CAMPCO has urged the Karnataka Government to ensure that enforcement of its year-long prohibition on tobacco- and nicotine-containing products does not adversely affect arecanut growers or the legitimate arecanut trade.
CAMPCO President S.R. Satishchandra said the cooperative respects the Government’s public-health objective and supports stringent action against gutkha, pan masala and other prohibited tobacco and nicotine products. However, he stressed the need for a clear distinction between arecanut as an agricultural commodity and products containing tobacco or nicotine.
He said farmers should not bear the consequences of misuse of their produce and called for enforcement to remain confined to products covered by the notification, without indirectly restricting arecanut cultivation, procurement, processing or trade.
The economic importance of the sector is reflected in Karnataka’s GST collections from arecanut and arecanut-based products, which rose from Rs 172.62 crore in 2021-22 to Rs 379.34 crore in 2025-26. Collections stood at Rs 90.02 crore in the first quarter of 2026-27.
CAMPCO also sought a clear and unambiguous enforcement framework to prevent confusion or unnecessary difficulties for farmers and legitimate businesses.
