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Farm produce

Export unmanufactured tobacco

Leaf tobacco to Belgium, the UAE, Indonesia and Russia. Annual Tobacco Board exporter registration is compulsory.

Free to exportHS 2401
HS code
2401
Unmanufactured tobacco and tobacco refuse (2401): FCV (flue-cured Virginia), burley, other leaf, stems and scrap. Cigarettes and chewing tobacco are under 2402–2403.
Export policy
Free to export
Export is Free under ITC(HS), but exporters must be registered with the Tobacco Board for the calendar year (Tobacco Board Act, 1975). Confirm current status on dgft.gov.in.
Registrations
4
IEC, GST and those below
India’s exports, 2025-26
US$ 1.37 bn
to 70 countries

What is exported

Unmanufactured tobacco exports were about US$ 1.37 billion in 2025-26 (TradeStat). Belgium is the largest buyer, followed by the UAE, Indonesia, Russia, Armenia, the Netherlands and Turkey. The Tobacco Board says India is the world’s second-largest producer and second-largest exporter of unmanufactured tobacco, selling to 127 countries in 2024-25. FCV tobacco is sold through Tobacco Board auctions in Andhra Pradesh and Karnataka.

Varieties, grades and forms

  • FCV (flue-cured Virginia)Grown in Traditional Black Soils, Northern and Southern Light Soils (Andhra Pradesh) and Karnataka Light Soils; styles range from flavourful to neutral filler (Tobacco Board).
  • Burley and NatuAir- and sun-cured types for blends.
  • Non-FCV leaf: bidi, chewing, hookah and HDBRGGrown mainly in Gujarat and Karnataka; non-FCV exports grew 75% in US$ in 2024-25 (Tobacco Board).
  • Stems and scrapBy-products of threshing, sold to reconstituted-tobacco makers.

Where it is grown or made

  • Andhra PradeshPrakasam, Nellore, East and West Godavari; Guntur is the trading and processing centre.
  • KarnatakaMysuru and Hassan (FCV auctions); Belagavi and Nipani (bidi tobacco).
  • GujaratAnand and Kheda — bidi and chewing tobacco.

Season

FCV auctions run from about March in Andhra Pradesh and from about September in Karnataka; registration for the next calendar year is filed in the last quarter.

Export packing

  • Threshed and redried strips packed in corrugated cartons (C-48 type) of about 200 kg; moisture controlled.

Who buys abroad

  • International leaf merchants
  • Cigarette manufacturers
  • Hookah and chewing-tobacco makers in the Gulf and Asia

The quality buyers ask for

Type and style
FCV by soil zone (TBS, NLS, SLS, KLS), burley, natu, non-FCV leaf
Grade
Buyer grade by plant position, colour and quality
Chemistry
Nicotine and reducing sugars; moisture of threshed strips
Residues and NTRM
Crop-protection residues below importers’ limits; free of non-tobacco related material

Certificates

  • Tobacco Board exporter registrationRequiredAnnual registration for the calendar year under the Tobacco Board Act and Rules.
  • Phytosanitary certificateRequiredIssued by Plant Quarantine (DPPQS) for each consignment after inspection; apply on PQMS.
  • ISO 9001Often askedQuality-management certification many industrial buyers expect from suppliers.

Shipping, storage and shelf life

Container load

A 40-ft container typically carries about 100–110 cartons of threshed strips.

How it travels

Sea freight mainly from Chennai, Krishnapatnam and Visakhapatnam.

Storage

Conditioned warehouses with humidity control; fumigate against tobacco beetle.

What goes on the pack and carton

  • Bulk bags and cartons: product and grade, crop year, lot number, net and gross weight, "Product of India", exporter name and the buyer’s shipping marks, matching the invoice and packing list exactly.
Where to get it tested

Leaf chemistry and residue testing is done at ICAR-Central Tobacco Research Institute (Rajahmundry) and NABL-accredited private labs (search nabl-india.org). Ask the buyer which lab reports they accept.

