Karnataka farmers attack “excessive” penalties for unauthorized tobacco

| November 28, 2013

Farmers in the state of Karnataka, India, are appealing to the Tobacco Board of India to withdraw what they see as the excessive penalties levied on unlicensed flue-cured tobacco growers, according to a story in the most recent issue of the BBM Bommidala Group newsletter.

They want the unlicensed growers to be able to produce and sell their crops.

The board, as always, is in a difficult position. If it tries to enforce its crop targets by penalizing unauthorized production, it is accused of being unfair to impoverished farmers simply trying to make a living, and it risks fueling off-auction sales of flue-cured.

If it does not penalize unauthorized sales or turns a blind eye to them, prices might be depressed, and the board leaves itself open to claims that it has allowed uncertainty and, therefore, instability into the market.

Category: Breaking News

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