HomeAgribusinessGovt procures 100 Lakh bales of Cotton under MSP operations through its nodal agency

Govt procures 100 Lakh bales of Cotton under MSP operations through its nodal agency

38 per cent of total cotton arrivals procured under MSP operations up to March 31, 2025

In current cotton season 2024-25, up to March 31, 2025, Government of India, through its nodal agency, the Cotton Corporation of India Ltd. (CCI) under Ministry of Textiles has successfully procured 525 lakh quintals of seed cotton, equivalent to 100 lakh bales, under Minimum Support Price (MSP) operations. This procurement accounts for 38% of the total cotton arrivals of 263 lakh bales and 34 per cent of the estimated total cotton production of 294.25 lakh bales in the country.

Among the states, Telangana has recorded the highest procurement at 40 lakh bales, followed by Maharashtra with 30 lakh bales and Gujarat with 14 lakh bales. Other states with significant procurement include Karnataka (5 lakh bales), Madhya Pradesh (4 lakh bales), Andhra Pradesh (4 lakh bales), and Odisha (2 lakh bales). Procurement in Haryana, Rajasthan, and Punjab stands at 1.15 lakh bales. In total, Rs.37,450 crore has been paid to approximately 21 lakh cotton farmers across all cotton producing states.

The MSP mechanism continues to provide remunerative prices to cotton farmers, protecting them from distress sales when market prices fall below the MSP. To facilitate efficient procurement, CCI has opened 508 procurement centers nationwide. Several digital initiatives have been implemented, including on-spot Aadhaar authentication, SMS notifications for payments and 100% direct payments through the National Automated Clearing House (NACH). The Cott-Ally mobile app, available in nine regional languages, enables farmers to access real-time information on MSP rates, procurement centers, and payment tracking. Further, all cotton bales produced by CCI are traceable via QR codes, by using Block-chain technology to ensure transparency and accountability.

Government of India remains committed to safeguard interests of cotton farmers through a fair, transparent and efficient procurement process.

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