Cotton Corporation gets ₹ 1,718.56 crore to pay support price

The Cabinet Committee on Economic Affairs (CCEA) has approved a funding of ₹ 1,718.56 crore to the Cotton Corporation of India (CCI) to meet the minimum support price (MSP) requirements for the cotton season 2023–24. The Government said the funding is aimed at providing direct price support to cotton farmers across the country.

The government hoped that such interventions play a crucial role in stabilising cotton prices, preventing distress sales, and ensuring remunerative returns to farmers. “By enhancing inclusivity in agricultural markets, MSP operations contribute significantly to the economic security of cotton-growing communities,” the Government said in a release. The MSP for a quintal of medium staple cotton was ₹6,620 and for long staple cotton, it was ₹7,020 in 2023-24 season.

The Government release added that cotton remains one of India’s most vital cash crops, sustaining the livelihoods of approximately 60 lakh farmers and supporting 400–500 lakh people engaged in allied activities, including processing, trade, and textiles. “During the 2023–24 cotton season, the area under cultivation was estimated at 114.47 lakh hectares, with production pegged at 325.22 lakh bales, accounting for nearly 25% of global cotton output,” the release noted. Cotton Corporation of India was the central nodal agency for undertaking MSP operations in cotton.