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TOBACCO GRADE 

 STANDARDS 



U.S. grade standards for flue-cured tobacco provide both growers and 

 buyers with a universal language to interpret variations in tobacco quality. 

 The grades, established by the Agricultural Marketing Service of the U.S. 

 Department of Agriculture under authority of the Tobacco Inspection Act of 19,35, 

 describe tobacco according to group, quality, and color. 



Under terms of the Inspection Act, the Secretary of Agriculture designates 

 certain auction markets for mandatory inspection service performed without 

 charge. Price supports are available to tobacco assigned to these markets. 



Shortly before the sale, a Federal inspector examines each lot of tobacco 

 on the warehouse floor and determines its grade according to the official U.S. 

 standards. In addition to the inspection service, daily price reports showing 

 the current average price for each grade are available to the grower on the 

 auction floor. With this information, the grower can determine whether his 

 tobacco is selling in line with current prices and decide whether he wants to 

 reject a bid, sell, or accept a price-support loan. Without inspection of 

 tobacco there would be much uncertainty about the price any lot of tobacco 

 would bring, and a wide range in the prices paid for lots of tobacco of the 

 same quality. 



REVISING GRADE STANDARDS 



From the earliest days of standardized grades of tobacco, USDA recognized 

 that the program would succeed only if the standards were kept in tune with 

 changes in harvesting and marketing practices and with buyer preference. So, 

 from the beginning, the Department developed a pattern for establishing and 

 revising standards. 



Since the standards are designed to be used by the industry, USDA is 

 not necessarily the one to initiate changes in the standards. Often a request 

 expressing a need for change in the standards comes from a segment of the 

 industry. 



When a change is requested, AMS Tobacco Division specialists usually 

 conduct investigations to collect data, consult with industry representatives, 

 and determine the desirability and need for the requested change. If warranted, 

 USDA proposes the change and invites public comment. Tobacco specialists care- 

 fully study all comments received before publishing a final decision in the 

 Federal Register. 



AGRICULTURAL MARKETING SERVICE • U.S. DEPARTMENT OF AGRICULTURE 

 AMS- 573 MAY 1977 



