Since 1989 there has been a major shift in transplant production from traditional plant beds to greenhouse container systems. Advantages of container transplants include reduced labor requirements at setting, higher plant survival rate, and uniform plant growth. The capital investment of a greenhouse has been a drawback to many producers adopting this system of plant production. Studies were initiated in 1993 to compare container transplant production in a greenhouse with those raised under fabric cover, without environmental control, outdoors. Burley (TN90) and dark-fired (N.L. Madole) tobacco were sown in 288 cell trays using pelleted seed. Treatments included both primed and non-primed seed of each cultivar. Seeded trays were either placed in a greenhouse or outdoors under a covering of spunbond fabric. Greenhouse temperatures were maintained at 22°C for 14 days. There was no temperature regulation in the outdoor beds and minimum temperatures of 6°C were recorded during germination. In the greenhouse primed seed emerged more uniformly and 3-5 days earlier than non-primed seed. After 4 weeks there was no measureable difference between the primed and non-primed. Emergence in outdoor beds was 7-10 days slower than in the greenhouse and plant development was delayed by 10-14 days. Differences in emergence and development of primed vs. non-primed seed were greater in dark-fired than in Burley. Percentage of useable plants was significantly lower in outdoor beds compared to greenhouse production.