ANKARA, Jan 29 (A.A) - State Minister Yilmaz Karakoyunlu said on Tuesday that the tobacco prices would be 3 million liras per kilogram for western Turkey and 3,050,000 liras for northern and northwestern regions.
He said that the price would be 2,700,000 liras for eastern region and 2,550,000 for other regions and southeastern Turkey.
Speaking in a news conference he held the same day, Karakoyunlu said that the tobacco subsidy price which was announced for the last time this year increased by 35 percent.
Recalling that the decree which will end the subsidy system in tobacco purchases will go into force soon, Karakoyunlu said that he believed that 155,000 tons of tobacco would be produced in Turkey this year. He stated that the state tobacco payments would be around 385 trillion liras.
Karakoyunlu added that he expected State Monopoly TEKEL to purchase 75,000 tons and the tradesmen to purchase the remaining 80,000 tonnes.
''Contracts will be signed with producers who want to sell tobacco to TEKEL in western, northwestern and Black Sea regions whenever markets open,'' he said noting that the earnest money in these three regions will be 20 million liras for per bale. Earnest money will be paid to producers who sell their tobacco to TEKEL and payments will be completed as soon as possible,'' he said.
Karakoyunlu noted that the government tried to protect the tobacco producers from the high inflation, adding that the government did its best when economic conditions in Turkey are taken into consideration.
Responding to questions of journalists Karakoyunlu said that the speech between him and State Minister Kemal Dervis at the cabinet meeting yesterday was not related to tobacco prices and tobacco decree.
Upon another question, Karakoyunlu said that there would not be difficulty in payments for tobacco as TEKEL is a powerful organization.
Noting that the government work on privatization of TEKEL, Karakoyunlu said that the government wants to form a Tobacco Council.
TEKEL's Director General Mehmet Akbay said in his part that the payments would be in cash and they would be paid in ten days.