Mysuru: The Federation of All India Farmer Associations (FAIFA) has warned that steep tax hikes on cigarette products by the Union govt have brought tobacco auctions to a halt at 10 platforms across Karnataka, including centres in Mysuru and Periyapatna, pushing farmers into distress.In a statement, FAIFA joint secretary Vikramraj Urs said the recent tax increases—estimated at over 70% on certain cigarette categories—have disrupted the entire tobacco value chain, resulting in near-total non-participation by traders and halting auctions across the state. He added that the impact is beginning to spill over to Andhra Pradesh as well.With repeated postponements and the marketing season advancing, growers are holding large stocks of unsold tobacco, leading to mounting financial pressure. The prolonged uncertainty, Urs said, has left farmers anxious about the fate of their produce and their ability to recover investments this season.He cautioned that the disruption in Karnataka is now threatening to affect the upcoming auction season in Andhra Pradesh, scheduled to begin in the first or second week of March.FAIFA has urged the govt to review and rationalise the tax hikes, restore buyer confidence, and ensure the immediate resumption of auctions to prevent further hardship for tobacco farmers.
