Minimum indicative price fixation: PTB completes COP survey
December 05, 2012
Pakistan Tobacco Board (PTB) has recently concluded Cost of Production (COP) survey relating to tobacco crop for year 2013. This COP survey is crucial for calculation and announcement of Minimum Indicative Price (MIP) for tobacco. Industry sources told Business Recorder that PTB undertakes this key activity every year in September and it eventually culminates in announcement of MIP in October/November.
The fixation and announcement of price by PTB enables the growers, at the right instance, to make an informed decision between cultivating either tobacco or wheat for the next year. Undertaking this activity was even more important this year, in view of the reservations shown by some circles over last years’ COP and MIP. It was also important to carryout the process in a lucid manner to ensure 100 percent transparency and to pre-empt any possible future criticism by addressing the reservations, the industry sources added. The PTB, working under the Federal Ministry of Commerce, has always been ascertaining and announcing the MIP with the help of its designated members from other departments.