**Industry Overview:**
– **Historical Background:**
– Tobacco was a valuable export from British North America and the U.S. until 1793.
– The U.S. led in tobacco production until the 1960s.
– **Global Market:**
– Global tobacco consumption has declined, but over 6 trillion cigarettes are produced annually.
– Tobacco is heavily taxed to discourage smoking and generate revenue.
– **Key Players:**
– China National Tobacco Co. is the largest by volume.
– Dominant firms include Altria, British American Tobacco, etc.
– **Market Dynamics:**
– Tobacco advertising is restricted due to health concerns.
– Some state monopolies and small firms still exist.
**Legal Actions and Regulations:**
– **U.S. Regulatory Landscape:**
– Significant legal challenges faced by the U.S. tobacco industry since the mid-1990s.
– The Family Smoking Prevention and Tobacco Control Act of 2009 imposed restrictions.
– **Global Impact:**
– WHO Framework Convention on Tobacco Control aims to combat tobacco-related consequences.
– **Tobacco Control Initiatives:**
– U.S. signed the WHO Global Treaty on Tobacco Control in 2004.
– Discussions within the tobacco control community about industry transformation.
**Production and Market Insights:**
– **Top Producers:**
– China, India, Brazil, U.S., and others were major producers in 2000.
– **Cigarette Production:**
– Data on global tobacco production for cigarettes.
– Some factories closed due to health concerns.
– **Market Diversification:**
– Industry has diversified product offerings to cater to changing consumer preferences.
**Innovations and Research:**
– **Product Diversification:**
– Large companies have entered the electronic cigarette market.
– Innovations aim to adapt to consumer demands and regulations.
– **Research Focus:**
– Ongoing R&D on alternative tobacco products.
– Health impacts of electronic nicotine delivery systems analyzed in research.
**Cultural Impact and Further Reading:**
– **Cultural Influence:**
– Long relationship with the entertainment industry.
– Films like ‘The Insider’ and ‘Thank You For Smoking’ focus on Big Tobacco.
– **Historical Context:**
– Discovery of the link between cigarettes and lung cancer.
– Examination of the industry’s marketing strategies and key rulings.
– **Additional Resources:**
– UCSF and University of South Florida Libraries offer historical collections.
– External resources and recommended readings on the tobacco industry provided.
The examples and perspective in this article deal primarily with the United States and do not represent a worldwide view of the subject. (September 2010) |
The tobacco industry comprises those persons and companies who are engaged in the growth, preparation for sale, shipment, advertisement, and distribution of tobacco and tobacco-related products. It is a global industry; tobacco can grow in any warm, moist environment, which means it can be farmed on all continents except Antarctica.
According to the WHO Framework Convention on Tobacco Control, the "tobacco industry" encompasses tobacco manufacturers, wholesale distributors and importers of tobacco products. This evidence-based treaty expects its 181 ratified member states to implement public health policies with respect to tobacco control "to protect present and future generations from the devastating health, social, environmental and economic consequences of tobacco consumption and exposure to tobacco smoke."
Tobacco, one of the most widely used addictive substances in the world, is a plant native to the Americas and historically one of the most important crops grown by American farmers. More specifically, tobacco refers to any of various plants of the genus Nicotiana (especially N. tabacum) native to tropical America and widely cultivated for their leaves, which are dried and processed chiefly for smoking in pipes, cigarettes, and cigars; it is also cut to form chewing tobacco or ground to make snuff or dipping tobacco, as well as other less common preparations. From 1617 to 1793, tobacco was the most valuable cash crop export from British North America and the United States. Until the 1960s, the United States grew, manufactured and exported more tobacco than any other country.
Tobacco is an agricultural commodity product, similar in economic terms to agricultural foodstuffs: the price is in part determined by crop yields, which vary depending on local weather conditions. The price also varies by specific species or cultivar grown, the total quantity on the market ready for sale, the area where it is grown, the health of the plants, and other characteristics individual to product quality.
Since 1964, conclusive medical evidence of the deadly effects of tobacco consumption has led to a sharp decline in official support for producers and manufacturers of tobacco, although it contributes to the agricultural, fiscal, manufacturing, and exporting sectors of the economy. Policy and law restricting tobacco smoking has increased globally, but almost 6 trillion cigarettes are still produced each year, representing an increase of over 12% since the year 2000. Tobacco is often heavily taxed to gain revenues for governments and as an incentive for people not to smoke.