Tobacco auction fetches higher prices

The FCV tobacco market remained buoyant after 99 days of auctioning (2006) at 18 tobacco board platforms in Andhra Pradesh as farmers of five soil areas continue to earn higher prices than what they earned last year (2004-05). Farmers of northern light soils (NLS) and southern light soils (SLS) respectively earned Rs 14.60 and Rs 6 more a kg than what they received last year. Their counterparts in southern black soils (SBS), northern black soils (NBS) and central black soils (CBS) respectively received Rs 7.39, Rs 6 and Rs 6.80 more per kg over last year's earnings.

The figures provided by the auctions supervisor of the Tobacco Board here show that the buyers of three manufacturers, 17 exporters and others have so far, on an average, paid Rs 57.36 a kg to NLS farmers at Davarapalli, J R Gudem-1, J R Gudem-2 and Koyyalagudem floors in Godavari districts. They paid Rs 41.92 a kg to SLS farmers at Podili-1, Podili-2, Kandukur-1, Kandukur-2, Kaligiri and DCpalli platforms in Prakasam district.

An average price of Rs 42.09 per kg has been recorded at SBS auction floors of Vellampally-1, Vellampally-2, Ongole-1, Ongole-2, Tangutur, and Kondepi in Prakasam district and Rs 38.49 a kg at NBS platforms of Bhadrachalam and Thorredu in Khammam district. Buyers paid an average rate of Rs 39.01 a kg to CBS farmers at Keesara (Krishna dist) and Thorredu (Guntur) platforms.

Traders and buyers, who have so far briskly lifted 11,96,15,606 kg of the total harvested 14,11,00,000 kg FCV tobacco crop, paid farmers an overall average price of Rs 46.41 a kg, Rs 9.40 more than what they paid last year. They purchased only 75.32 million kg harvest at the end of 99 days of auctions in 2004-05.

Of the 39.20 million kg NLS crop, 35.75 million kg has been auctioned off. Farmers sold 42.13 million kg of 46.76 million kg SLS crop. Traders took away 35.26 million kg of 47.39 million kg SBS crop and 3.17 million kg of 4 million kg CBS crop. Of the 3.75 million kg NBS crop, 3.30 million kg has been lifted.

Auctions concluded at Tadikonda and DCpalli platforms. On the 99th day, 15,085 tobacco bales came up for auctions and traders purchased 14,387 bales, which was considered a record.