobacco supply chain celebrated the Sixth Official Opening Ceremony of the Tobacco Harvest at the Afubra Expoagro Park in Rio Pardo, Rio Grande do Sul, Brazil.

    Afubra President Marcilio Drescher said that, following the recent short crop (see “The Great Scramble”), the sector is anticipating a normal year in terms of quality and productivity. “However, the crop is marketed after harvest and we feel anxious and hopeful in expectation for a good price,” he added.

    SindiTabaco president Valmor Thesing stressed the economic significance of tobacco to the state, and the importance of the integrated tobacco production system. “The opening of the tobacco harvest is a joyful and rejoicing moment that emphasizes the relevance of the tobacco supply chain,” he said in a statement. “It is a century-old crop that generates income and employment, brings in foreign currency and generates taxes.”

    Rio Grande do Sul produces 43 percent of all tobacco in southern Brazil, which in the 2023-2024 growing season harvested 508 million kg. In Rio Grande do Sul alone, tobacco employs almost 70,000 farmers in approximately 200 municipalities.

    Clair Kuhn, secretary of agriculture, livestock, sustainable production and irrigation, highlighted the availability of new financial resources to help growers with irrigation. “Tobacco farmers have never had the chance to get resources from  the government. Now they have that opportunity,” said Kuhn. According to the secretary, 264 projects have already been approved, with an additional 400 undergoing evaluation.

  • Brazil Leaf Exports Could Top $3 Billion: SindiTabaco

    Brazil Leaf Exports Could Top $3 Billion: SindiTabaco

    The value of Brazil’s tobacco exports could surpass $3 billion this season, according to the interstate tobacco industry union SindiTabaco.

    During an Oct. 30 meeting of the Sectoral Chamber of the Tobacco Production Chain, stakeholders shared information on the sector’s performance during the most recent growing season and their expectations for the upcoming crop year.

    According to the Ministry of Development, Industry, Commerce and Services, Brazil shipped 316 million kg of leaf tobacco between January and September, representing a 14 percent reduction compared to the same period in 2023.

    Production volumes were down 16.12 percent, to 508.04 million kg, in 2023–2022 due to excessive rainfall during the growing season. However, the depressed volume boosted the average price by almost 28 percent (see “The Great Scramble,” Tobacco Reporter, May 2024).

    In dollar terms, the value of the shipments to date are up 3.44 percent to $2.03 billion. The largest export destinations for Brazilian tobacco were Belgium, China, the United States, Indonesia and Egypt. In 2023, Brazil exported 512 million kg worth $2.73 billion to 107 countries, with the European Union acquiring the bulk (42 percent) of Brazilian leaf exports.

    SindiTabaco’s newly appointed president, Valmor Thesing, credited Brazil’s integrated system for the sector’s strong performance. “This is a demonstration that our integrated system is fully active, generating income, jobs and revenue,” he said in a statement.

    Some 133,000 families were involved in producing southern Brazil’s 2023–2024 crop—6.62 percent more than during the previous season, according to the Brazilian Tobacco Growers’ Association, Afubra. A similar increase was seen in the planted area, which grew 8.57 percent to 284,184 hectares. “In recent harvests, there has been a more satisfactory average return for producers, which ends up stimulating the expansion of area and producers adopting tobacco cultivation,” explained Afubra President Marcilio Drescher.

    This year’s firm prices may boost next year’s harvest. “We are wrapping up cultivation in almost all areas, and we have noticed an increase in area, encouraged by the recent return,” said Drescher. “By mid-November, we should have some forecast regarding the cultivated area and the number of producer families involved in the activity,” he added.

  • Brazil Mulls Legalizing the Vaping Business

    Brazil Mulls Legalizing the Vaping Business

    Image: Patricia Fragoso

    Brazilian lawmakers are considering a proposal to legalize the vaping business, reports JP.

    E-cigarettes are currently prohibited in Brazil, but they are widely available throughout the nation. To restore order to the market, Senator Soraya Thronicke has proposed legislation that would regulate the production, commercialization, importation and use of vaping devices, as well as establish rules for control, inspection and advertising.

    Among other measures, the proposed legislation would require vaping companies to register their products with the health regulatory agency, the federal revenue service and other agencies. It also prescribes fines ranging from BRL20,000 ($3,678) to BRL10 million for those who sell vapes to buyers under 18 years of age.

    Proponents see regulation as a way to combat the illegal market and protect the population, especially youth. According to the Brazilian Institute of Geography and Statistics, 22.7 percent of Brazilian teenagers have experimented with electronic cigarettes.

    Lauro Anhezini Jr, a board member of the Brazilian tobacco industry association Abifumo, believes the ban is ineffective because it enables suppliers to skirt quality standards. “What we have in Brazil today are illegal products, without any type of oversight, and they pose a risk to consumers’ health, especially teenagers,” he was quoted as saying.

    Anhezini cited the example of the United States, where strict regulations have reduced youth consumption. “In the United States, after the creation of clear rules, the use of electronic cigarettes by teenagers dropped from 27.5 percent in 2018 to 5.9 percent in 2024. This demonstrates how regulation can bring a safer and more controlled scenario for consumers,” he said.

    According to Anhezini, regulation would allow for greater control over product quality, reducing health risks and especially protecting young Brazilians who have easy access to illegal products.

    The discussion also involves economic considerations. The federal revenue service estimates that controlled legalization of e-cigarettes could generate up to BRL700 million in annual revenue.

    However, the federal highway police warns that legalization will not necessarily reduce smuggling, citing the rampant illicit trade in the regulated combustible cigarette market.

    The bill is currently in the Senate’s Economic Affairs Committee and expected to return to the agenda in November.