Tobacco Outlook No. (TB-25601) 9 pp

June 2004

Production Costs and Returns for Tobacco in 2002

Both the gross value and the cash costs per acre for tobacco were lower in 2002 than in 2001, with the gross value of production falling more than the decline in cash costs. Consequently, net returns per acre were lower for burley and flue-cured. Lower gross production value was due primarily to yield losses caused by drought and disease in 2002.

Keywords: tobacco, burley, flue-cured, cost of production, net returns, cost factors

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