Losses in the Department of Agriculture's Tobacco Program

Pursuant to a congressional request, GAO provided pricing and cost information on flue-cured tobacco under the Department of Agriculture's (USDA) tobacco program. Specifically, GAO estimated: (1) the losses that USDA could incur on 1976 through 1981 tobacco crops; (2) the total inventory price reduction resulting from USDA-approved discount sale terms; (3) the total price reduction on actual tobacco sales under the discount sale terms; and (4) interest costs incurred by USDA on the 1982 flue-cured tobacco crop.