Benefits of exporting this product

Where to register

  • Tobacco BoardRegistration as an Exporter of Tobacco under the Tobacco Board Act, 1975 and Rules, 1976. It is granted for a calendar year, filed online, and must be renewed every year.tobaccoboard.in ↗
  • Plant Quarantine (DPPQS)Phytosanitary certificate for each consignment of plant produce, applied for online on PQMS. Some markets also want the packhouse or processing unit registered.pqms.cgg.gov.in ↗

Quality and checks

  • Crop protection agent (CPA) residues must be below the importing countries’ limits — the Tobacco Board flags this as the main condition buyers now impose.
  • Grade, style (filler or flavour), nicotine and sugar content, moisture and freedom from non-tobacco material.
  • A phytosanitary certificate from Plant Quarantine for every consignment; some markets add treatment or pest-free-area conditions — check the importing country’s rules first.
How to start small

Register with the Tobacco Board online for the calendar year, buy graded leaf through the Board’s auction system or a registered dealer, get it processed (threshed and redried) by a registered processor, and sell to a leaf merchant abroad. Since 15 September 2026, a consignment worth up to ₹3 lakh FOB does not need an RCMC (DGFT Notification 36/2026-27); registrations required by a law still apply.

Where new exporters go wrong

  • Letting the annual registration lapse — late applications cost more and shipments cannot go meanwhile.
  • Residue failures: buy leaf only with residue test results that match the importing country’s limits.

Documents this product needs

Schemes that apply

Sources (5)
  1. Department of Commerce — TradeStat, India’s exports by commodity and country (2025-26)
  2. Tobacco Board — Annual Report 2024-25 (exports by region and country)
  3. Tobacco Board — Criteria for registration as exporter of tobacco for 2027
  4. DGFT — Appendix 2T, export promotion councils, boards and the products they cover (as on 6 Feb 2023)
  5. DGFT Notification 36/2026-27 (15 Sep 2026) — no RCMC needed for consignments up to ₹3 lakh FOB

Trade data

Indian unmanufactured tobacco exports in numbers

From the Department of Commerce’s TradeStat, country by country. US$, Indian financial years (April–March).

Exports in 2025-26
US$ 1.37 bn
+21.4% a year on average, 2020-21 to 2025-26
Change from 2024-25
↓ -7.5%
US$ 1.48 bn → US$ 1.37 bn
Buyer countries
70
Average export price
US$ 4.28
per kg · 3,19,114 tonnes shipped · US$ 4.57 the year before
Belgium: US$ 354 mnUnited Arab Emirates: US$ 179 mnIndonesia: US$ 139 mnRussia: US$ 84.8 mnNetherlands: US$ 41.1 mnTürkiye: US$ 39.9 mnPhilippines: US$ 39 mnPoland: US$ 38.1 mnFrance: US$ 36.5 mnNepal: US$ 34.2 mnEgypt: US$ 33.8 mnNigeria: US$ 31.8 mnGreece: US$ 27.2 mnSouth Korea: US$ 24.9 mnYemen: US$ 20.3 mnGeorgia: US$ 14.9 mnRomania: US$ 14.3 mnBrazil: US$ 13.7 mnUnited States of America: US$ 12.7 mnItaly: US$ 9.9 mnJordan: US$ 9.4 mnSouth Africa: US$ 7 mnBelgium: US$ 354 mnBelgiumUnited Arab Emirates: US$ 179 mnUnited Arab EmiratesIndonesia: US$ 139 mnIndonesiaRussia: US$ 84.8 mnRussiaNetherlands: US$ 41.1 mnTürkiye: US$ 39.9 mnTürkiyePhilippines: US$ 39 mnPhilippinesPoland: US$ 38.1 mnFrance: US$ 36.5 mnNepal: US$ 34.2 mnEgypt: US$ 33.8 mnNigeria: US$ 31.8 mnGreece: US$ 27.2 mnSouth Korea: US$ 24.9 mnYemen: US$ 20.3 mnGeorgia: US$ 14.9 mnRomania: US$ 14.3 mnBrazil: US$ 13.7 mnUnited States of America: US$ 12.7 mnItaly: US$ 9.9 mnJordan: US$ 9.4 mnSouth Africa: US$ 7 mnIndia
Where Indian unmanufactured tobacco goes — among our 80 countries, 2025-26
2020-21: US$ 518 mn5182020-212021-22: US$ 570 mn5702021-222022-23: US$ 822 mn8222022-232023-24: US$ 1.05 bn1.1k2023-242024-25: US$ 1.48 bn1.5k2024-252025-26: US$ 1.37 bn1.4k2025-26
India’s unmanufactured tobacco exports, year by year · US$ million

The price cycle

India’s average export price per kg each year (total value ÷ total quantity). Highest in 2024-25, lowest in 2020-21 — a 58% swing between them. Keep this swing in mind when you quote.

