Tobacco auction.  File Photo | Express
Andhra Pradesh

Tobacco auction: Low prices irk ryots

Despite the start of the season, many farmers are refraining from bringing their produce to market, adopting a wait-and-watch approach in hopes of securing better prices.

Express News Service

ONGOLE: Tobacco farmers in the combined Prakasam district have expressed disappointment over the ongoing auctions for the 2024–25 season, now in their third week. The auctions, conducted under the Tobacco Board’s Southern Black Soils (SBS) and Southern Light Soils (SLS) regions, have yet to pick up pace, with prices falling short of farmer expectations.

Despite the start of the season, many farmers are refraining from bringing their produce to market, adopting a wait-and-watch approach in hopes of securing better prices. Currently, the highest price offered for bright grade tobacco stands at Rs 280 per kg, with no signs of improvement.

Adding to the growers’ concerns, reject ion rates are s teadi l y increasing. Since March 26, a total of 5,288 bales have been rejected across auction platforms, averaging 587 bales per day. This growing number of rejections is fuelling dissatisfaction among farmers, who believe buyers are undervaluing their produce.

“We brought 10 bales to the auction last Tuesday, but buyers only offered Rs 220 to Rs 230 per kg. We were not happy and decided to store our stock till we get remunerative price,” said N Sivaram, a tobacco farmer from Ongole mandal. “It adds financial burden, but we hope for a better price in the future.” he added.

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