GUNTUR: Following a record-high production season, Burley tobacco farmers in Andhra Pradesh are facing a sharp price crash and mounting uncertainty. While a partial relief effort is underway through government procurement, growers are intensifying calls for long-term regulatory reforms, including bringing Burley tobacco under the purview of the Tobacco Board.
In the 2025 season, Burley tobacco was cultivated across four major districts — Bapatla, Guntur, Palnadu, and Prakasam — covering a total of 90,964 acres, and yielding approximately 102.48 million kg. Bapatla led the production with 13,451 farmers cultivating it in 66,814 acres, and producing 75.96 million kg. Guntur followed with 3,731 farmers cultivating it in 14,094 acres, and generating 15.45 million kg. Palnadu contributed 8.75 million kg from 7,876 acres cultivated by 2,264 farmers, while Prakasam had the lowest output of 2.32 million kg from 2,180 acres and 530 farmers.
To address the crisis caused by trader inaction, the State government, through APMARKFED, launched a direct procurement programme — a first-of-its-kind initiative in the country. The government allocated nearly Rs 300 crore to procure 20 million kg of Burley tobacco. The procurement began on June 10 across 11 centres. By July 5, 2,088 metric tonnes valued at Rs 17.2 crore had been procured from over 700 farmers.
Despite this, farmer leaders say the pace is inadequate. Dr Kolla Rajamohan of the Nallamada Rythu Sangham highlighted the risk of quality degradation and income loss due to delays. He urged for quicker payments, more procurement centres at mandal-level, and permission for cross-district sales. He also called for relaxed moisture content norms and timely slot allocation updates via SMS or WhatsApp.
He also submitted a letter to Union Commerce Minister Piyush Goyal, pressing for the inclusion of Burley tobacco under the Tobacco Board’s jurisdiction, similar to FCV (Flue-Cured Virginia) tobacco. He cited issues such as lack of price regulation, middlemen exploitation, absence of standard grading, and missed export opportunities. Chief Minister N Chandrababu Naidu also appealed to the Centre for the same, suggesting that Board oversight could bring greater stability to the sector.
Tobacco Board Chairman Yashwanth Kumar Chidipothu acknowledged the farmers’ concerns but clarified that Burley tobacco falls outside the Board’s regulatory scope, as only FCV tobacco is considered commercially viable under the Tobacco Act. “We regulate FCV production and sale, but Burley and other varieties were never included,” he explained.
Chidipothu attributed the price drop to global market shifts. Between 2020 and 2023, international demand rose when India became a key supplier amid pandemic disruptions. Encouraged by profits, farmers expanded cultivation. However, with Brazil, Zimbabwe, and other major producers returning to full-scale production, oversupply has now pushed prices down.
With procurement scheduled to continue through September, farmer groups are demanding a long-term policy solution.