2020-21: US$ 2.90 per kg2.902021-22: US$ 2.91 per kg2022-23: US$ 3.21 per kg2024-25: US$ 4.57 per kg4.572025-26: US$ 4.28 per kg4.282020-212021-222022-232023-242024-252025-26
Average export price of Indian unmanufactured tobacco · US$ per kg · dotted = year in between not available

What next: a projection from the trend

The past trend carried forward — not a forecast by any authority. Sudden changes in policy, prices or demand are not in it.

2020-21: US$ 518 mn2020-212021-22: US$ 570 mn2021-222022-23: US$ 822 mn2022-232023-24: US$ 1.05 bn2023-242024-25: US$ 1.48 bn2024-252025-26: US$ 1.37 bn2025-262026-27: US$ 1.99 bn (US$ 1.67 bn – US$ 2.35 bn)2.0k2026-272027-28: US$ 2.49 bn (US$ 2.06 bn – US$ 3.01 bn)2.5k2027-28
India’s unmanufactured tobacco exports and projection · hollow bars = projection, line = likely range
By 2027-28: US$ 2.49 bn

Likely range US$ 2.06 bn to US$ 3.01 bn.

Trend
+25.5% a year
Fit (R²)
0.94
Based on
6 years of official figures

Method: a straight line through the logarithm of yearly exports (log-linear regression); range = ±1 standard error.

Biggest buyer countries

By value in 2025-26. Change is against 2024-25.

Name2025-26Change
1BelgiumUS$ 354 mn+3.9%
2United Arab EmiratesUS$ 179 mn-25.4%
3IndonesiaUS$ 139 mn-6.7%
4RussiaUS$ 84.8 mn+93.1%
5ArmeniaUS$ 70.5 mn+119.7%
6NetherlandsUS$ 41.1 mn+26.7%
7TürkiyeUS$ 39.9 mn-21.4%
8PhilippinesUS$ 39 mn-1.6%
9PolandUS$ 38.1 mn+146.8%
10FranceUS$ 36.5 mn+76.3%
11NepalUS$ 34.2 mn+15.2%
12EgyptUS$ 33.8 mn-70.7%

Where demand is rising and falling

Only countries that buy at least US$ 1 million or 1% of India’s exports of this product. Change from 2024-25 to 2025-26.

High demand

  1. BulgariaUS$ 5.6 mn → US$ 14.3 mn+155.8%
  2. PolandUS$ 15.5 mn → US$ 38.1 mn+146.8%
  3. ArmeniaUS$ 32.1 mn → US$ 70.5 mn+119.7%
  4. RussiaUS$ 43.9 mn → US$ 84.8 mn+93.1%
  5. FranceUS$ 20.7 mn → US$ 36.5 mn+76.3%
  6. NigeriaUS$ 18.3 mn → US$ 31.8 mn+74%
  7. GeorgiaUS$ 9.6 mn → US$ 14.9 mn+54.7%
  8. RomaniaUS$ 10.5 mn → US$ 14.3 mn+36.4%

Low demand

  1. EgyptUS$ 115 mn → US$ 33.8 mn-70.7%
  2. JordanUS$ 29.6 mn → US$ 9.4 mn-68.4%
  3. United States of AmericaUS$ 26.1 mn → US$ 12.7 mn-51.2%
  4. South KoreaUS$ 45.7 mn → US$ 24.9 mn-45.5%
  5. ItalyUS$ 14.9 mn → US$ 9.9 mn-33.2%
  6. United Arab EmiratesUS$ 240 mn → US$ 179 mn-25.4%
  7. TürkiyeUS$ 50.8 mn → US$ 39.9 mn-21.4%
  8. GreeceUS$ 32.9 mn → US$ 27.2 mn-17.2%

New buyers: Countries that bought nothing from India in 2024-25 and did in 2025-26.

  • Singapore · US$ 3.7 mn

Which forms sell, and at what price

India’s exports by 8-digit tariff line, 2025-26. Average price = total value ÷ total quantity (TradeStat): the average of every shipment on that line, not the price of any one deal.

Tariff lineValue 2025-26ChangeQuantityAverage price
Flue cured virginia tobacco partly / whollystmd/stripped2401 20 10 · Tobacco, partly or wholly stemmed or strippedUS$ 878 mn-1.9%1,53,297 tonnesUS$ 5.73 per kgwas US$ 6.12
Burley tobaco, partly/wholly stmd/stripped2401 20 40 · Tobacco, partly or wholly stemmed or strippedUS$ 281 mn-25.4%70,234 tonnesUS$ 4.00 per kgwas US$ 4.23
Other tobacco no stemmd/stripped2401 10 90 · Tobacco,US$ 56.4 mn+2.9%22,585 tonnesUS$ 2.50 per kgwas US$ 2.75
Sun cured virginia tobacco, partlt/wholly/stripped2401 20 30 · Tobacco, partly or wholly stemmed or strippedUS$ 45 mn+18.7%9,538 tonnesUS$ 4.72 per kgwas US$ 4.81
Other tobacco prtly or wholly stemd/strippd2401 20 90 · Tobacco, partly or wholly stemmed or strippedUS$ 43.3 mn+3.1%13,571 tonnesUS$ 3.19 per kgwas US$ 3.41
Tobacco refuse — tobacco refuse2401 30 00US$ 31.5 mn-2.3%39,882 tonnesUS$ 0.79 per kgwas US$ 0.89
Sun cured country(natu) tobacco partly/ wholly stmd/stripped2401 20 20 · Tobacco, partly or wholly stemmed or strippedUS$ 13.5 mn-39.4%3,386 tonnesUS$ 4.00 per kgwas US$ 4.25
Flue cured virginia tobocco, npt stmd/ stripped2401 10 10 · Tobacco,US$ 5.4 mn+131.6%1,754 tonnesUS$ 3.05 per kgwas US$ 2.57
Burley tobacco,not stemmed/stripped2401 10 40 · Tobacco,US$ 4 mn+1%1,523 tonnesUS$ 2.61 per kgwas US$ 2.93
Tobacco for manufactr of hokah tobacco , partly /wholly stmd /stripped2401 20 80 · Tobacco, partly or wholly stemmed or strippedUS$ 3.2 mn+109.8%488 tonnesUS$ 6.57 per kgwas US$ 5.85
Suncured country (natu) tobacco,not stmd /stripped2401 10 20 · Tobacco,US$ 2.4 mn-53.2%1,258 tonnesUS$ 1.87 per kgwas US$ 2.66
Sun cured virginia tobacco , not stmd / stripped2401 10 30 · Tobacco,US$ 1.5 mn+1,116.7%400 tonnesUS$ 3.65 per kgwas US$ 1.80
Tobacco for mnfr of chwng tobacco, partly/wholly stmd/stripped2401 20 60 · Tobacco, partly or wholly stemmed or strippedUS$ 1.3 mn-18.7%782 tonnesUS$ 1.61 per kgwas US$ 1.56
Tobacco for mnfr of hookah tobacco no stmd/stripped2401 10 80 · Tobacco,US$ 1 mn-60.2%218 tonnesUS$ 4.68 per kgwas US$ 5.01

The world market

Each country’s own recorded exports and imports in UN Comtrade, 2023 (the latest year nearly every country has reported).

World imports
US$ 11.1 bn
2023
India among exporters
#4
of 102 countries
India’s share of world exports
8.7%
US$ 969 mn
Left for others to win
US$ 10.2 bn
exported by other countries

Top exporters — your competitors

  1. 1BrazilUS$ 2.54 bn 22.7%
  2. 2ZimbabweUS$ 1.19 bn 10.6%
  3. 3USAUS$ 1 bn 9%
  4. 4IndiaUS$ 969 mn 8.7%
  5. 5ChinaUS$ 470 mn 4.2%
  6. 6MalawiUS$ 447 mn 4%
  7. 7GermanyUS$ 401 mn 3.6%
  8. 8ItalyUS$ 361 mn 3.2%
  9. 9United Rep. of TanzaniaUS$ 340 mn 3%
  10. 10BelgiumUS$ 325 mn 2.9%

Biggest buyers in the world

  1. 1ChinaUS$ 1.7 bn 15.3%
  2. 2GermanyUS$ 1.08 bn 9.7%
  3. 3PolandUS$ 797 mn 7.2%
  4. 4USAUS$ 649 mn 5.8%
  5. 5IndonesiaUS$ 633 mn 5.7%
  6. 6United Arab EmiratesUS$ 547 mn 4.9%
  7. 7Dominican Rep.US$ 500 mn 4.5%
  8. 8TürkiyeUS$ 450 mn 4.1%
  9. 9Viet NamUS$ 307 mn 2.8%
  10. 10Rep. of KoreaUS$ 291 mn 2.6%

Opportunity: what these countries buy from the world, and from India

Each country’s own recorded imports in UN Comtrade, latest year it has reported. The long light part of each bar is demand other countries are filling today.

