Cotton farmers in Nagpur district are facing serious financial problems this year due to bad weather and complicated procurement process. The price of cotton in the open market is below the Minimum Support Price (MSP), but the complex registration and procurement process of the Cotton Corporation of India (CCI) has forced many farmers to sell cotton to traders at lower prices.
Cotton was sown in 2.21 lakh hectares in the district this season. Crop growth remained slow due to weather uncertainty and intermittent rains. Later, due to sunshine and balanced rains, the crop improved, but compared to earlier, the cotton crop was ready only in late November and early December.
Farmers were putting the sale of cotton on hold in the hope of getting the benefit of MSP. However, CCI fixed district-wise quota and the complicated registration and slot booking process on the ‘Cotton Kisan’ app increased the problems of farmers. Due to many farmers not getting slots on time, they had to sell cotton to traders at a price lower than the MSP.
Eight CCI procurement centers have been started in Nagpur district. But due to distance from the centres, cost of cotton transportation and labor and time constraints in unloading the cotton, many farmers could not reach them. Due to this, expected procurement activity did not take place at the Central Procurement Centres.
The average price of cotton in the open market is Rs 7,350 per quintal, which is Rs 350 to Rs 1,010 less than the MSP of long staple cotton at Rs 8,110. Farmers allege that CCI is reducing the rates in the name of moisture and is not purchasing at the actual MSP.
CCI has extended the last date of procurement from February 28 to March 15, but it is unlikely that most of the farmers in the district will get any benefit from this. Many farmers had also stored cotton in the hope of higher prices, but international market events and falling prices dashed their hopes.
Cotton farmer Sanjay Wankhade said the government only shows sympathy with the MSP announcements, but processes like registration, slot booking and quota have put farmers in trouble. He also expressed his displeasure with the local public representatives for not taking action.