India: Rules, Rain and Fake Cigarettes Hit Tobacco Growers

Source from:  Business Standard 10/28/2015

Tobacco farmers in Andhra Pradesh and Karnataka are distressed because of falling product prices.

Illegal cigarettes, excessive regulation and poor monsoon were hurting them, said the farmers. Though the government had intervened and started purchasing the crop from farmers, farmer organisations said this was not enough as most of the purchases were of low price and grade.

Tobacco growers and farmers plan to meet Commerce Minister Nirmala Seetharaman, Finance Minister Arun Jaitley and Agriculture Minister Radha Mohan Singh to highlight their grievances in the next few days.

"Excessive regulation in the industry and unchecked flow of illegal cigarettes in the past few years has lead to a fall in local tobacco sales, leading to a almost 20 per cent drop in prices," Murali Babu, from the Kondapi Tobacco Growers Association, told Business Standard. Enditem