The federal government has set a minimum purchase price of Rs. 525 per kilogram for the 2026 tobacco crop, sources told RBN.

Khyber Pakhtunkhwa is Pakistan’s leading tobacco-producing province, particularly for flue-cured Virginia tobacco, a variety widely used in cigarette manufacturing.

Swabi, Mardan, Charsadda, Buner, and Mansehra are among the country’s major tobacco-growing districts. According to the Pakistan Tobacco Board, the sector supports nearly 80,000 tobacco farmers nationwide, including more than 45,000 in Khyber Pakhtunkhwa.

Tobacco cultivation also takes place in Punjab and other parts of the country. Different varieties supply various markets, including cigarette manufacturing and products such as naswar, snuff, and hookah tobacco.

The Pakistan Tobacco Board is responsible for fixing tobacco prices, surveying production costs, assessing market demand, and coordinating purchasing arrangements between farmers and tobacco companies.