Premium Argentina

Premium has operated in Argentina since 2016 in partnership with a well-established local tobacco farmers cooperative company called CTJ (Cooperativa de Tabacaleros de Jujuy Ltda.).

CTJ was established in 1969 by Jujuy provincial farmers and is located in the city of Perico, in northern Argentina. The company buys tobacco from the co-operative members and has its own leaf processing factory.

In 2016 the first commercial agreement between both companies was signed, giving Premium exclusivity for sales of all flue cured virginia (FCV) purchased by CTJ. Although the agreement is primarily a sales one, Premium gives CTJ full support in agronomy, agricultural labour practices (ALP), tobacco grading, blending, processing and shipping amongst other services.

Tobacco Industry in Argentina

Tobacco producers are concentrated in the north of the country. The provinces of Jujuy and Salta, in the north-west, and Misiones in the north-east are the leading ones. The other tobacco-producing provinces are Tucumán, Corrientes, Chaco and Catamarca.

Tobacco plays an important role in the economy of the producing areas, which are comparatively poor provinces. The Argentine tobacco industry employs about half a million people, about half of them directly involved in the planting and harvesting, about 2% in the manufacturing of the derived products, and the rest in distribution and sales. There are about seven tobacco companies operating in the country.

Jujuy’s 10-year average FCV production is 42,000 MT. 60% of the Jujuy farmers grow tobacco on a small-scale basis (below 25 hectares) and 40% on a commercial scale, producing 80% of the total volume grown in the province. Natural gas is the main source for curing tobacco and majority of the crop is canal irrigated until the rainy season.

Salta’s 10-year average FCV production is 37,000 MT. Majority of the farmers in the province are small-scale growers. The Salta crop is planted a month later than the Jujuy crop.

Misiones Air Cured Burley (ACB) farmers are all small-scale farmers. The style of these ACB is similar to Brazilian styles, as it is grown in the same region.

Crop Annual Timeline