The Cotton Corporation of India (CCI) will get a committed price support for the cotton seasons from 2014-15 to 2020-21. In order to safeguard the interests of cotton farmers, price support operations will be conducted in the cotton years 2014-15 to 2020-21 as cotton prices touched MSP prices. Its implementation enhances the inclusiveness of cotton farmers in the economic activity of the country.

Price support operations help stabilize cotton prices and alleviate farmers’ distress. Around Rs 8,000 crores will be released for the current financial year through a supplementary provision, while the balance amount will be released in the next fiscal by budgetary provision. Expenditure will be incurred for reimbursing losses under MSP operations for cotton during the cotton season 2014-15 to 2020-21. MSP operations protect cotton farmers from distress sale during any adverse price situation.

During the global pandemic, in the last two cotton seasons, CCI procured around a third of the cotton production in the country and disbursed more than Rs 55,000 crores directly in the bank accounts of around 40 lakh farmers.

During the cotton season 2020-21, the area under cotton cultivation was 133 lakh hectares with an estimated production of 360 lakh bales, which account for around 25 per cent of total global cotton production.