Non-availability of cotton at competitive rate creating crisis in India

FICCI (Federation of Indian Chamber of Commerce and industries) has sought urgent intervention of the Ministry inadequate release of procured cotton by Cotton Corporation of India (CCI) and make it available to the industry at a competitive price. In its representation to Ministry of Textiles, it says that due to non-availability of cotton at competitive rate textile industry is in difficulties as it has to buy cotton from the local mills, to from distant places.

Secretary General of FICCI, A Didar Singh wrote a letter to Textiles Minister Santosh Gangwar which says, “The role of CCI is primarily to ensure minimum support price operation for the farmers so that they get a remunerative price for their products. However, at the same time if the procured cotton is not released in time for the industry and is retained as a stock by CCI, it distorts the market and leads to artificial increase in prices thereby making the user segment uncompetitive.”