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Time of India
2 hours ago
- Business
- Time of India
Centre has done little to support tobacco farmers: Minister
Mysuru: The Union govt earns over Rs 13,000 crore in tax revenue from tobacco cultivated in Andhra Pradesh and Karnataka, yet it has done little to support the farmers who grow it—especially during times of distress, said minister for animal husbandry and sericulture K Venkatesh. Speaking at the 25th anniversary celebration of the Tobacco Institute of India's Tobacco Farmers Awards, held here on Tuesday, Venkatesh, who represents Periyapatna where tobacco is a major commercial crop, emphasised the plight of tobacco farmers. "Due to heavy rain, many farmers are suffering losses. The manure they applied was washed away, forcing them to reapply it—adding to their expenses. It is the duty of Union govt and the Tobacco Board to step in during such times," he said. Venkatesh, himself a tobacco farmer for over 60 years, noted that while farmers struggle, tobacco-dependent industries continue to earn massive profits. "Most farmers are incurring losses. Yet, the companies that rely on tobacco are making huge gains," he added. Despite discussions on banning tobacco, farmers are unwilling to abandon the crop, citing a lack of viable alternatives. He also pointed out that nearly half of Karnataka's tobacco is produced in a single taluk—Periyapatna—and stressed that such a high-revenue crop deserves more govt attention. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Dermatologista recomenda: simples truque elimina o fungo facilmente Acabe com o Fungo Undo Venkatesh cautioned farmers against growing a second tobacco crop in the same season, saying it often leads to greater losses. Mysore MP Yaduveer Wadiyar highlighted the need to reduce the high cost of tobacco production and urged for the adoption of modern technology. "Production costs are rising. Farmers need innovative methods to reduce expenses," he said. Wadiyar proposed an eco-friendly alternative to traditional firewood used in curing tobacco. "Currently, tobacco farmers use a lot of firewood. If they switch to lantana—a plant that is invasive and harmful to forests—it could help reduce environmental damage, while also cutting costs," he suggested. At the event, ten farmers from Karnataka were honoured across four categories. Sharad Tandan, director, TII, said India is the second largest tobacco producer in the world and the third largest producer of Flue Cured Virginia (FCV) tobacco, following China and Brazil. India is a leading leaf tobacco exporter in the world, exporting tobacco to more than 100 countries across the globe. "A significant challenge impacting the legal industry and the domestic tobacco growers is the large illegal cigarette trade. India is the fourth largest illicit cigarette market globally and results in an annual revenue loss of Rs 21,000 crore to the govt," added Tandan. Yashwanth Kumar Chidipothu, chairman of Tobacco Board, BC Srinivas, director (auctions), Tobacco Board, and S Ramakrishnan, principal scientist and head, CTRI Research Station, Hunsur, were present.


The Hindu
11 hours ago
- Business
- The Hindu
Venkatesh urges Centre to support farmers using tax money from sale of tobacco
Minister for Animal Husbandry and Sericulture K. Venkatesh has urged the Centre to spend a portion of the taxes collected from sale of tobacco to support tobacco farmers. Speaking at the 25th Tobacco Institute of India (TII) Tobacco Farmers' Awards in Mysuru on Tuesday, Mr. Venkatesh said the Centre earns more than ₹13,000 crore in tax from the sale of tobacco in Karnataka and neighbouring Andhra Pradesh, asking how much of it does the Centre spend on the farmers. Mr. Venkatesh said the tobacco farmers who had contributed so much tax to the government, deserved support from the Centre. He urged the Tobacco Board to come up with programmes for the welfare of the tobacco farmers. Mr. Venkatesh pointed out that Periyapatna accounted for half of the tobacco cultivated in the State, while the remaining half came from other taluks including Hunsur, H.D. Kote, and K.R. Nagar in Mysuru district. He cautioned the tobacco farmers against cultivating the second tobacco crop in the same season. When the farmers realise that the tobacco crop will fall short of the ceiling fixed by the Tobacco Board, many farmers resort to taking up planting again. He warned the farmers against such a practice. Mysuru MP Yaduveer Krishnadatta Chamaraja Wadiyar emphasised the need to reduce high cost of tobacco production through adoption of modern technology.


The Hindu
11 hours ago
- Business
- The Hindu
Tobacco export reaches all-time high of ₹16,000 crore during 2024-25, says TII
Tobacco Institute of India (TII) said export of tobacco and tobacco products has reached an all-time high of over ₹16,000 crore during 2024-25, said director of TII Sharad Tandan at the Silver Jubilee of the TII Tobacco Farmers' awards held in Mysuru on Tuesday. A total of 10 farmers from Karnataka were honoured on the occasion for demonstrating benefits of modern farming practices. Established in 1999, the TII Tobacco Farmers' awards seek to encourage the farming community to adopt modern, sustainable, and innovative farming practices that would help improve yields, crop variety, and make Indian tobacco competitive in the global market. Mr. Tandan said there was a huge potential for growth in Indian tobacco exports and urged the government to provide export incentives similar to other tobacco exporting countries. 'This would improve the price competitiveness of Indian tobacco in the global market and help us tap the export potential, benefitting domestic farmers', he said. Pointing to the socio-economic contribution of tobacco sector, which provides livelihood to 4.6 crore people in India, Mr. Tandan said India, which is only the third largest producer of Flue Cured Virginia (FCV) tobacco in the world following China and Brazil, exports tobacco to more than 100 countries. The 'extremely high' cigarette taxation in the country was driving the illegal cigarette trade, he said. Illicit cigarettes are estimated to account for a third of the cigarette volumes in the country, which means every fourth cigarette sold in the country is illicit,' he said. 'This makes India the fourth largest illicit cigarette market globally and results in an annual revenue loss of ₹21,000 crores to the government,' Mr. Tandan said. He said whenever taxes have gone up, the share of illicit cigarette trade also increases and that smuggled cigarettes do not use domestic tobacco, leading to a drop in demand. The recipients of awards included Vikram Raj Urs under the Lifetime Achievement Category; Javare Gowda, K.M. Raju, Halamma, and K.M. Mallesh under Best Farmers' category; Kemparaju C. and Krishne Gowda K.C. under Sustainability category; and Chandre Gowda C., Kamalamma, and Chandappa under Recognition awards category. Minister for Animal Husbandry and Sericulture K. Venkatesh, Mysuru MP Yaduveer Krishnadatta Chamaraja Wadiyar, chairman of Tobacco Board Yashwanth Kumar Chidipothu, director (Auctions) of Tobacco Board B.C. Srinivas, and principal scientist, CTRI Research Station, Hunsur, S. Ramakrishnan were present.


Hans India
23-05-2025
- Business
- Hans India
Crop planning should align with mkt demand: CM
Vijayawada: Chief Minister N Chandrababu Naidu on Thursday directed the officials of the Agriculture department to go for crop-specific planning aligned with national and global market trends. Naidu emphasised the need to inform farmers in advance about suitable crops based on market dynamics to ensure a balance between supply and demand and prevent losses. "Farmers must cultivate only high-demand crops to avoid losses," said Naidu. He instructed the officials to adopt scientific planning and monitor global agricultural developments regularly. During an official review on key crops such as tobacco, cocoa, mango, and paddy, he discussed immediate and long-term farmers' issues. He stated that both short-term and long-term challenges in agriculture must be addressed through the Cabinet Sub-Committee. The CM instructed officials that cocoa stocks with farmers should be purchased at Rs 500 per kg, and if the companies fail to do that, he said the government should step in for direct procurement. He also ordered accurate registration of HD Burley tobacco stocks through an app and approved a crop holiday for that variety due to lack of market demand. He is pursuing the inclusion of HD and White Burley varieties under the Tobacco Board and will discuss farmer concerns with union ministers. The Chief Minister also reviewed challenges faced by tomato farmers and instructed officials to encourage more tomato processing units in the state to ensure fair prices. On paddy, officials informed him that procurement is progressing smoothly, with even rain-damaged stock being purchased. To boost mango pulp consumption, he suggested a Goods and Service Tax (GST) reduction on pure juices and proposed its use in mid-day meals and Tirumala-Tirupati Devasthanams (TTD) temple offerings to increase demand. This initiative is aimed at boosting mango juice consumption and alleviating the financial strain on mango farmers, who are currently grappling with declining prices. It has been observed that a lack of orders has led to a slowdown in mango procurement, causing considerable distress among mango growers. Naidu directed officials to ensure that pulp processing companies immediately resume procurement. However, officials highlighted that existing stockpiles and a shortage of bank loans for pulp companies are limiting their capacity to purchase fresh stock. To address this, the CM instructed officials to facilitate bank loans for these processing units. Ministers Ayyanna Patrudu, Nadendla Manohar, Gottipati Ravikumar, Nimmala Ramanaidu, and Payyavula Keshav participated in the review meeting.


Hans India
17-05-2025
- Business
- Hans India
Tobacco farmers must not suffer due to lack of remunerative prices: Naidu
Vijayawada: Chief Minister N Chandrababu Naidu on Friday issued firm directives that tobacco farmers in the State must not suffer losses under any circumstances. He ordered that traders must begin immediate procurement of tobacco at remunerative prices and underlined that procurement should not stop under any pretext. He made it clear that any injustice to farmers would not be tolerated. He warned traders that the government would not hesitate to take action if the current crisis is not resolved promptly. In a review meeting held at his Undavalli residence on Friday with officials and traders regarding procurement and support prices for tobacco, cocoa, chili, and paddy, Naidu expressed deep dissatisfaction over the sharp fall in tobacco prices. He directed authorities to ensure farmers get remunerative prices and to avoid any actions that would bring disrepute to the government. He said that the HD Burley variety of tobacco must be purchased by companies at Rs 12,500 per quintal based on quality. GPI and ITC must immediately begin procurement of 20 million kg. Daily procurement must be monitored through a control room and WhatsApp groups. Officials informed Naidu that a total of 450 million kg of FCV, White Burley, and HD Burley tobacco was produced across 1,90,456 hectares in 2024–25—a record high. A shift from other crops to tobacco caused this unexpected surge, leading to oversupply issues. Babu criticised the Tobacco Board for failing to prevent the price crash and said there was poor coordination with major traders like GPI and ITC. He noted that while companies lured farmers with the promise of high prices, they slashed rates at harvest time—an unacceptable betrayal. He faulted companies for creating a crisis by denying MSP. To resolve the crisis, he pointed out that only a Buyback Agreement Policy could protect farmers. He urged farmers to enter into buyback agreements with companies from now on. Companies explained that the Tobacco Board regulates only FCV tobacco. Over 90% of White Burley tobacco has already been procured. Reviewing cocoa procurement, he instructed Mondelez to not buy cocoa beans below Rs 500/kg. He warned against exploitation of farmers and urged coordination with other companies to ensure uniform pricing. He asked Mondelez to prepare a value-chain plan from cultivation to product development. A dedicated cocoa policy, similar to that for oil palm, is needed, he said. He instructed the Agriculture Marketing Department to prepare a list of chili farmers who sold produce through market committees and suffered losses due to low prices. He directed that all remaining paddy still with farmers be procured and that fine rice cultivation be promoted.