Tobacco plantPer Product Management Bulletin: PM-24-077 one of the requirements for tobacco to be considered grown under contract is that the producer have a contract with an entity that meets the definition of processor in the tobacco crop insurance policy. Part of this definition is a requirement that the processor possess all required permits and licenses for the processing and manufacture of tobacco.

RMA has received questions regarding who is responsible for determining whether an entity offering a tobacco contract possesses all required permits and licenses for the processing and manufacture of tobacco, and as a result of those questions, the definition of processor has been revised in the Special Provisions to clarify that it is the producer’s responsibility to determine if an entity offering a contract possess all required permits and licenses. Click the following link to access the bulletin for additional information and the full revised definition: PM-24-077 Tobacco Contracting Entity Eligibility.