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Roughly 50 percent of all US-produced tobacco is grown in North Carolina, 25 percent in Kentucky, and 7 percent in each of Virginia and Tennessee.[4] In 2007, the last year for which there is relevant data, there were 8,113 tobacco farms in Kentucky, 2,622 farms in North Carolina, 1,610 farms in Tennessee, and 895 farms in Virginia.[5] Structure of the Tobacco Economy Tobacco growers contract with different types of buyers through agreements to produce specific amounts of tobacco at set prices