Production Regulation
One of the important functions of the Board is to regulate the production of Virginia tobacco to match with the demand and requirements of customers of Indian tobacco and at the same time ensure remunerative prices to the growers for their produce.
Section 8(2)(a) of Tobacco Board Act 1975 provides for regulating production and curing of Virginia tobacco having regard to the following factors viz:-- The demand for Virginia tobacco in India and abroad.
- The suitability of land for growing Virginia tobacco.
- The difference in soil characteristics and agro climatic factors in different regions of the country where
Virginia tobacco is grown and the effect thereof on the quality and quantity of Virginia tobacco
produced in those areas. - The marketability of different types of Virginia tobacco.
- The need for rotation of crops, and
- The nature of holdings of the growers of Virginia tobacco whether owned or leased.

Regulation of Production and curing of Flue Cured Virginia Tobacco.
Regulation of FCV Tobacco Production is sought to be achieved by Tobacco Board
- By fixing the crop size of FCV tobacco every year separately for the states of Karnataka,
Andhra Pradesh (including for the States of Maharashtra & Orissa) - Registration of commercial nursery growers.
- Registration of growers of Virginia tobacco and licensing barn operators.
- Production regulation campaigns at field level.
- Imposing penalties on excess and unauthorized production.
- Expanding production volumes of desired styles of customers.
- Enhancing productivity levels and quality and bringing down production costs.

FIXING CROP SIZE – Committee on Production & Production Control (Rule 33A)
Registration
Registration of Nurserymen, Growers And Barn Operators
- According to Section 10(1) No person shall grow FCV tobacco without obtaining a certificate from the Board.
- According to Section 10-A(1) No person shall grow Virginia tobacco seedlings for commercial
purposes unless he registers himself as a nursery grower(commercial). - No person shall construct and operate a barn for curing of Virginia tobacco unless he obtains
a license from the Board in accordance with the Section 11B(ii) of the Act and the rules there under. - The nature of holdings of the growers of Virginia tobacco may be owned or leased.
Registration As Virginia Tobacco Growers - Rule 33 of Tobacco Board Rules
- The intending grower shall apply to the Secretary or such other officer of the Board as may be authorized by the Chairman in this behalf for a certificate of registration or for renewal of certificate of registration, five months before the commencement of operations for growing Virginia tobacco in any state in any year, but not later than–
- the 31st January in the case of growers of Virginia tobacco in the states of Karnataka, Orissa and
Tamil Nadu. - the 31st May in the case of growers of Virginia tobacco in the states of Andhra Pradesh,
Maharashtra and West Bengal.
Registration Committee for growers, Barn Operators and Nurserymen: - Rule 33 A (2), 33(D) and 34 (O).
The Board shall constitute a Committee(s) consisting of 5 members to lay down the criteria for registration / renewal of registration as growers of Virginia tobacco, as a nursery grower and for grant of license / renewal of license for operation of barns
Particulars of Growers Registration since 2004-05 crop season (Statewise):
Registration of Nursery Growers - Rule 33c of Tobacco Board Rules1976
Registered growers who wish to raise seedling for their own use are authorized nursery in an area not exceeding 1/100th of area for which registration as a grower has been accorded.
- To ensure availability of adequate tobacco seedlings of required varieties.
- The committee lays down the Registration criteria and guidelines, taking into account the
factors mentioned in Rule 33 A (3). - To ensure commercial nursery growers raise seedlings on scientific methods and supply pure, healthy,
and sturdy seedlings at reasonable prices to the registered tobacco growers. - For registering as commercial nursery grower application shall be filed in Form-3.
- The fee payable is Rs.50/- for every 0.1 ha of area.
- The certificate of registration is issued in Form-4.
- The Nursery grower is required to submit returns in Form-7 and Form-8 and to maintain registers in Form-5 & Form-6 for inspection.
- Registered growers who raise seedlings for their own use are authorised to raise nursery in an area
not exceeding 1/100th of area for which he has been accorded registration as a grower

Licensing
License For Construction of a Barn - Rule 34 L
The Board with a view to regulate the curing capacity of the barns in a soil region or state to match with the crop size fixed as per the demand, regulate the construction of new barns in the regions or state wherever required.
- The intending growers shall apply in Form-23.
- The fee payable is Rs.25/- per barn.
- The applicants are issued a license in Form-24 if permitted as per policy guidelines formulated for
respective season.
License For Operation of a Barn - Rule 34 N
Persons intending to operate a barn for Flue Curing of Virginia tobacco shall apply for license to operate.
- The intending growers shall apply in Form-25 for license as barn operator to cure Virginia tobacco.
- The fee payable is Rs.10/- per barn or part thereof.
- The applicants are issued a license in Form-26 to operate a barn for curing Virginia tobacco.
- The certificate of registration as a barn operator is valid for one season or for a year.
Particulars of Registered Barns: State Wise

Penalties for Violation
Regulation of Production: Penalties For Violation of Tobacco Board Act, Rules And Regulations
- For violation of Section 10(1) or 10A(1), 11B(ii) or the Rules made there under: imprisonment for
2 years or/with a fine up to Rs. 5000/- both under the Section 25 of the Act. - On sale of excess /unauthorised tobacco produced: Penalties are levied on sale of excess tobacco
produced by registered growers over and above the quota authorized and unauthorised tobacco
produced with out registration (unauthorised growers) as stipulated by Govt. of India from time to time. For
2009-10 A.P. crop season, as per Government of India notification the penalties applicable for sale of
excess/unauthorized tobacco are Rs.2/- per Kg. as an extra fee and 15% of the proceeds of sale as service charges. - For non-submission of statutory returns or for submission of false information - Penalty up to Rs.500.

Current Crop Production Policy
Crop Production Policy for Karnataka (2010-11 Season) 2010 Crop
The Subject matter of fixation of cro size for 2010-11 crop season in Karnataka was discussed during 128th Board meeting held on 22-03-2010 at Bangalore wherein the majority of the memebrs decided that the crop should be fixed at 110M.Kgs. However, Chairman and Director, Ministry of Commerce and Industry expressed their reservation and wanted the crop size to be at 100 M.Kgs similar to the crop size of 2009-10 crop season in Karnataka.
Since no unanimous decision could be taken the issue was reffered to Government and the Government directed the Board to reconsider the decision by taking into consideration crucial factors like fall in prices, need to contain the supply of these negative products, prices of stakeholders etc.
In the meanwhile, since the season is fast approaching, to enable growers to obtain input loans and crop loans, registration of growers, barn operators was taken up by board by adopting the production policy guidelines of 2009-10 season in Karnataka and taking crop size provisionally 100 M.Kgs for Mysore area and 1.62 M.Kgs for barns shifted from Hubli-Dharwad area pending finalization of crop size for Karnataka for 2010-11 crop season.
The area for registration and production quota allotted are as follows:
2010-11 Crop Size - Andhra Pradesh
For the State of Andhra Pradesh, Orissa and Maharastra, the Board has fixed a crop size of 170 M.Kgs (including 10% nature's bounty). The area registered for cultivation and quota allotted for various soil regions is as follows:
