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Crash in tobacco prices dashes farmers' hopes

Last Updated 12 April 2011, 18:17 IST
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Tobacco was grown on over 14,000 hectares of land in the taluk. But the land under tobacco cultivation is on a gradual decline.

 Tobacco marketing for the season began just a month ago, but is progressing at a snail’s pace. Farmers expecting a bumper price for the produce following less production this year in the country, are now worried over not even getting back the production cost, following the low prices quoted by buyers.

Some farmers, who did not sell their produce last year due to less price quoted by buyers, had expected a better price at least this year. But, with no demand from the buyers, they have been forced to sell that stock at Rs 30 to Rs 40 per kg.

The average price for top quality tobacco grown in Akkol, Khadakalat, Galataga,
Lakhanapur, Padalihal, Kognolli, Soundalaga and Pattankudi villages was Rs 80 to Rs 100 a kg. The ordinary quality tobacco was sold at an average price of Rs 60 to Rs 80 per kg. But this year, farmers are finding it difficult to make both ends meet.

Growing areas shrink

Following better prices for sugarcane and vegetables, the tobacco growing area has come down considerably in the last two years. The high cost of production, shortage of farm labour and natural calamities also led to reduction in tobacco growing areas.

There was great demand for tobacco grown in the taluk in other states. But with the whole marketing process being under the control of vested interests, farmers are not getting the prices they expected. 

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(Published 12 April 2011, 18:17 IST)

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