January 2019 – Brazil shipped abroad 461 thousand tons of tobacco in 2018, generating approximately US$ 2 billion in revenue for the Country. Only from the ports of the three states of the South Region, where tobacco farming is concentrated, 457 thousand tons were shipped abroad, bringing in revenue of US$ 1.95 billion. The result guarantees Brazil’s position as the leading tobacco exporter in the world, for 26 years now (since 1993). The outstanding position in the international market was again confirmed by the Ministry of Development, Industry and Foreign Trade (now known as Special Secretariat of Foreign Trade and International Affairs).
Currently, tobacco represents 0.8% of Brazil’s total exports and 3.9% of the shipments in the South Region. Rio Grande do Sul, where the crop is rather representative, accounted for 7.4% of all exports. According to the president of the Interstate Tobacco Industry Union (SindiTabaco), Iro Schünke, Brazil is responsible for 25% to 30% of all global tobacco businesses. “In 2018, our exports receded slightly compared to the previous year, when 462 thousand tons were shipped abroad, bringing in US$ 2.09 billion”, he says. “This is mainly due to the postponement of the shipment to early this year of a certain amount of tobacco acquired by China”, he explains.
From Brazil’s entire tobacco crop, upwards of 85% is destined for abroad, shipped to 100 countries in all continents. The main market is still the European Union, which in 2018 was the destination of 41% of all leaf exports. The second biggest client is the Far East, with 24%. Then come Africa/the Middle East, with 11%; North America, with 10%; Latin America, with 8%, and Eastern Europe, with 6%. Belgium is the nation that is the biggest importer of tobacco from Brazil, followed by the United States (2nd), China and Indonesia. The list of the major clients includes Egypt (5th), Germany and Russia (7th).
HIGHLIGHT ALSO IN PRODUCTION – Brazil ranks as second largest global tobacco producer, coming only after China. In the 2017/2018 growing season, the production volume reached 632 thousand tons, representing
R$ 6.28 billion in revenue for the farmers and R$ 13.9 billion in taxes. Approximately 150 thousand family farmers cultivate 289 thousand hectares of tobacco in 556 municipalities. In all, 600 thousand people are involved in the rural setting and 40 thousand at industry level.
MAIN TOBACCO IMPORTING MARKETS IN 2018 (IN %)
European Union – 41%
Far East – 24%
Africa/Middle East – 11%
North America – 10%
Latin America – 8%
Eastern Europe – 6%
MAIN TOBACCO IMPORTERS IN 2018 (US$)
Belgium – US$ 446 million
The United States – US$ 190 million
China – US$ 165 million
Indonesia – US$ 125 million
Egypt – US$ 112 million.
Germany – US$ 80 million
Russia – US$ 79 million
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