Andhra Pradesh’s agricultural sector is witnessing one of its harshest price crashes in recent years as banana farmers report being forced to sell their produce at as low as 50 paise per kilogram. Former Chief Minister YS Jagan Mohan Reddy has pointed to this situation as evidence of serious administrative neglect, accusing the current TDP-led coalition government of abandoning farmers at a critical time. The price collapse, he says, reflects a combination of weak market intervention, lack of procurement support, and the absence of field-level crisis response.
A Market Rupture and a Governance Breakdown
Bananas, a major commercial fruit crop in several regions including Kadapa, Anantapur, and Chittoor, have historically been supported through government-backed procurement mechanisms during market fluctuations. However, the present season has seen an unprecedented fall in prices, leaving farmers unable to recover even their input costs. According to Jagan, this exposes a systemic failure: farmers have received no minimum support price protection, no special procurement measures, and no government-led market absorption despite repeated appeals from growers.
Jagan noted that many farmers invest lakhs of rupees per acre, from saplings and fertilisers to labour and transport, only to find themselves with no safety net when market instability strikes. The absence of timely action, he says, has forced farmers into distress sales, with some abandoning fields or destroying produce to avoid further losses. He argues that the current administration has “chosen silence over responsibility” at a time when urgent intervention is needed.
A Comparison with Previous Governance Standards
While criticising current inaction, Jagan has also highlighted how his administration previously handled similar market fluctuations. During his tenure, the government ensured a stable crop price environment by setting an average banana price of ₹25,000 per ton, protecting farmers from sudden drops. His administration arranged special banana transport trains from Andhra Pradesh to major markets like New Delhi, which widened access and helped farmers secure remunerative prices.
In addition, a network of cold-storage facilities was established across districts to prevent distress selling and spoilage. These interventions were designed to strengthen long-term agricultural resilience—measures Jagan asserts the current administration has failed to maintain. According to him, these policy safeguards made the difference between stability and crisis for thousands of farming families.
Insurance Delays and Unfulfilled Promises Intensify the Crisis
Jagan’s criticism also extends to the collapse of crop insurance coverage. He argues that insurance payouts, once processed efficiently to compensate for cyclone, drought, or excess-rain damage, have slowed significantly under the present government. Farmers affected by recent weather events—including heavy rains that damaged banana plantations—report receiving no compensation or even acknowledgement of their claims.
Input subsidies, calamity-relief assurances, and financial-support schemes promised during the elections have also not materialised, Jagan says. This has created a situation where the government has neither protected farmers from falling prices nor supported them during weather-driven losses—leaving growers without any safety cushion.
Ground Reports Reflect Widespread Farmer Distress
The situation on the ground has become increasingly dire. Reports indicate that farmers in multiple districts are selling bananas at nominal rates, sometimes cheaper than basic household items such as matchboxes or biscuits. The lack of a procurement mechanism has forced many to trade through middlemen who dictate prices with no regulatory oversight.
Jagan, who visited banana farms and interacted with distressed farmers recently, said the situation is “unacceptable in a state where agriculture remains the backbone of millions.” He emphasised that the government must take responsibility for restoring confidence among farmers by implementing price-support mechanisms, expanding market access, and clearing pending insurance dues.
Call for Immediate Action and Accountability
In his statements, Jagan has called on the TDP-led government to announce a minimum guaranteed price, resume market intervention through the agricultural marketing federation, and facilitate direct procurement through government channels. He has also urged the administration to reactivate transport subsidies and restore cold-storage operations to prevent wastage.
Jagan added that agriculture cannot survive without predictable market conditions, and that farmers deserve dignity, stability, and support—not the uncertainty they face today. The current situation, he argues, is a test of the administration’s commitment to rural welfare.
A Battle for Policy Direction
As banana farmers continue to struggle, the issue has grown beyond immediate price recovery and turned into a larger debate on governance priorities. For Jagan, the crisis is symbolic of a broader pattern: the weakening of welfare systems and the absence of proactive governance. For the TDP, the coming days will test its ability to rebuild trust among farming communities.
Whether the administration responds with structural solutions or temporary relief measures will determine the future of thousands of farmers whose livelihoods now hang in the balance.