Tobacco Farmers’ Price Crisis: YS Jagan to Visit Devarapalli Procurement Centre Today

Tobacco Farmers' Price Crisis: YS Jagan to Visit Devarapalli Procurement Centre Today

YSRCP Raises Concern Over Plight of Tobacco Farmers

The YSR Congress Party (YSRCP) has expressed serious concern over the worsening condition of tobacco farmers in Andhra Pradesh. The party has alleged that despite promises of ensuring remunerative prices, the Chandrababu Naidu-led government has failed to protect farmers and has left them at the mercy of traders and middlemen.

According to YSRCP, although the government announced in June and July that tobacco should not be purchased below ₹200 per kilogram, thousands of farmers were reportedly forced to sell their produce at an average price of just ₹187 per kilogram.

The party further alleged that traders formed a syndicate to artificially suppress auction prices, resulting in losses of over ₹3,000 crore for tobacco farmers during the last two seasons.

YSRCP president and former Chief Minister Y.S. Jagan Mohan Reddy is scheduled to visit the tobacco auction centre at Devarapalli in East Godavari district today to interact with farmers and understand their grievances firsthand.

Government Promised ₹200, Farmers Received Only ₹187, Says YSRCP

The state government had earlier announced that tobacco prices should not fall below ₹200 per kilogram and claimed to have instructed traders accordingly.

However, according to farmers and YSRCP, the situation at auction centres was entirely different. Farmers alleged that traders quoted nearly identical prices during auctions, leaving them with little bargaining power.

As a result, instead of receiving the promised ₹200, farmers reportedly received an average of only ₹187 per kilogram, the opposition party claimed.

Were Traders Operating as a Syndicate?

YSRCP has alleged that instead of competitive bidding at tobacco auction centres, several traders acted as a syndicate to keep prices artificially low.

According to the party, the lack of genuine competition forced farmers to sell their crop at lower prices. It accused the government of failing to monitor the auction process effectively and prevent such practices.

₹3,000 Crore Losses Over Two Seasons, Alleges Opposition

YSRCP claimed that the collapse in tobacco prices caused substantial financial losses to farmers over the last two cultivation seasons.

According to the party:

  • Tobacco prices declined significantly.
  • The government’s announced minimum price was not effectively implemented.
  • Trader syndicates influenced auction prices.
  • Farmers collectively suffered losses estimated at around ₹3,000 crore over two seasons.

Why Didn’t Farmers Benefit Despite Tobacco Board Prices?

YSRCP argued that the prices announced by the Tobacco Board remained largely on paper and did not translate into actual returns for farmers.

Maximum Auction Prices Announced

SeasonMaximum Price (₹/kg)
2023–24288.65
2024–25248.66
2025–26214.19

The party alleged that despite these benchmark prices, farmers did not receive corresponding returns at auction centres due to inadequate government oversight, allowing traders to dictate prices.

YSRCP Continues Protests in Support of Tobacco Farmers

The opposition party said it has been consistently highlighting the issues faced by tobacco farmers across the state through various protest programmes.

These include:

  • Demonstrations at tobacco procurement centres
  • Meetings with farmers
  • Submission of representations to the government
  • Demands for remunerative prices

YSRCP has urged the government to intervene immediately and prevent farmers from falling victim to trader cartels.

YS Jagan to Visit Devarapalli Today

Former Chief Minister and YSRCP president Y.S. Jagan Mohan Reddy is scheduled to visit the tobacco procurement centre at Devarapalli in East Godavari district today.

During the visit, he is expected to interact with farmers, hear their concerns regarding declining tobacco prices, and gather details about the allegations of trader syndicates. Party leaders said he would assure farmers of YSRCP’s continued support.

YSRCP Questions Government’s Role

YSRCP has alleged that a farmer’s year-long effort loses its value if remunerative prices are not ensured. The party accused the government of promising a minimum price of ₹200 per kilogram but allowing farmers to sell their produce at around ₹187 per kilogram.

It further alleged that the government failed to curb the influence of trader syndicates, leading to significant financial losses for tobacco farmers over the past two seasons. According to YSRCP, the government must now answer how and when justice will be delivered to farmers who have reportedly suffered losses running into thousands of crores.

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