Tobacco is an important commercial crop grown in India. It occupies the third position in the world with an annual production of about 800 Million Kgs. Of the different types grown, flue-cured tobacco, country tobacco, burley, bidi, rustica and chewing tobacco are considered important. India stands 3rd in production of tobacco and in exports, Brazil and USA are ahead of India.

Tobacco and tobacco products earn approx Rs.20,000 Cr. to the national exchequer by way of excise duty, and approx.Rs.5000 Cr. by way of foreign exchange every year.