Tobacco Board gets Govt nod to auction excess FCV tobacco
By TIOL News Service
NEW DELHI, SEPT 14, 2017: TOBACCO is an important commercial crop grown in India. Recognizing the need to regulate production, promote overseas marketing and control recurring instances of imbalances in supply and demand, the Government of India, under the Tobacco Board Act of 1975, established the Tobacco Board.
The Tobacco Board had informed the Central Government that a large number of registered growers have cultivated Flue Cured Virginia (FCV) tobacco in excess of the authorised quantity and unregistered growers have also resorted to unauthorised FCV tobacco cultivation in the State of Andhra Pradesh, causing a mismatch between the demand and supply position.
In response the Govt has authorised the Board to purchase FCV tobacco and dispose of the excess FCV tobacco crop of the registered growers and the FCV tobacco crop of the unregistered growers at the designated auction platforms of the Board in the State of Andhra Pradesh.
Through a notification, the Central Government has authorised the Tobacco Board to admit the registered traders and dealers to purchase at its auction platforms the excess FCV tobacco produced by the registered growers and FCV tobacco produced by unregistered growers.