Sarandí tobacco company faces the challenge of a sustainable industry

The industry has been on a quest for sustainability, in fact, sustainable agriculture has become a comprehensive response to the environmental, social and economic challenges facing agricultural production worldwide, particularly in the tobacco industry, driven by companies such as Tabacalera Sarandí SA. In a context of global population growth and threats from climate change to the stability of ecosystems, the adoption of sustainable, environmentally friendly and socially responsible agricultural practices has become more crucial than ever.

Sustainable agriculture is based on production systems that seek to be viable in the long term, ensuring continuous production of food, fiber and other agricultural products without compromising the ability of future generations to meet their own needs.

Environmental sustainability in agriculture focuses on the implementation of practices that ensure the preservation of natural resources, minimize pollution and protect biodiversity. Among these practices is the efficient use of water, which is crucial in a context of increasing scarcity due to climate change. Drip irrigation systems, for example, allow for optimal use of water, reducing waste and ensuring that plants receive exactly the amount they need.

Another fundamental practice is crop rotation, which not only helps maintain soil fertility, but also reduces erosion and prevents the build-up of pests and diseases. Agroecology, which integrates agricultural practices with respect for natural ecosystems, also plays a crucial role. This includes the use of organic fertilizers and the implementation of polycultures, which promote biodiversity in agricultural fields.

Finally, reducing the use of pesticides and chemical fertilizers is essential to avoid soil and water pollution. The ultimate goal of these practices is to maintain soil fertility, reduce greenhouse gas emissions and conserve natural habitats, thus contributing to the fight against climate change and the preservation of global biodiversity.

For an agricultural system to be truly sustainable, it must be economically viable. This means that it must generate sufficient income so that farmers can continue to produce sustainably over the long term. Economic viability requires access to fair markets, where farmers can sell their products at prices that reflect the true value of their labor and the costs of production.

Price stability is another crucial factor, as it allows farmers to plan for the long term and make informed investment decisions. In addition, the development of adequate infrastructure to support food production and distribution, such as efficient roads, storage facilities and transport systems, is necessary. These infrastructures not only improve supply chain efficiency but also reduce post-harvest losses, contributing to higher profitability for farmers.

Investments in technology and training are also essential to improve productivity and efficiency, enabling farmers to adopt more sustainable practices and adapt to changing market conditions.

Social equity is a fundamental pillar of sustainable agriculture, centered on the well-being of farming communities. This involves promoting fair working conditions, ensuring that agricultural workers receive decent wages and work in safe environments. It is also crucial to guarantee access to resources and technologies that allow small and medium-sized farmers to compete on equal terms with large producers.

Active participation by farmers in decision-making that affects their livelihoods is equally important. This includes the ability to influence agricultural policies and access financing that enables them to invest in their operations and improve their quality of life.

Furthermore, sustainable agriculture advocates for food security and sovereignty, ensuring that all people have access to nutritious and culturally appropriate food. This not only involves producing sufficient food, but also promoting food systems that respect local traditions and support the rural economy.

Sustainable agriculture relies on several practices that ensure the sustainability of the agricultural system. Among the most important is crop rotation, which involves alternating different types of plants on the same plot to maintain soil fertility, reduce erosion and prevent the spread of pests and diseases.

Another crucial practice is agroforestry, which integrates trees and shrubs into agricultural land, enhancing biodiversity, providing shade and wind protection, and contributing to carbon sequestration, which helps mitigate climate change.

Efficient water use is also a priority, with the implementation of drip irrigation systems and other water-saving technologies, which is critical to maintaining agricultural production in areas affected by drought and water scarcity.

Finally, organic farming avoids the use of synthetic chemicals, instead promoting natural practices such as composting and biological pest control, which helps protect the health of soil and ecosystems.

The Sarandí Tobacco Company Case

Tabacalera Sarandí SA, a company operating in Argentina, is in a growing market for the production and consumption of tobacco-related products. Globally, seven of the top 25 tobacco producers are countries in the Americas, including Argentina, along with the United States, Brazil, Canada, the Dominican Republic, Cuba and Colombia. Other major producers in the region include Mexico, Honduras and Nicaragua.

As a representative of the tobacco industry in Argentina, Tabacalera Sarandí faces the challenge of moving towards 100% sustainable agriculture within the sector. The company is committed to implementing biological tools that contribute to mitigating global warming. Its focus is on recovering the chemical and biological fertility of the soil, restoring its structure and fixing carbon to reduce CO2 emissions.

Throughout its history, Tabacalera Sarandí has ​​maintained its economic and social relevance, adapting to the new realities of the market. Argentina remains a key player in the global tobacco market, with an annual production of 100 million kilos, of which 80% is destined for export, mainly to countries such as Belgium, China, Paraguay and the United States.

In terms of production, the provinces of Jujuy and Salta lead with 36% and 25% of national production, respectively, followed by Misiones with 29%. These regions specialize in varieties such as Virginia and Burley, which together make up more than 90% of the country’s total production.

Tabacalera Sarandí has ​​established strong ties with local communities, contributing to economic and social development through farmer support programs and various social responsibility initiatives, becoming an integral player in the socioeconomic fabric of tobacco-producing regions.

The tobacco industry in Argentina is also vital in terms of employment, generating more than 38,000 direct jobs supporting some 150,000 people. Considering the entire value chain, including transportation, storage and related services, the number of people dependent on this industry amounts to some 190,000.

The tobacco sector plays a crucial role in the national economy through its contribution to tax revenues. Taxes on tobacco products, which include VAT and other specific levies, represent a significant source of revenue for the government, which is used to fund critical areas such as public health, education and infrastructure.