Andhra Pradesh allows tobacco growers to sell extra crop, with higher contributions for larger excess quantities

The Central Government has allowed registered tobacco growers in Andhra Pradesh to sell excess flue-cured Virginia (FCV) tobacco during the 2026–27 crop season. The extra tobacco can be sold to registered traders through auctions authorised by the Tobacco Board.

The amount growers must contribute to the Tobacco Fund depends on how much they exceed their quota (the Tobacco Fund is the Tobacco Boards’ Growers’ Welfare Scheme, for the educational, social and health welfare of the registered FCV tobacco growers and their dependent family members):

• Up to 5% above quota: 1% service charge on sale proceeds.

• More than 5% and up to 10% above quota: ₹2 per kg plus 5% of sale proceeds.

• More than 10% and up to 20% above quota: ₹2 per kg plus 10% of sale proceeds.

• More than 20% above quota: ₹2 per kg plus 15% of sale proceeds.

The service charge of 1% applies separately in all cases. In simple terms, growers can sell their extra tobacco, but the more they produce beyond their quota, the higher their contribution to the Tobacco Fund.