Mighty Corporation or Mighty Corp has committed to initially buy at least 10 million kilograms of tobacco leaves at an average price of P70 per kilo and buy all the excess tobacco leaves that farmers could not sell to other buyers.
This good news was welcomed with open arms by farmers in Pangasinan and the Ilocos provinces who have expressed relief that their tobacco leaves will have a sure market this year.
National Federation of Tobacco Growers and Cooperatives (NFTGC) President Mario Cabasal said that their group felt relieve that the Bulacan-based cigarette manufaturer has committed to help them improve their profit .
Cabasal said, “We limited to minimum areas fields planted to tobacco last year in anticipation of depressed demand due to the scheduled implementation of the sin tax. Good thing, some farmers were able to sell part of their low-grade harvests to Mighty Corporation in 2013.”
He also added, “Now that we are assured of an alternative market, besides other tobacco companies, our members will again be inspired to devote larger areas to the cultivation of Ilocandia’s most important cash crop.”
It was reported that many farmers in the Ilocos Region shifted to planting yellow corn fearing that tobacco prices and demand for the yellow leaf would dive as a result of the new excise tax law on cigarettes. Profits from corn are lower compared to tobacco.