The U.S. Department of Agriculture has announced quotas and price supports for peanuts and tobacco for the 2001 production season.
The national poundage quota for the 2001 peanut crop will be 1,180,000 tons, the same as this past season. The 2001 quota will be allocated to each state based on the state's share of the 2000 crop. This is the level expected to be used for domestic edible and related uses, excluding seed.
The formula quantity allows for 17,000 tons of under-deliveries. The 1,180,000 tons will be reduced .25 percent (5.9 million tons) for a reserve to cover inadvertent errors.
Also confirmed in the announcement was the 2001 price support, set by statute at $610 per ton. The price support for additional or export peanuts will be set on Feb. 15.
The national marketing quota for the 2001 flue-cured tobacco crop is 548.9 million pounds, up from the 2000 quota of 543 million pounds.
The 2001 quota is based on the following: purchase intentions by domestic cigarette manufacturers - 297 million pounds; unmanufactured exports (three-year average) - 297.7 million pounds; reserve stock adjustment - -61.8 million pounds; and discretionary adjustment - +16 million pounds.
The national average yield goal for flue-cured tobacco remains unchanged at 2.088 pounds per acre. The price support level for the 2001 crop is $1.660 per pound, up two cents per pound from 2000. The national acreage allotment for the 2001 crop is 262,253 acres, up one percent from the 2000 allotment.
For each farm, the 2001 basic quota will increase approximately one percent from 2000. The effective quota is expected to be about 543 million pounds or three percent below 2000.
The flue-cured tobacco no-net-cost assessment will be five cents on each pound of 2001 crop of flue-cured tobacco that is marketed. The Commodity Credit Corporation set the no-net assessments at 2.5 cents per pound for the producer and 2.5 cents per pound for the purchaser for the crop year 2001.