Tobacco farmers in Andhra Pradesh are gaining confidence as competition among buyers improves during the ongoing 2025–26 FCV tobacco auctions. Agriculture Minister K. Atchannaidu said the government is closely monitoring auction centres to protect farmers’ interests.
By September 4, auctions had completed 132 days, with 86.59 million kg of FCV tobacco marketed against the permitted crop size of 142 million kg. Actual production is estimated at 236 million kg, creating surplus pressure. The average price stood at ₹209.83 per kg, compared with ₹248.86 per kg last year.
However, buyer participation has improved, while no-bid bales have declined to 11–12 per cent daily. Some auction platforms recorded only 1–2 per cent no-bid bales. Weekly marketing averages about 10 million kg.
The government has reduced the permitted crop size for 2026–27 to 81 million kg to prevent future surplus.