9 lakh Telangana farmers benefited after CCI procured 210.19 lakh quintals of cotton: Centre
CCI procured 210.19 lakh quintals of cotton worth Rs.15,556 cr in Telangana
Hyderabad: The Cotton Corporation of India (CCI) has procured about 210.19 lakh quintals kapas, which is equivalent to 40.37 lakh bales, valuing Rs.15,556 crore in Telangana up to March 17, 2025, benefitting as many as nine lakh farmers, according to the Ministry of Agriculture and Farmers Welfare on Tuesday.
Replying to a question raised by Telangana Congress MP Vamsi Krishna Gaddam on Tuesday, