Fluctuation of Sweet Poison Industry

3 Min Read

By Ali Haider

Tobacco leaf that feeds and burns is known as “Sur Zar”— green gold in Khyber Pakhtunkhwa where farmers from different regions plant nearly 70 percent of Pakistan’s tobacco specially in Charsadda, Swabi and Mardan that takes approximately 1 percent of agricultural land. Recently the gap between triangle of government, tobacco companies and formers communication barrier has been discussed at Press Club Mardan, there the members of Khyber Tobacco Company (KTC) argued that we are legal players of this market but due to yellow journalism and illiteracy it is considered that KTC is a government entity and has responsibility to take care of farmers association unaware of laws and treaties before growing any tobacco.

Pakistan Tobacco Board PTB encourage contractual forming of tobacco. Every tobacco company for the purchase for their targeted requirements of Flue Cured Virginia (FCV) , Burley, Dark Air Cured (DAC), or Cigar tobacco shall execute agreements with the growers on the form prescribed by the Board by the 31st day of December in respect of the ensuring crop of the tobacco.

KTC is not facing any tobacco inflation but surplus for few years as report says in year 2025 the demand of tobacco was 24 million kilograms but due to big fish in industry they had to purchase 39 million kilograms, 15 million kilograms went into surplus. Farmers are requested to sign agreement before planting tobacco since they do not go through legal process so they might bargain in black business that’s how smuggling, corruption and out dated dues and payments occur (50 percent farmers payments are pending) however Pakistan’s unstable economic condition built a narrative that what is grown should sell, additionally the price shall not be lower than previous year, leads to criticality and complexity of the situation.

Pakistan lost Rs. 3 hundred billion in terms of tax so government criticize and published advertisment against tobacco companies what else can a company do that already pay per box of Gold Leaf Rs. 404 tax out of Rs. 483 as per last year statistics though it can not be over look that climate change in 2023 has transformed multinational trading mechanism. By the way smoking is injurious to health and abominable in public places specially on petrol pumps and gas stations for serious consequences experts analyzed hazards and installed fire extinguisher in case of emergency.

Also Read: Pakistan’s Tobacco Dilemma: Balancing Farmers’ Livelihoods, Industry Interests and State Regulation

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