The Cotton Corporation of India (CCI) has purchased 10,000 bales over the last few days for its commercial account due to low prices. Seventy lakh bales have been purchased under the minimum support price (MSP) operations till now. Nearly 65 per cent of the cotton has arrived in the market. Nearly 53 per cent of the cotton procured so far this season is from Telangana. Gujarat, Maharashtra and Telangana are the top three cotton growing states in the country. Though there has been a marginal rise in buying for the commercial account, the state-run corporation is hard pressed as MSP purchases are in full swing.

This is probably the first time commercial purchase is happening alongside MSP operations. Last year, the agency had commenced commercial operations during the end of March. CCI is likely to purchase nearly 80 lakh bales under MSP operations for this season and could even buy up to 96 lakh bales subject to market conditions. The MSP for medium-staple variety of cotton is Rs 5,255 per quintal and Rs 5,550 per quintal for long staple cotton. CCI has nine lakh bales stock of cotton from the previous seasons and 70 lakh bales from this season. CCI might look at exports. It has received enquiries from Bangladesh for exports.