Jagan Mohan Reddy visits West Godavari tobacco auction centre amid price crisis

Share:
Audio Loading voice…
Jagan Mohan Reddy visits West Godavari tobacco auction centre amid price crisis

Synopsis

With tobacco prices averaging ₹186.90 per kg — well below Chief Minister Chandrababu Naidu's ₹200 floor — and the Tobacco Board's auction data going dark for 10 days, Jagan Mohan Reddy's visit to Devarapalli is as much a political pressure play as it is a farmer outreach. The YSRCP is betting that opposition visibility on the ground will force government action, as it has reportedly done before.

Key Takeaways

Jagan Mohan Reddy will visit Devarapalli tobacco auction centre , West Godavari , on Wednesday, 4 August to meet distressed tobacco farmers.
Average tobacco auction price has reportedly fallen to ₹186.90 per kg , below the ₹200 per kg floor stated by Chief Minister N.
The Tobacco Board has allegedly stopped uploading auction data — covering quantity, price, and rejections — for the past 10 days .
YSRCP says farmers are losing approximately ₹50 per kg and has demanded that Markfed be activated to create competitive procurement.
The government's tiered price structure sets high-quality tobacco at ₹250/kg , medium at ₹190/kg , and low quality at ₹110/kg .

YSR Congress Party (YSRCP) president and former Andhra Pradesh Chief Minister Y.S. Jagan Mohan Reddy is set to visit the Devarapalli tobacco auction centre in West Godavari district on Wednesday, 4 August, to meet tobacco farmers reeling under a sharp fall in prices. The visit, confirmed by the party, will include a review of ongoing procurement operations and direct interaction with growers to understand their grievances.

What Jagan Will Assess on the Ground

During the visit, Jagan Mohan Reddy is expected to inspect procurement operations at the Devarapalli auction platform and hold extensive discussions with farmers. Key issues on the agenda include cultivation costs, remunerative pricing, procurement practices, and systemic challenges affecting tobacco growers' livelihoods.

Farmers had earlier called on the YSRCP chief and urged him to visit the auction centre firsthand to witness their plight — a request the former Chief Minister has now accepted, according to the party.

The Price Crisis: What the Numbers Show

Despite Chief Minister N. Chandrababu Naidu's stated position that tobacco should not be procured below ₹200 per kg, the average auction price has reportedly slipped to ₹186.90 per kg, according to YSRCP General Secretary MVS Nagi Reddy. He told reporters at the party's central office in Tadepalli on Tuesday that farmers are effectively losing ₹50 per kg.

The government has announced a tiered procurement structure — high-quality tobacco at ₹250 per kg, medium quality at ₹190, and low quality at ₹110 — but Nagi Reddy argued this announcement offers little practical relief to growers facing below-threshold average realisations.

Tobacco Board Data Blackout Deepens Farmer Anxiety

Adding to the distress, the Tobacco Board — which is mandated to publicly upload auction data covering quantity, price, and rejections — has reportedly stopped publishing this information for the past 10 days, according to Nagi Reddy. The absence of transparent data has left farmers without reliable market intelligence, compounding uncertainty at the auction floor.

Farmers have staged protests, but the party claims there has been no meaningful government response so far.

YSRCP's Demand: Activate Markfed to Restore Competition

The YSRCP has called on the state government to press Markfed — the state marketing federation — into active procurement. Nagi Reddy argued that Markfed's participation would introduce competitive pressure at auction centres and help farmers secure fairer prices. The party said it will continue to raise farmers' issues based on what it described as 'authentic data.'

Separately, Nagi Reddy raised concerns over Srisailam reservoir waters being drawn by Telangana through five lifts, which he said is affecting Rayalaseema. He also noted that the El Niño impact may be limited in the state given heavy rains in upstream catchment areas across Maharashtra, Karnataka, and Chhattisgarh.

With the YSRCP positioning this visit as a pressure tactic, all eyes are on whether the state government moves to address procurement concerns before or after Jagan's tour of West Godavari.

Point of View

Generate media pressure, and wait for the government to blink. That it has reportedly worked before with tobacco, mirchi, and mango farmers does not make it less legitimate as opposition strategy. The more uncomfortable question is structural: Andhra Pradesh's tobacco farmers are caught between a price floor that exists on paper and an auction reality that routinely undercuts it, while the Tobacco Board's data blackout removes the one tool that could hold either side accountable. Without transparent, real-time auction data and a credible procurement backstop like Markfed, the ₹200 floor remains a political promise rather than a market guarantee.
NationPress
4 Aug 2026

Frequently Asked Questions

Why is Jagan Mohan Reddy visiting the Devarapalli tobacco auction centre?
Jagan Mohan Reddy is visiting the Devarapalli tobacco auction centre in West Godavari on 4 August to meet farmers facing severe financial distress due to falling tobacco prices. Farmers had earlier approached the YSRCP chief and urged him to witness conditions at the auction platform firsthand.
What is the current average tobacco price in Andhra Pradesh?
According to YSRCP General Secretary MVS Nagi Reddy, the average tobacco auction price has fallen to ₹186.90 per kg — below the ₹200 per kg floor that Chief Minister N. Chandrababu Naidu has publicly stated as the minimum. The YSRCP claims farmers are losing approximately ₹50 per kg as a result.
What has the Andhra Pradesh government announced for tobacco procurement?
The state government has announced a tiered procurement price: high-quality tobacco at ₹250 per kg, medium quality at ₹190 per kg, and low quality at ₹110 per kg. However, the YSRCP argues this structure has not translated into adequate relief on the ground, with average realisations still below ₹200.
Why has the Tobacco Board stopped uploading auction data?
According to YSRCP's Nagi Reddy, the Tobacco Board has not uploaded auction data — covering quantity, prices, and rejections — for the past 10 days. The reason for this lapse has not been officially explained, and the party says the data blackout is deepening farmer anxiety by cutting off access to market information.
What is the YSRCP's demand to fix the tobacco price crisis?
The YSRCP is demanding that the state government activate Markfed — the state marketing federation — to participate in tobacco procurement. The party argues that Markfed's entry would introduce competition at auction centres and help farmers secure prices closer to the stated floor of ₹200 per kg.
Nation Press
The Trail

Connected Dots

Tracing the thread behind this story — newest first.

8 Dots
  1. Latest 1 week ago
  2. 1 week ago
  3. 2 weeks ago
  4. 3 weeks ago
  5. 11 months ago
  6. 1 year ago
  7. 1 year ago
  8. 1 year ago
Google Prefer NP
On Google