Grower suicides rise sharply

The acute financial distress being faced by tobacco growers has led to a spurt in farmer suicides in the major Indian flue-cured tobacco growing states of Andhra Pradesh, Karnataka and Telangana, according to a story by Virendra Pandit for The Hindu’s Business Line.

Ten states are facing acute drought conditions and the current imbroglio caused by the introduction of new health warnings is imposing a huge financial strain on many more farmers.

India’s major tobacco manufacturers halted production earlier this month because they were unable to meet the government’s requirement that, by April 1, tobacco packaging should carry 85 percent health warnings on its front and back surfaces. Bidi manufacturers stopped production shortly afterwards.

The upshot of this situation seems to be that the licit tobacco industry is facing losses of more than Rs3,500 million a day and the illicit industry has taken about a 90 percent share of the cigarette market.

‘The livelihood of more than 45 million people engaged in the tobacco industry across India is being threatened due to the ambiguity on the policy related to graphic health warnings on tobacco products, the Associated Chambers of Commerce and Industry of India was quoted as saying in a statement.