Question : MSP for Cotton

(a) the details of total production of cotton in the country during the previous year and the current year, State-wise alongwith the MSP set for cotton during the current year;

(b) whether Cotton Corporation of India is purchasing cotton in all States as per MSP and if not, the reasons therefor;

(c) whether it is true that some States and farmers are demanding more price for cotton, if so, the details of steps taken/being taken by the Government in this regard;

(d) whether it is also true that there are demands to purchase cotton even if the moisture content is between 18-20% in view of heavy rains in the country during this monsoon, if so, the details of the decision taken by the Government in this regard and the steps taken/being taken by the Government to give cotton farmers a better price; and

(e) whether there is any impact on cotton cultivation due to COVID-19 and if so, the details thereof?

?????? ?????? (??????? ?????? ?????? ?????)
MINISTER OF TEXTILES
(SMT. SMRITI ZUBIN IRANI)

(a): State-wise production of cotton during current cotton season and previous cotton season, as estimated by Cotton Advisory Board (CAB) are as under:-

State Cotton Production (in lakh bales)
2018-19 2019-20
Punjab 10.00 13.00
Haryana 23.00 22.00
Rajasthan 26.00 25.00
Gujarat 87.50 95.00
Maharashtra 75.50 82.00
Madhya Pradesh 24.00 20.00
Telangana 43.00 53.00
Andhra Pradesh 14.50 20.00
Karnataka 15.00 18.00
Tamil Nadu 5.00 6.00
Orissa 4.50 4.00
Others 2.00 2.00
Total 330.00
360.00


Minimum Support Price (MSP) of Fair Average Quality (FAQ) grade seed cotton fixed by the Government for current cotton season 2019-20 and previous cotton season 2018-19 is as under:-

FAQ grade variety MSP in Rs./Quintal
2018-19 2019-20
Medium Staple Cotton 5150 5255
Long Staple Cotton 5450 5550

(b): The Cotton Corporation of India (CCI) is purchasing cotton under Minimum Support Price (MSP) operations in all the cotton growing states by operating more than 400 cotton procurement centres. State-wise procurement of cotton under MSP operations by CCI during current cotton season 2019-20 is given below:-

State MSP Purchases during cotton season 2019-20 as on 13.09.20
(Qty in Lakh bales)
Punjab 3.56
Haryana 6.23
Rajasthan 3.76
Gujarat 11.05
Maharashtra 26.25
Madhya Pradesh 4.43
Telangana 41.80
Andhra Pradesh 2.68
Karnataka 3.49
Orissa 1.61
Tamil Nadu 0.28
Total 105.14


(c): No such report has been received.

(d): Every year, there have been the demands from the farmers of various cotton growing states for procurement of excess moistured cotton. However, as per Minimum Support Price (MSP) guidelines, Cotton Corporation of India (CCI) Limited is mandated to purchase Fair Average Quality (FAQ) grade cotton only. CCI maintained FAQ norms in all procurement of cotton wherein maximum permissible limit for moisture content is 12 percent.

In order to motivate farmers to realize appropriate prices for their cotton, the benefits of bringing dry cotton for sale in Agricultural Produce Market Committees (APMCs) are being emphasized by displaying posters by CCI at prominent places like villages, APMC, G&P factories, etc. Further, CCI has given wide publicity through print media, banners and posters at all prominent places like market yards, villages and G&P factory to apprise the farmers of its presence and assurance that CCI will be present in the market till last arrivals of FAQ cotton conclude.

(e): As per Cotton Crop report dated 10.09.2020 of Directorate of Cotton Development, Ministry of Agriculture and Farmers’ Welfare, cotton cultivation for ensuing cotton season 2020-21 is expected to increase by around 3% to around 130 lakh hectares in comparison to 126 lakh hectares during cotton season 2019-20. Thus, there is no adverse impact on cotton cultivation due to COVID -19.
****