Could be maintained the development of the tobacco branch in the tobacco producing districts?

Borsos, János – Bittner, Beáta

In exploring economic conditions of sustainability within the branch and the region, the following conclusions have been drawn for tobacco growing districts:

The vertical organisation of producing and trading tobacco commodities starting in the field and ending in the tobacconist’s shop is a significant economic power, which is blurred by the wide-spread social aversion of smoking in spite of its important role in the globalised world economy, It is one of the important fields of capital investment, consequently, a component of globalised trade of the world. In this framework, we have to find and integrate our contribution and to keep in mind our position and national interests.

The joining to the European Union increases the value of tobacco production, but in taking advantage of the new possibilities the branch could not assert its real weight because of its weak economic conditions. Behind this handicap, we have to recognise the asychronous subventioning granted by the recent governments. The vertical structure of the Hungarian tobacco industry and trade has been one of the most advanced among agro-industrial complexes. The general depressions of agricultural production, losses due to privatisation, mistakes committed in admistrative regulations, all hit the tobacco verticum as well. Chances of keeping up with the European economy are still existing up to 2006, provided that national subventions will not be frustrated by difficulties of the state budget.

The Hungarian districts of tobacco growing have been reorganised thoroughly in the past. The eastern and northern regions are producing the 85%, the central Duna-Tisza area and the SE region 13-14%, and some sporadic growing is found on the rest of the country. The importance of the branch is thus concentrated to the N and E, where in the traditional communities the family occupation secures the income and seasonal jobs. The tobacco growing means also the existence of a special culture. During the last years started the training of tobacco growers as well as an extension service, which are bound to maintain and develop the professional knowledge of tobacco growing. That has been the way e.g. to extend the hydroculture in up to date growing of transplants. The care of relevant information is assigned to the periodical Magyar Dohányújság edited by the DOKUT Rt. (Company), as well as textbooks and field demonstrations of the AGROTAB Ltd*. The social radiation of tobacco growing is far more wide-spread than its spatial extension. Tobacco cultivation influences immediately and beyond that more than 140 thousand people, including 32 000, who are involved in full time job. 15 000 families are participating too, which means about 5 000 full time jobs according to statistics of the year 2000. In the whole verticum, manufacturing, whole-sale market further 3000 persons are employed, whereas in the tobacconist’s shops at least 120 000 dealers are interested, which equals 24 000 full time jobs.

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