iGrain India - The Cotton Corporation of India (CCI) has agreed to purchase cotton from farmers in Telangana, responding to the ongoing strike by ginning mills and protests from farmers.
This decision comes after the Telangana government facilitated a meeting between the CCI's Managing Director and representatives from the Telangana Cotton Association and Telangana Ginning Mills Association.
During the meeting, the controversial issues surrounding cotton procurement were discussed, and the CCI officials provided assurances, leading to the resumption of cotton purchases.
A key issue had been the gap between the farmers' demands and the price offered by ginning mills. Farmers in Telangana complained they were being paid Rs 1000-1500 less per quintal than the Minimum Support Price (MSP) set by the government for cotton,
which this season is Rs 7521 per quintal for long-staple cotton. The ginning mill owners, in turn, blamed the CCI for the discrepancy, particularly over the price for ginning cotton.
The mills had requested Rs 1495 per bale (170 kg) for ginning, but the CCI had only agreed to pay Rs 1345 per bale.
To address these issues, the CCI has now relaxed its quality-related purchase rules and announced that it will begin purchasing cotton at government purchase centers again, a process that had been suspended earlier. Further details about the new purchasing rules are expected to be released soon by officials.
This move is intended to alleviate the concerns of farmers and resolve the standoff between the ginning mills and the CCI.
There are approximately 318 ginning units in Telangana, and it is hoped that with the resumption of cotton purchases, the ongoing difficulties faced by farmers will be eased.