ChinaUS$ 1.88 bnIndia 0% · gap US$ 1.88 bn
GermanyUS$ 1.03 bnIndia 10.2% · gap US$ 929 mn
IndonesiaUS$ 911 mnIndia 14.5% · gap US$ 780 mn
United States of AmericaUS$ 807 mnIndia 3.9% · gap US$ 775 mn
United Arab EmiratesUS$ 547 mnIndia 16.8% · gap US$ 456 mn
VietnamUS$ 311 mnIndia 0.6% · gap US$ 309 mn
South KoreaUS$ 314 mnIndia 12.1% · gap US$ 276 mn
ItalyUS$ 260 mnIndia 7.8% · gap US$ 239 mn
JapanUS$ 171 mnIndia 5.9% · gap US$ 161 mn
EgyptUS$ 203 mnIndia 29.3% · gap US$ 143 mn

TradeStat’s 2023-24 quantities are double-counted, so that year is left out of the price. Sources: TradeStat — Export Import Data Bank, Department of Commerce · UN Comtrade database (United Nations Statistics Division) · Figures taken 29 October 2026.

Step by step

How to export unmanufactured tobacco

India is the world’s second-largest producer and second-largest exporter of unmanufactured tobacco (Tobacco Board), competing mainly with Brazil, Zimbabwe and the USA. Indian FCV ranges from flavourful to neutral filler styles and sells to leaf merchants and cigarette makers in Europe, the Gulf, Asia and Africa. Exports reached a record in 2024-25. The main constraint is residue compliance; the Board flags crop-protection residues as the key buyer condition.

  1. 01Register with the Tobacco Board

    File online for the calendar year with PAN, GST, bank certificate, undertaking and fee; renew every year on time.

  2. 02Buy leaf

    Buy FCV through the Board’s auction platforms or from registered dealers; non-FCV from registered traders.

  3. 03Process

    Get the leaf threshed and redried by a registered processor to the buyer’s grade.

  4. 04Test residues

    Test crop-protection residues against the importing country’s limits.

  5. 05Inspection and phytosanitary certificate

    Apply on PQMS; Plant Quarantine inspects the lot (and fumigation or treatment if the importing country requires it) before issuing the certificate.

  6. 06File the shipping bill and ship

    Your customs broker files the shipping bill on ICEGATE with the invoice and packing list. After customs clearance the line issues the bill of lading; get the certificate of origin from the right agency if the buyer needs a trade-agreement rate.

  7. 07Get paid and close the file

    Send original documents through your bank (or to the buyer if paid in advance). When the money arrives, get the e-BRC and claim RoDTEP and drawback where they apply.

Meet buyers

Trade fairs

Questions

Questions about exporting unmanufactured tobacco

Do I need Tobacco Board registration?
Yes. It is granted per calendar year and must be renewed; late applications cost more.
What is the registration fee?
For 2027 it is ₹1,000 to ₹6,000 depending on average export value, with late fees of ₹5,000 or ₹10,000 (Tobacco Board criteria).
Which countries buy Indian tobacco?
Belgium, the UAE, Indonesia, Russia, Armenia, the Netherlands and Turkey led in 2025-26 (TradeStat).
Is RoDTEP available?
No — Appendix 4R has no Chapter 24 lines. Check drawback rates on CBIC.
Why do buyers reject Indian leaf?
Mostly for crop-protection residues above limits or foreign material in the leaf.
Sources (5)
  1. Tobacco Board — Annual Report 2024-25 (exports by region and country)
  2. Tobacco Board — Criteria for registration as exporter of tobacco for 2027
  3. Department of Commerce — TradeStat, India’s exports by commodity and country (2025-26)
  4. DGFT — Appendix 4R, RoDTEP schedule for DTA exports w.e.f. 10 Oct 2024 (Notification No. 32, 30 Sep 2024)
  5. DGFT — Appendix 2T, export promotion councils, boards and the products they cover (as on 6 Feb 2023)

Who buys Indian unmanufactured tobacco

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