The Cotton Corporation of India (CCI) is urging farmers not to sell their cotton at low prices, assuring them that it will purchase all fair-grade cotton brought to its designated yards. This assurance comes as cotton prices hover around the Minimum Support Price (MSP).

Trade sources indicate that the CCI is handling upto 80 per cent of the cotton purchases with traders buying smaller lots. The Corporation has procured 8.6 million bales of cotton across India this season, informs LK Gupta, Chairman and Managing Director, CCI. This is significantly more than the 3,284 million bales procured during the entire last season, he adds.

The farmer’s MSP has been increased by 7.5 per cent. While lint cotton prices are at or below last year's levels, seed cotton prices have increased by 7.5 per cent compared to last year. This increase in MSP has increased the corporation’s role in supporting the country’s cotton farmers, avers Gupta.

Emphasizing on the CCI's commitment to continuous procurement, Gupta notes, any temporary suspensions in certain areas due to space constraints are typically resolved within a few days. All procurement centers across the country are expected to function normally by this weekend, he adds.

Some temporary gaps in procurement occurred in areas like Maharashtra, where a few factories closed briefly in late January due to high arrivals. However, Gupta describes this as a routine occurrence. As of last week, the CCI had purchased 3.85  million bales in Maharashtra