Minister urges tobacco buyers to maintain prices above ₹200 per Kg
Andhra Pradesh Minister of Energy Gottipati Ravi Kumar on Monday (June 29, 2026) visited the tobacco auction platform in Vellampalli village of Maddipadu mandal in
Andhra Pradesh Minister of Energy Gottipati Ravi Kumar on Monday (June 29, 2026) visited the tobacco auction platform in Vellampalli village of Maddipadu mandal in Prakasam district. After reviewing the procurement process, he held discussions with officials on auction operations, price trends, and procurement practices. Addressing the media, he said, “The welfare of the farmers remains a top priority for the coalition government. Chief Minister N. Chandrababu Naidu has convened a meeting with representatives of tobacco purchasing companies after concerns over low prices were brought to his attention, with the objective of ensuring fair remuneration for growers.” Reaffirming the government’s commitment to safeguarding the interests of tobacco farmers, Mr. Ravi Kumar urged tobacco buyers to ensure that auction prices do not fall below ₹200 per kg, allowing farmers to receive remunerative returns.
He observed that although 29 tobacco purchasing companies are registered, only 9 to 10 companies are participating in the auctions. He directed the officials to ensure that all registered companies participate in the bidding process and instructed them to closely monitor auction centres to prevent situations where farmers receive inadequate or no bids. He said that the government would work towards making the procurement system more transparent and efficient, while ensuring strict implementation of procurement norms. Pointing out the price differences between A.P. and Karnataka, the Minister stated that procurement agencies should keep farmers’ interests in mind while making purchases.
If necessary, the State government would engage directly with the buyers to secure better prices for the farmers, he added. He reiterated that the government would take measures to ensure farmers get good remunerative prices. Meanwhile, Mr. Ravi Kumar inaugurated a 33/11 kV substation constructed at a cost of ₹3.80 crore in Housing Board Colony of Ongole. He said that the coalition government had accorded high priority to strengthening the State’s power distribution network to meet the growing demand for electricity and improve the quality of supply. He stated that 25 substations had been sanctioned across the erstwhile Prakasam district, with several already commissioned and the remaining projects in the final stages of completion.
These would be made operational shortly. The construction of a 220 kV APTRANSCO substation at Yerragondapalem was progressing at an estimated cost of ₹70 crore, he added.