Concerns Rise Among FCV Tobacco Farmers in Andhra Pradesh Over Slow Procurement and Falling Prices
FCV tobacco farmers in A.P. voice concerns over slow procurement, plummeting prices
Image: The Hindu
Flue-Cured Virginia tobacco farmers in Andhra Pradesh are facing challenges due to slow procurement and declining prices this auction season. Despite a high production of 232 million kg, only 13.5 million kg has been procured, with average prices dropping from ₹259 to ₹233 per kg.
- 01FCV tobacco procurement in Andhra Pradesh started on March 25, 2026, and expanded on April 9.
- 02Only 13.5 million kg of tobacco has been procured this season compared to over 50 million kg last year.
- 03Average auction prices have decreased from ₹259 per kg last year to ₹233 per kg this season.
- 04The highest bids have fallen sharply, with ₹266 per kg recorded in Rajahmundry compared to ₹456 per kg last year.
- 05The Tobacco Board has set weekly procurement targets and encourages farmers to bring quality graded tobacco to improve sales.
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Flue-Cured Virginia (FCV) tobacco farmers in Andhra Pradesh have expressed significant concerns regarding the slow procurement process during the current auction season, which began on March 25, 2026. Despite an estimated production of 232 million kg of FCV tobacco, only 13.5 million kg has been procured so far, a stark contrast to over 50 million kg procured during the same period last year. This decline is exacerbated by falling prices, with the average auction price dropping from ₹259 per kg last year to ₹233 per kg this season. The highest bids have also decreased, with the maximum price in Rajahmundry falling to ₹266 per kg from ₹456 per kg in the previous season. During a stakeholders' meeting in Guntur, Tobacco Board officials urged farmers to improve participation in auctions and bring properly graded tobacco to secure better prices. The Board has implemented weekly procurement targets for traders and plans to convene a meeting next month to discuss the crop size for the upcoming season. Despite current challenges, officials remain optimistic about future sales, citing potential increases in procurement from domestic cigarette manufacturers.
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The slow procurement and falling prices are significantly affecting the income of FCV tobacco farmers in Andhra Pradesh.
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