<b>By TIM THORNBERRY<br>
Kentucky Correspondent</b> </p><p>

LEXINGTON, Ky. — Kentucky tobacco producers thinking about the new growing season may learn some new details Jan. 23-24, with the help of the 2008 Tobacco Summit and Expo, sponsored by the Burley Tobacco Growers Cooperative Assoc. (BTGCA) and the University of Kentucky (UK) College of Agriculture.</p><p>
The two-day meeting will include a trade show and production seminars, an H2A Program meeting and the annual BTGCA meeting to be held on Jan. 24.</p><p>
Brian Furnish, general manager of the co-op, said, “The meeting is a way to communicate with our members and to keep them informed. Our tobacco is in demand and we need to let our farmers know this is a world economy and this is what the co-op is working on.”</p><p>
Furnish also said for the past few years, the expo had been in conjunction with the National Farm Machinery Show in Louisville, Ky., but this year it is going back to Lexington. One member who will be in attendance is Donald Mitchell, a Woodford County producer from Midway. Mitchell, a lifelong farmer, raises 60 acres of tobacco and 350 head of cattle with his brother and nephew.</p><p>
“I think the tobacco situation has stabilized over the last two years, but we are at the mercy of tobacco companies,” he said. “As long as they want our tobacco and pay a fair price, we’ll raise it, but the terms for the 2008 crop came out and it was a little disappointing.”
Mitchell contracts with cigarette giant Philip Morris USA and said the contract terms for the coming year mirror those of last year. “Of course, we would like to get more and we hope they improve the terms of this contract,” he said. “I know the decision-making on the part of the companies is probably made by accounting people rather than production people and they’re not aware of how tight it is on the farm.</p><p>
“Some farmers feel there may not be a need for expanded production.”</p><p>
According to information from UK, the value of Kentucky tobacco has declined from more than $500 million in 2000 to approximately $300 million for last year’s crop. The outlook for 2008, however, suggests a slight improvement in those numbers to around $350 million, assuming there are favorable growing conditions, an ample labor supply and acceptable production/price incentives.</p><p>
Mitchell said the co-op was in a unique position in that it is trying to market to foreign countries, noting that if it can get to a high enough level in that market, it can become a major player, and “that’s sorely needed.</p><p>
“It’s decision-making time for many farmers,” said Mitchell, adding he hopes Morris will re-think its offer. “Farmers have gotten discouraged and are hoping for better. We’ve lost a lot of tobacco farmers over the past five years, and those that are left would like to be in it for the long-term, but you have to make decisions year to year.</p><p>
“We’ll gear up for this year and go forward with caution.”</p><p>
Incidentally, those foreign markets are led by China, which is estimated to purchase nearly 30 percent of all cigarettes produced. Furnish said the Chinese market will be a major target for co-op burley.</p><p>
For expo details, go to the BTGCA website at www.burleytobacco.com