New Delhi, Jan. 30 -- Tobacco farmers across India are staring at an unprecedented crisis following a more than 70 per cent hike in taxes on cigarette products.
The abrupt and disproportionate tax measures have destabilised the entire tobacco ecosystem, bringing auctions to a halt, forcing traders out of the market, and pushing lakhs of farming families into deep uncertainty, according to the Federation of All India Farmer Associations (FAIFA).
The FAIFA said the sudden tax increase has led to a near-total withdrawal of traders from auctions, particularly in Karnataka, where repeated auction sessions have been postponed due to a lack of buyers.
Ripple effects are now being felt in Andhra Pradesh, with buyers reluctant to participate amid...