DATE: 10/21/04

CONTACT: Dr. DeWitt Gooden, (843) 662-3526

WRITER: Tom Lollis, (803) 284-3343, ext. 241

Buyout plan will be big topic at statewide tobacco meeting

FLORENCE – South Carolina flue cured tobacco growers face some big decisions before the 2005 growing season begins.

The biggest is whether to keep growing tobacco or change directions with the aid of a $10 billion quota buyout package recently passed by Congress.

A South Carolina Statewide Tobacco Meeting on Nov. 11 at Lynches River County Park near Florence will help some growers make up their minds, according to DeWitt Gooden, Clemson Extension tobacco specialist.

More than $700 million will be paid to South Carolina quota holders and tobacco growers over the next decade under the buyout plan.

“Some producers will no doubt decide to quit growing tobacco,” said Gooden. “Others, especially those who are able to get a contract from one of the buying companies, will probably continue to grow tobacco. The price per pound won’t be what it was this year, and I’m not sure there will be a niche for producers who can’t get a contract.

“It boils down to a lot of unknowns,” he said.

Blake Brown, agricultural economist from North Carolina State University , will be on hand on Nov. 11 to go over details of what is known about the buyout.

South Carolina producers harvested just over 59 million pounds of flue-cured tobacco on 27,000 acres this year. The crop was worth $115.3 million.

“It will be important to produce tobacco more economically after the buyout,” said Gooden. “Varieties with good disease resistance and quality will be important in the new era since the sale price will be less and there will be no safety net.” He will talk about some new varieties at the meeting.

Bruce Fortnum, Clemson University plant pathologist at the Pee Dee Research and Education Center , will discuss tobacco disease control issues and Clemson entomologists Don Manley and Albert Johnson will cover insect management.

A representative from the Flue Cured Tobacco Stabilization Corporation will discuss tobacco stabilization issues and comments will be made by representatives from the S.C. Tobacco Growers’ Association, the S.C. Farm Bureau and the Farm Service Agency.

CCA and Pesticide Recertification Credits will be available.

Registration will begin at 9:30 a.m. and the program starts at 10. Lunch will be provided around 12:30 p.m. and the meeting will adjourn at 1:35 .

Lynches River County Park is 10 miles south of Florence off U.S. Highway 52. Just after crossing Lynches River , take the first right on Old No. 4 Road. Turn right to County Park Road , 1.9 miles from U.S. 52. The meeting will be at the community building a half mile from the entrance.

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