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Nafed has high stocks of damaged cotton
22
Sep '09
Recently, while assessing its cotton stocks, Nafed, the government owned procurement agency, found that 310,000 bales (1 bale=175 kg) of the 3.6 million bales purchased in the previous cotton season has been damaged.

The government on its part has refused to compensate Nafed for the loss. The quantity of damage was brought to light when Nafed decided to auction the damaged cotton. These include water and fire affected cotton.

Nafed is entitled to claim reimbursement from the government while offloading stocks. The auction to dispose off the damaged cotton was cancelled, reasons for which were not forthcoming from Nafed.

Fibre2fashion News Desk - India

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