Topic
tobacco
Commodities Indian Tobacco Board Slashes Crop Size by 43% as Glut Forces Farmers to Seek Alternative Crops
The Indian Tobacco Board has cut the FCV tobacco crop size for 2026-27 by 43% to 81 million kg for Andhra Pradesh and 44% to 51 million kg for Karnataka, responding to a market glut exacerbated by competition from Brazil and African countries. Farmers, while understanding the rationale, are scrambling for alternative crops and demanding action against unlicensed growers who distort prices.
Commodities Andhra CM Naidu orders tobacco companies to resume buying as surplus piles up
Andhra Pradesh Chief Minister N Chandrababu Naidu has directed tobacco companies to immediately resume purchases from farmers facing a massive surplus. With production at 142 million kg against indents of 95.5 million kg, the Chief Minister warned that prices must not fall below the state's Minimum Support Price (MSP) of ₹200 per kg and criticised slow procurement by major manufacturers ITC Ltd, Godfrey Phillips India Ltd, and VST Industries.