Utilization of U.S.-Grown Tobacco

More than 94% of the tobacco grown in the United States is used in the manufacture of cigarettes either domestically or overseas). The remainder is processed for chewing, snuff, cigars, and pipes. For the most part, data in this report include all tobacco unless the focus is limited to cigarette tobacco. But even when the data apply to all tobacco, cigarette tobacco overwhelmingly dominates.

The manufacture and export of U.S.-grown tobacco fluctuated around 2.0 billion pounds until around 1975. Since then, utilization has followed a declining long-term trend, dropping to an estimated low of 688 million pounds in 2001. There have been substantial departures from the trend line. To better appraise the likelihood of future utilization prospects, it is helpful to separately
examine the leaf export and domestic manufacturing markets.

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