Tobacco Board has fixed the crop size for Andhra Pradesh for 2016-17 crop year at 130 millon kgs based on the indents given by the tobacco trade. The board after detailed discussions taking into consideration the gloomy situation in the world's market, carryover stocks, declining demand for tobacco in domestic markets, growers' demands for assuring remunerative prices for their produce, decided to fix a crop size of 130 million kgs for Andhra Pradesh based on the indents received from the Indian Tobacco Association.
Last year 2015-16, the crop size was fixed at 120 million kgs compared to 172 million kgs in 2014-15. This downsize in 2014-15 was on account of low grade production of tobacco and lack of confirmation from the importers.
Earlier in March, the board had reduced the crop size under tobacco in Karnataka to 95 million kgs from 100 million kgs last year.