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CCI to buy 1mn bales of cotton from Gujarat

Apr '12
Cotton Corporation of India (CCI) would buy one million bales (1 bale = 170 kg) of cotton from Gujarat, particularly from Saurashtra region. The decision was taken at a strategic meeting of top officials of CCI and Union Textiles Ministry held in Rajkot city of Gujarat.

Textiles Ministry, which has resolved to create a buffer stock of cotton for textile industry in the country, has directed CCI to buy one million bales of cotton from Gujarat at a rate of Rs. 900 per maund (1 maund = 20 kg) for best quality cotton.

V Srinivas, Joint Secretary - Cotton Division and TUFS, Ministry of Textiles, Government of India, said CCI has decided to procure cotton from Gujarat, and especially Saurashtra region, as the region produces premium quality cotton, and farmers in the region have surplus cotton stocks.

CCI started procuring cotton since March 31 this year and had procured around 110,000 bales of cotton from Gujarat. Of which, around 57,000 bales were procured from Rajkot and other parts of Saurashtra.

However, following some disagreements between farmers and the CCI over procurement prices and product quality, the purchase of cotton was temporarily suspended, Mr. Srinivas said.

The Corporation has set up 33 procurement centres in Saurashtra. Farmers in Gujarat still have 2.5 million bales of cotton with them, according to Mr. Srinivas.

Fibre2fashion News Desk - India

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