Did Andhra Pradesh CM Request Rs 150 Crore from Centre for Tobacco Procurement?

Amaravati, June 15 (NationPress) The Chief Minister of Andhra Pradesh, N. Chandrababu Naidu, has made a significant request to the Centre, seeking Rs 150 crore for the procurement of tobacco, advocating for a reduction in the import duty on crude palm oil, and urging discussions with US officials to lower the 27 percent tariff on aqua products.

The Chief Minister engaged in a dialogue with Union Commerce and Industry Minister Piyush Goyal to address the challenges faced by farmers involved in commercial crop cultivation and aquaculture.

During the minister's visit to the state, discussions were held at the Chief Minister’s camp office. They primarily focused on issues like the procurement of HD Burley tobacco, the reduction of import duties on crude palm oil, US tariffs on aqua exports, and the possibility of lowering GST on mango pulp.

Chandrababu Naidu detailed the difficulties currently confronting farmers in the state, explaining the measures the state government is implementing to alleviate these issues, and sought the Centre's assistance.

The Chief Minister highlighted that farmers growing HD Burley and White Burley tobacco are encountering severe challenges due to plummeting prices. He revealed that the state government has begun procurement initiatives and plans to secure 20 million kg of tobacco at an estimated cost of Rs 300 crore. Seven procurement centres have been established via AP Markfed in Bapatla, Guntur, Palnadu, and Prakasam districts.

He appealed for Rs 150 crore through the Tobacco Board for procurement, noting that this year’s tobacco cultivation spans 1.31 lakh hectares, marking an increase from the previous year. He attributed the price drops to decreased international demand for tobacco, which is adversely impacting farmers. He called for revisions to ensure that tobacco production and marketing fall entirely under the Tobacco Board's oversight.

The Chief Minister pointed out that the reduction in import duty on crude palm oil is harming local farmers, asserting that lowering the duty to 10 percent is depriving them of fair prices. He requested the Centre to revert to the previous duty structure, arguing that such cuts could undermine the goals of the National Mission on Edible Oils.

Furthermore, he informed the Union Minister that 8 lakh aqua farmers in Andhra Pradesh are suffering due to the tariffs imposed by the US on aqua exports.

He asked the Centre to engage in discussions with US representatives to mitigate the 27 percent tariff on aqua products, urging proactive measures to ease the burden on aqua farmers and help them recover from this crisis. He emphasized that hatcheries, feed mills, processing units, and exporters are also adversely affected by these tariffs.

Additionally, the Chief Minister urged the Union Minister to consider reducing GST on mango pulp from 12 percent to 5 percent. He noted that the GST on mango jelly (mamidi thandra) is currently 5 percent, suggesting a similar rate for mango pulp would benefit both farmers and the pulp industry.