- 22 - 



Substantial quantities of unstemmed filler have been brought in and 

 placed in bonded storage during the last year and a half. In I960, 260,000 

 pounds of unstemmed cigar filler arrived from Indonesia, and in the first 6 

 months of 1961, 670,000 pounds. Stocks of Indonesian tobacco have increased 

 during the last year, and amounted to 906,000 pounds on July 1, 1961, in con- 

 trast to 125,000 pounds on the same date one year earlier. These stocks con- 

 sisted mostly of fillers, with a small quantity of scrap. 



Several kinds of tobacco are grown in Indonesia, but the bulk can be 

 classified as cigar type leaf. Production in the last 5 years has averaged • 

 122 million pounds and in i960 is estimated at about 131 million. Ranking 

 markets for the 34 million pounds of Indonesian tobacco exported in 1959 were 

 West Germany and Belgium. 



Other Foreign Suppliers 



Until recent years only negligible quantities of cigar tobacco were im- 

 ported from countries other than Cuba, the Philippine Republic, and Indonesia. 

 However, other foreign sources have begun supplying more significant quantities 

 of cigar tobacco, especially in the last year and a half. 

 Dominican Republic 



In i960. 292,000 pounds of unstemmed cigar filler (average value ex- 

 cluding duty, 42 cents a pound) and 316,000 pounds of scrap (average value 

 excluding duty, 5^ cents a pound) were imported for consumption from the 

 Dominican Republic. In the first half of I96I, about 96,000 pounds of unstemmed 

 filler and 297^000 pounds of scrap entered consumption channels. However, total 

 arrivals of unstemmed filler from the Dominican Republic in i960 amounted to 

 about 3-1/3 million pounds, most of which is held as stocks under bond. Total 

 arrivals from this source in i960 were over five times as much as in 1959* 

 During the first half of 1961 arrivals totaled 240,000 pounds. 



Production of cigar type tobacco in recent years has generally ranged 

 from approximately 40 to 45 million pounds annually. The soil and climate are 

 considered ideal for cigar tobacco production but the uncertain rainfall is a 

 disadvantage. Output in 1959 was drastically reduced by drought, but the i960 

 crop is estimated at about 50 million pounds. The type of tobacco grown pri- 

 marily for export is known as "criollo" tobacco, and is fairly mild and neutral. 

 The type largely used for domestic consumption in manufacture of cigars and 

 cigarettes is "olor" tobacco and has a stronger taste and aroma and burns very 

 well. The Dominican Republic usually exports from 25 to some 30 million pounds 

 of tobacco annually. In i960, exports were 33~l/2 million pounds, which went 

 mainly to Spain, Netherlands, Belgium, West Germany, Algeria, and Gibraltar. 

 About 1-1/3 million pounds were reported as going to the mainland United States 

 and an additional 2-3/4 million pounds to Puerto Rico. 



Colombia 



In 19t>0, 238,000 pounds of scrap (average value excluding duty, 57 cents 

 a pound) and 7^-^000 pounds of unstemmed filler were imported for consumption 

 from Colombia. In the first half of 1961, about 374,000 pounds of scrap and 

 70,000 pounds of unstemmed filler entered consumption channels. Total arrivals 

 in the United States, however, which include the quantities placed in storage, 

 were considerably larger. About 1.4 million pounds of unstemmed filler 



