Vijayawada: The 2023-24 Flue Cured Virginia (FCV) tobacco season has proven exceptional for farmers and exports, with an average auction price reaching a record high of Rs 288.65 per kg in Andhra Pradesh.
This season's average price is Rs 62.92 per kg higher than last year’s average of Rs 225.73. The highest price recorded at auction this year was Rs 411 per kg, compared to Rs 289 per kg last year.
A surge in international demand for Indian FCV tobacco has driven these unprecedented figures, with production totaling 215.35 million kg marketed this season.
A total of 43,021 tobacco growers participated in the auction sales, which began on February 29 and concluded on October 14, lasting 178 days. Farmers collectively earned Rs 6,313.58 crore from tobacco sales.
Notably, 38,751 registered growers benefited from a penalty waiver on the sale of 76.84 million kg of excess tobacco, amounting to Rs 184 crore.
Tobacco exports have reached a record high of Rs 12,005.89 crore this year, and this figure is expected to be surpassed in the 2024-25 season. As of September 2024, export values during the current financial year stood at Rs 8,243.58 crore.
These substantial exports not only benefit tobacco farmers but also significantly contribute to the national exchequer by generating foreign exchange.
