Tobacco auction process in final stage in Andhra Pradesh

Auctions have concluded at Kaligiri and DC Palli centres in Nellore district, while sales at Vellampalli, Ongole-2, and Kanigiri platforms are expected to finish within a week.
The Tobacco Board’s auction process has entered its final phase for the current season.
The Tobacco Board’s auction process has entered its final phase for the current season.(Photo | Express)
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ONGOLE: The Tobacco Board’s auction process has entered its final phase for the current season, with sales nearing completion across its 11 platforms in the two southern regions — Southern Light Soils (SLS) and Southern Black Soils (SBS).

Auctions have concluded at Kaligiri and DC Palli centres in Nellore district, while sales at Vellampalli, Ongole-2, and Kanigiri platforms are expected to finish within a week.

The Podili and Kondapi platforms are scheduled to close by the end of this month. Board officials said they expect all remaining platforms to complete auctions on schedule if the present pace continues.

“For three days, we have been bringing our tobacco bales to the auction platform, but they were set aside as ‘no bid’ bales. This is very unfair to farmers like us who travel long distances to bring our produce. We request the Board authorities to ensure that all low-grade bales, along with the bright-grade stocks, are purchased at suitable prices,” said M Srinivasulu Reddy, a tobacco farmer from Maddipadu mandal, on Monday.

The Tobacco Board permitted a total production of 104 million kg of tobacco for the SLS and SBS regions combined. The estimated yield this season was 158 million kg, and as of Monday, buyers had purchased around 140.5 million kg through the Board’s 11 platforms. The remaining produce is expected to be sold by month’s end.

Officials noted that buyers have been offering higher bids for bright-grade tobacco while showing less interest in low-grade bales, leaving several farmers with unsold stocks.

“In the SBS region (Tangutur) on Monday, the highest price for the bright variety of tobacco reached `351 per kg, the season’s top rate. Even some low grades sold at appropriate prices. We expect auctions at Ongole-2, Vellampalli, and two or three other platforms to conclude within a week, with all remaining platforms closing by month-end,” said P Rama Rao, Regional Manager, Ongole.

He urged tobacco ryots to adhere to the Board’s permitted cultivation limits for the next season.

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