ONGOLE: The steep fall in tobacco prices has become a concern for growers in Prakasam district. The average price of tobacco has been declining for the past three weeks. The slump in the prices of tobacco is largely attributed to formation of a syndicate by some buyers.When the Tobacco Board formally launched trading at its 11 auction platforms in the district, A grade (standard) tobacco was purchased at a price of `130 per kg and low grade tobacco at `100 per kg. Later, the price of A grade tobacco declined to` 95 per kg at all the 11 auction platforms. The tobacco prices also fell at the auction platforms in DC Palli and Kaligiri in Nellore district.Reddy, a former member of Tobacco Board, said the cost of tobacco cultivation increased by 36 per cent this year compared to last year. At the average price of `100 per kg of tobacco, cultivation of the commercial crop is no more remunerative for growers, he said.“The buyers are not offering more than Rs 100 per kg for A Grade tobacco. The price is not at all remunerative to us,” said U Rama Koti Reddy, a farmer of Kondepi village. Following the slump in the tobacco prices, a farmers delegation, led by NG Ranga Kisan Samastha secretary Chenchu Seshaiah, met Tobacco Board chairman G Kamalavardhan Rao in Guntur recently and submitted a memo urging the board to ensure remunerative price for their produce. The delegation also demanded that the Centre direct the Tobacco Board to intervene and arrest the fall in tobacco prices. “The Board should monitor prices regularly,” said Sivaji, honorary president of Tobacco Farmers Association.
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