Now Reading: Tobacco exports up 166% as growers face 43% crop cut
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Tobacco exports up 166% as growers face 43% crop cut
The Federation of All India Farmer Associations (FAIFA) has warned that the Tobacco Board's decision to slash authorised Flue-Cured Virginia (FCV) tobacco crop size by 43% for the upcoming season could inflict…
The Story in Brief
The Federation of All India Farmer Associations (FAIFA) has warned that the Tobacco Board's decision to slash authorised Flue-Cured Virginia (FCV) tobacco crop size by 43% for the upcoming season could inflict a fresh financial shock on growers already struggling with unsold stocks and debt. FAIFA said a reduction of this scale must be farmer-centric and combined with export expansion.
The concern comes days after the government told Parliament that India's tobacco and tobacco product exports jumped 166.51% in value over the past decade, from Rs 6,450.66 crore to Rs 17,192.04 crore. Quantity rose 53.1%. India is now the world's second-largest tobacco producer after China. The average price realised by FCV farmers also rose 86.82% to Rs 251.14 per kg.
The Indian Opinion
The export figures are impressive, but the 43% crop cut threatens to unravel gains for small farmers who cannot quickly switch crops in low-rainfall regions. The government's push for production discipline risks ignoring ground-level costs like curing barns and labour that do not shrink proportionally. Both narratives, the export success story and the farmer hardship, are real. The test will be whether the Tobacco Board and the Ministry can enforce the cut while offering concrete diversification support and price stability for those left with smaller plots. Can they match Zimbabwe's export expansion without crushing their own growers?
Sources (2): thehindubusinessline.com, thehindubusinessline.com (2)
This story was synthesised by AI from the 2 sources linked above.
Updated: this story now draws on 2 sources.
