In October of 2004, the U.S. Congress approved and the President signed into law H.R. 4520, the “American Jobs Creation Act of 2004”. To most, the legislation represents significant corporate tax reform, but also included was the Fair and Equitable Tobacco Reform Act (FETRA) most commonly referred to as “the tobacco buyout”. The tobacco buyout completely changed the way tobacco is produced and sold in the U.S. through the elimination of the federal tobacco program that had been in place for more than 65 years.
Under the old federal tobacco program, government issued quotas were attached to land that limited the amount of tobacco that could be marketed each year. Basically, quota holders agreed to limit the amount of tobacco marketed in exchange for price support. The program was funded by assessments paid by producers and companies according to the number of pounds marketed and purchased. The United States Department of Agriculture (USDA) was responsible for administering the program and kept detailed information about who was growing tobacco, where it was grown, and the amount and value of tobacco produced and sold.
Today, limited information is available about the quantity and value of tobacco production. CTGR was formed to address this need by contributing timely and reliable information related to tobacco production issues.
CTGR will focus on research in the areas of tobacco production, economics, and markets through coordination with all of the land-grant universities in tobacco producing states. Annual surveys and research with current and former tobacco growers will provide new information and insights on the changes occurring in the tobacco industry. This new information will be made available to current and future tobacco growers, agricultural organizations and leadership, manufacturers, and others interested in tobacco production issues.
For more information, please contact us at:
The Center for Tobacco Grower Research
302B Morgan Hall
2621 Morgan Circle Drive
Knoxville, TN 37932
(865) 974-0414
ctgr@utk.edu
