Andhra Pradesh Chief Minister N Chandrababu Naidu, who is a key ally of the NDA government at the Centre, has appealed to Union Commerce Minister Piyush Goyal to reconsider the decision to reduce import duty on crude palm oil by 10 per cent.
Stating that the move would result in farmers not getting a fair price for their Fresh Fruit Bunches (FFBs), Naidu felt that the move would also make the targets for the National Mission on Edible Oils unachievable.
Goyal met Naidu at Amaravathi on Sunday and held discussions on various issues concerning mangoes, tobacco and reduction of GST on mango pulp.
Naidu wanted the Commerce Minister to allocate ₹150 crore to help procure Burley variety of tobacco.
A bumper crop of Burley resulted in a glut in Andhra Pradesh, pushing the farmers into a serious financial crisis. With no solution in sight, the state government asked the Tobacco Board, which works under the aegis of the commerce ministry, to take measures to procure the Burley tobacco.
Though it agreed to help the State, the Board asserted that the Burley tobacco was not a mandate crop for it.
CM Chandrababu informed the Union Minister that tobacco cultivation in Andhra Pradesh has expanded to 1.31 lakh hectares this year. Farmers are struggling with prices due to reduced international demand, he said.
He asked the Union Minister to bring an amendment to the relevant act bringing tobacco production and marketing under the Tobacco Board’s authority.
Naidu appealed to Goyal to make efforts to reduce the 27 per cent duty imposed by the United States of America on aqua products. He urged the Centre to take the initiative to reduce this tariff burden on aqua farmers and help them overcome the crisis. He said that aqua farmers, hatcheries, feed mills, processing units and exporters are in crisis due to the duties imposed by the US.
GST on mango pulp
The Chief Minister asked Goyal to reduce the GST on mango pulp from 12 to 5 per cent.
Stating that mango ‘tandra’ (mango jelly) attracts 5 per cent GST, he wanted the Centre to extend the same rate to pulp as well.