The Hartford republican. (Hartford, Ky.) 18??-1926, 1920-04-30
TOBACCO SITUATION.
Extension Division, College Of Agri-
culture, Kentucky University.

After a careful investigation into
the condition of the tobacco market:
of the United States and such foreign
countries as information can be Sc
cured from and based entirely upon a
normal production per acre, for the
tobacco acreage now in sight. the De-
partment of Markets submits the fol
lowing report for the information OF
tobacco growers and buyers in this
state:
The acreage to be devoted TO to-
bacco in the U. S. will probably in
crease, by about ten per cent over
1919, Kentucky will change the least
in acreage of any of the great to-
bacco producing states. indications
are that crop acreage will be increas-
ed from ten to fourteen per cent in
the Carolinas and Virginia, and five
hundred fer ctnt in Georgia. The ex-
plana-ion Of the increase VI the latter
lies in thu IG1t that farmers in Geor-
gia are taking to tobacco as a means
of utilizing acres attacked by the boil
weevil not now suitable for cotton.
Foreign acreage seems to have in
creased very little, but the condi-
ton of the India tobacco crop is
greatly improved over that of the
same period last year. With nor
should be a considerable increase in
tonnage over that produced in 1919
Something like three time as much
tobacco was exported during 1919 as
was normally sent out of the country,
and the demand for this tobacco in
Europe, altho great, was not suffi-
cient. with the available outlets, to
consume it, in any measure, as fast
as it was being shipped. As re-
suit, the glut above mentioned, now
exists in some European countries.
We have, therefore, this year, full
market in America as was the case
last year, but with the difference that
as great quantity as before. In fact,
some English firms are willing to ex-
port tobacco from England to Ameri-
ca, in order to lessen their stock.
Price Indications for 1920.
- With the acreage now planned, IL
a normal yield per acre is produced
% oil htrr
highest type of cigarette leaf, should
show a marked falling off during the
market season of 1920, and even the
highest quality leaf may suffer from
competition with the Virginia type.
Since 1917, there has been constant
trend toward an over-production OF
tobacco but this was not felt because
of the sudden economic changes at
the close of the war, and the high |
prices of last years hurley market |
were a direct result of the lifting Of |
surplus stocks in this country and
partial failure of the Eastern Ameri-
can crops, together with a reflected
advantage from a short crop in India
which caused hurley tobacco to be
exported in far greater quantities
than ever before. With these advan-
tages nullified, it seems reasonable
to expect hurley tobacco to recede in
price in the market of 1920. Land
suitable for the production of high
type hurley should, however, produce
a good revenue.
The situation in dark tobacco is
entirely different from that affecting
hurley, for while hurley is chiefly us
ed in domestic consumption, in a
country which can afford to pay high
prices for manufactured tobacco, the !
Kentucky dark tobacco finds
a market chiefly in European coun-
tries and, more especially, in France
and Italy. The present deplorable
situation in dark tobacco is a direct s
result of two factors. the present sit /
nation of foreign exchange, and the I
Tact that growers were either unwil- Q
ling or unable to market their tobac- e
20 early in the season.
The first factor acts more as /
blockade of trade as a depressor of 7
PRICES, as the rate of foreign exchange b
n Italy and France is such that to- e
1acco, at any fair price to American v
growers, represents a very large ex- e
Denditure when translated into a
French or Italian currency. This b
makes trading, in any large il
quantity, almost impossible, as the h
'Ower of the consuming public to pur- "
base tobacco at such prices is limit "
ID. The farmer and buyer in hand h
ing tobacco for these countries, must
IlsO take into consideration the spec
llative feature involved in verying u
obacco prices and shifting exchange p
ates which make any undertaking in Ct
his connection more than ordinarily N
hazardous. e,
The second factor is accounted for b
y the fact that delay in sending to- a.