CCI to start cotton procurement at MSP from Oct 1 at 14 centres
₹7,710 per quintal for medium-staple cotton and ₹8,110 per quintal for high-quality cotton.
The Cotton Corporation of India (CCI), a central agency, will begin cotton procurement at the Minimum Support Price (MSP) at 14 locations in five districts of the semi-arid region from Wednesday. Bathinda and Muktsar will have a maximum of four centers each, followed by three in Mansa and one in Fazilka. The CCI will open a market in Barnala.(SIS)
The CCI enters the market only when private buyers offer prices below the Minimum Support Price (MSP). According to Punjab Mandi Board data, about 30,000 quintals of cotton had arrived in the South Malwa districts as of Tuesday.
Stakeholders said the CCI's arrival could stabilize cotton prices, as farmers are being paid ₹6,800-7,000 per quintal, which is ₹1,000-1,200 less than this season's MSP.
For the current Rabi marketing season, the central government has fixed the price at ₹7,710 per quintal for medium-staple cotton and ₹8,110 per quintal for better-quality cotton.(SIS)
State and CCI officials attributed this to the low prices and high moisture content of unginned cotton (raw crop that still contains seeds) brought to the market by farmers.
Experts say the decline in demand from the textile sector in the Indian and global markets has destabilized the market, and the CCI's arrival is expected to improve prices.
New App for Seamless Procurement
Official sources said that a new mobile application, the "Cotton Farmer" app, developed by the Central Council of Trade Unions (CCI), has been launched to ensure transparent and seamless procurement of the cash crop. The CCI has extended the registration period until October 31.
The new mobile app allows farmers to self-register, book slots, and track payments. Officials stated, "This app facilitates payment tracking by farmers, bringing greater transparency, convenience, and speed to the cotton procurement process."
Mandi Board data shows that 46%, or 13,000 quintals, of the total cotton crop was procured below the MSP.(SIS)
CCI officials stated that cotton was sown on 1.19 lakh hectares this year, and the state agriculture department estimates production at 2.80 lakh bales, or 12.45 lakh quintals.
However, Mukul Tayal, President of the Indian Cotton Association Limited (ICAL), said that unseasonal rains have severely affected the cotton crop.
"According to our estimates, Punjab will produce 1.50 lakh bales or 6.67 quintals of cotton as rains have hampered the prospects of a good harvest. Cotton is being sold at a lower price in the initial stages as the crop brought to the market has high moisture content due to unseasonal rains. We hope that the CCI will play a key role in stabilizing the downward trend in prices by private traders," Tayal said.
Cotton arrivals (till September 29): 30,000 quintals(SIS)
Purchased by private players: 28,000 quintals
Below MSP: 13,000 quintals
District-wise arrivals
Fazilka 16,000 quintals
Bathinda 6,000 quintals
Mansa 5,000 quintals
Muktsar 3,000 quintals
CCI centers
Bathinda 4 Muktsar 4 Mansa 3
Fazilka 2 Barnala 1
read more :- INR Opens Stronger by 04 Paise at 88.77
