The ongoing war between Russia and Ukraine and other conflicts, companies are citing decreased exports as a reason for reduced procurement.
Published Jul 07, 2025 | 3:26 PM ⚊ Updated Jul 18, 2025 | 11:21 AM
Chittoor mango market.
Synopsis: The Andhra Pradesh government has mandated pulp-processing companies to buy mangoes at ₹8 per kilogram, with an additional ₹4 provided as a subsidy by the government. This would ensure farmers receive ₹12 per kilogram in total. However, the reality is different.
Andhra Pradesh Chief Minister N. Chandrababu Naidu has recently said that mango pulp processing companies must support mango farmers by purchasing their produce at a minimum price of ₹8 per kilogram.
In Andhra Pradesh’s Rayalaseema region—particularly in Chittoor district, which has a 2,000-year-old history of mango cultivation—farmers ranging from smallholders to large landowners are currently facing significant losses due to an unexpected fall in mango prices.
Chittoor is known for cultivating vast quantities of Totapuri mangoes, which are primarily used for pulp production. Mango pulp manufacturing companies are the major buyers of these mangoes. However, in recent years, there has been ongoing conflict regarding the setting of a fair minimum procurement price.
Mango farming is carried out on about 70,000 hectares in Chittoor with 75,000 farmers. But farmers said mango yields have drastically fallen over the past decade.
Varieties like Totapuri and Banganapalli are predominantly grown, alongside other types such as Neelum, Mallika, and Kalapadi. Among them, Totapuri mangoes are most commonly used for pulp production and are now facing the steepest price drops.
These mangoes are exported to countries like the US, Singapore, Malaysia, Russia, and Ukraine. However, due to the ongoing war between Russia and Ukraine and other conflicts, companies are citing decreased exports as a reason for reduced procurement. Farmers allege that despite having already bought substantial quantities, many companies are refusing to buy more and are offering extremely low prices.
To address the issue, the Andhra Pradesh government has mandated that pulp-processing companies must buy mangoes at ₹8 per kilogram, with an additional ₹4 provided as a subsidy by the government. This would ensure farmers receive ₹12 per kilogram in total.
However, farmers allege that despite the government’s ₹4 subsidy, many private companies are blatantly ignoring the directive and are purchasing mangoes at just ₹4 per kilogram instead of ₹8.
South First caught up with K Sankaran from Bangarupalayam in Chittoor district. He is the secretary of the All India Kisan Sabha, Chittoor district.
Sankaran, AIKS Secretary
“Though the Andhra Pradesh government offers subsidies for land, electricity, and water to these pulp factories, the companies are not complying with the government’s price directive. They are not buying mangoes at ₹8 per kilo as instructed,” Sankaran said.
Sankaran added that since 2023, mango pulp companies have been reducing their procurement, blaming international war tensions and market instability.
“This situation is being exploited by the pulp companies to purchase mangoes at throwaway prices,” he said.
To understand the situation better, we visited the Sungold Processed Foods mango pulp factory near Bangarupalayam. A long queue of tractors and trucks have been lined up for over two days, with farmers and drivers waiting to offload tonnes of mangoes.
Farmers who did not wish to be identified said they were being paid only ₹4 per kilogram.
A mango grower, Lokesh, revealed that in many cases, the price drops even lower: “We are getting only ₹2.5 per kilo now.”
“It costs ₹4.5 to harvest and ₹4.5 for production. Even after selling an entire load, we barely get ₹12,400. Though the government gives a ₹4 subsidy, there is no proper coordination with the factories. They reduced the rate from ₹8 to ₹4 but are still not buying adequately. Right now, it takes ₹10,000 just to cover production, and we are left with only ₹2,500. Previously, one ton would fetch ₹20,000–₹22,000, and an entire load used to go for nearly ₹1 lakh. The current prices can’t even cover labour or input costs,” he said.
“Of the 30–35 pulp factories in the area, only 20–25 are operational. The rest have suspended production. The situation is chaotic—until yesterday, we couldn’t even unload the fruits due to overcrowding. Around 60% of the mangoes perished on the floor. Only 30% could be processed,” he said.
In Andhra Pradesh, the Rythu Bharosa Kendram (RBK) serves as a government-run support structure for farmers. All farming-related activities at the ground level are coordinated through this center.
Mango farmers must register with RBK to avail of subsidies. Whether they sell their mangoes to private companies directly or through government channels, they must report the details—including quantity—to the RBK. These records are verified and forwarded to the Agricultural Marketing Office, which approves the documents and transfers the ₹4-per-kilogram subsidy directly into the farmer’s bank account.
Regarding the subsidy, Lokesh said, “They’ve announced a subsidy of ₹4,000 (per tonne), but it only matters once the money is actually deposited.”
Not just large farmers like Lokesh, but even small-scale farmers like B Babu—who cultivate on just two acres—have been hit hard by the price crash.
Last year, Babu earned ₹50,000 from his two-acre mango yield. But this year, he says he’s made nothing. Due to the low prices, he didn’t even bother harvesting, and the fruits have gone to waste on the trees.
Many farmers warn that if this situation continues, mango growers across the region may be forced to abandon mango cultivation entirely.
(Edited by Majnu Babu).
