GUNTUR: The State government has assured FCV tobacco farmers that it will take all necessary measures to protect them from the current crisis and ensure that they receive fair prices for their produce. Agriculture Minister Kinjarapu Atchannaidu and Energy Minister Gottipati Ravi Kumar, along with Minister Dola Sri Balaveeranjaneya Swamy, held a detailed meeting with Tobacco Board officials, tobacco traders, purchasing companies, MLAs from tobacco-growing areas and farmers at the Tobacco Board office in Guntur on Monday.
The ministers expressed strong displeasure over companies and traders allegedly failing to follow the prices agreed upon by the Centre and State governments.
Minister Atchannaidu said companies must purchase tobacco from farmers at the prescribed prices from Tuesday and warned that strict action would be taken against those violating the directions.
The government has fixed minimum purchase prices for four grades of tobacco `230 per kg for bright grade, `190 for medium grade, ` 130 for off-style and `110 for low grade. The ministers made it clear that traders and companies must honour the agreements reached earlier in the presence of the Chief Minister and Union ministers.
Atchannaidu said tobacco production had increased to nearly 240 million kg, against the permitted 140 million kg, after farmers expanded cultivation following better prices last season. International market conditions and developments in the cigarette industry also contributed to the decline in prices.
Minister Gottipati said tobacco traders had earned substantial profits over the past four years but were reluctant to support farmers during the present difficult year. He stressed that Tobacco Board officials were responsible for ensuring implementation of the agreed MSP and warned that government action would follow if farmers were denied the prescribed prices.