Kurnool: With a one-third price rise on average, tobacco farmers in Prakasam are over the moon with this year's yield, even as the trend of increasing cropping area continues.
In the 2023-24 cycle, around 5 million kgs of tobacco was produced more, in comparison to the last cycle. Approximately Rs 20 crores has been additional revenue compared to last year.
So far, 15 million kgs of tobacco have been sold, reaching a maximum price of Rs 366 per kg (Tangutur auctions). Last year, the maximum price was Rs 279 per kg.
The tobacco board markets the produce of 2,864 farmers in 2,827 barns.
Permission was granted for cultivation in 5,349 hectares in Tangutur region. However, farmers expanded this to 7,147 hectares. This trend has been seen throughout Prakasam district.
The district boasts around 31,000 tobacco growers and nearly 24,500 barns under the southern black soil and southern light soil schemes.
In Tangutur auctions this year, tobacco fetched a minimum price of Rs 100 per kg. The average price was Rs 278 per kg. The average price last year was Rs 214 per kg.
This year, 4.56 million kgs of superior grade tobacco were sold, alongside 4.78 million kgs of medium grade and 5.42 million kgs of low grade.
Due to the increased volumes, the auction is still going on and will be extended to 150 days.
Around 15 million kgs of the crop have already been auctioned in 130 days, surpassing the initial 10 million kgs allowed for cultivation.
During the 2022-23 season, tobacco was cultivated on 61,639 hectares, exceeding the approved for 57,774 hectares.
Encouraged by good returns, farmers expanded their cultivation area again this year, producing an additional 5 million kgs of tobacco and reaping substantial profits.
Tobacco board official A. Srinivasa Rao noted that farmers still have significant stocks remaining, with roughly 1 lakh kgs of tobacco being sold daily.
This will further benefit farmers as they intend on capitalising on favorable market conditions.
Further, tobacco farmer Puli Venkateswara Rao from Maddipadu expressed his happiness, stating that they are receiving decent prices this year.
