No Interest-Free Loan for FCV Tobacco Farmers

  • FCV tobacco is primarily produced in India’s Andhra Pradesh and Karnataka states. 
  • Heavy rains from the MICHAUNG cyclone have severely affected the FCV tobacco crop in Andhra Pradesh, affecting approximately 20% of the total planted area. 
  • The government has approved an Rs 10,000/- interest-free loan from the Grower Welfare Fund of the Tobacco Board to the grower members of the fund. 
  • The loan is one-time and will be recovered from the tobacco grower’s auction sale proceeds of the 2023-24 Andhra Pradesh crop season. 
  • The auctions of FCV tobacco in Karnataka have already marketed around 85.12 M. kg of tobacco, resulting in a 12.49% increase in the average price received by tobacco growers. 
  • The government has waived the penalty on the sale of excess production of registered growers and unauthorized production of unregistered growers for the Karnataka Crop Season 2023-24.
Posted in Current Affairs.