(a) whether the present system of Minimum Support Price (MSP) for procuring cotton is
adversely affecting Indian Textiles Industry;
(b) if so, the corrective measures adopted by the Government to rectify the deficiency;
(c) whether Cotton Corporation of India has offered any discount scheme for bulk purchase of
cotton to Textile Industry;
(d) if so, the details thereof; and
(e) the quantity of cotton imported during each of the last three year and the current year?
MINISTER OF STATE IN THE MINISTRY OF TEXTILES(SMT. PANABAAKA LAKSHMI)
(a): No Madam.
(b): Does not arise.
(c) & (d): Yes Madam.The Cotton Corporation of India (CCI) is selling its cotton at market
prices. With a view to sell the larger quantities procured under MSP faster to avoid carrying
cost and fire risks and also to enable the domestic mills to cover their requirements for larger
purchases, the CCI as per the directives from the Ministry of Textiles, has introduced the bulk
discount scheme. The details of bulk discount scheme of CCI are as under:-
Quantity in bales Bulk quantity discount
3000 to 5999 bales Rs.250/ per candy
6000 to 9999 bales Rs.350/- per candy
10000 to 24999 bales Rs.400/- per candy
25000 to 49999 bales Rs.450/- per candy
50000 to 199999 bales Rs.500/- per candy
200000 bales and above Rs.650/- per candy
Year Quantity in lakh bales Value in (Rs. Crore)
2005-06 5.00 695.77
2006-07 5.53 752.29
2007-08 6.50 986.33
2008-09 (Estimated) 7.00 N.A.