Tobacco prices at Karnataka auctions have shot up 20 per cent in the last four days.
Tobacco prices have appreciated by Rs 10 to 15 a kg to trade between Rs 95 and Rs 100 a kg. The trade and industry attribute this sharp rise in prices to global tobacco majors placing additional orders.
“Tobacco prices were consistent from January. In the last four days, it has appreciated sharply due to the additional orders placed by major companies based on the quality of the crop,” said a Tobacco Board official.
Price of Bright grades (which are generally preferred by major tobacco companies) traded between Rs 115 and Rs 125 a kg.
At the end of 143 days of auctions (March 19), the Tobacco Board has marketed around 100 million kg of FCV tobacco variety with an average price realisation of Rs 92.68 a kg.
Of the total quantity marketed, 21.76 per cent was Bright grades and was traded at an average price of Rs 119 a kg. Medium grades comprised of 51.30 per cent and traded at an average price of Rs 100.85 a kg and Low grades comprised the rest, traded at an average price of Rs 58.45 a kg.
Following are platform-wise auction details as on March 19: Hunsur-III total quantity marketed 64.13 lakh kg (average price Rs 95.83 a kg), Periyapatna-I 1.20 crore lakh kg (Rs 95.92), Kampalapura-II 84.90 lakh kg (Rs 92.51), Periyapatna-III 1.06 crore kg (Rs 95.72), Hunsur-1 69.59 lakh kg (Rs 89.94), Ramanathpura-I 1 crore kg (Rs 87.26), Kampalapura-I 96.12 lakh kg (Rs 96.58), Periyapatna-II 1.10 crore kg (Rs 96.85), Hunsur-II 85.54 lakh kg (Rs 88.17), HD Kote 95.42 lakh kg (Rs 90.04), Ramanathpura-II 83.83 lakh kg (Rs 88.23).
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