CCI expects 5-10 lakh bales drop in cotton output

“The production will be less than the last year's by 5-10 lakh bales. This year, we expect around 370 lakh bales because the overall acreage has shrunk,” BK Mishra, chairman and MD of CCI, told reporters in Hyderabad. 

Mishra said from October 10 onwards open 84 cotton procurement centres would be opened and the CCI would buy all the cotton headed for these centres.

The government has fixed the minimum support price (MSP) for cotton at Rs 3,936-4,100 per quintal, depending on the moisture content, textiles minister Santosh Kumar Gangwar said during a meeting with farmers, earlier in the day.

In response to the demand of some farmers from Telangana that the MSP be raised to Rs 5,000 per quintal, Gangwar said his ministry has already urged the Ministry of Finance for upward revision.

Last month, the US Department of Agriculture (USDA) said India will surpass China as the top producer of cotton in 2015/16, and will account for 27 per cent of the global cotton crop. (RKS)

Fibre2Fashion News Desk – India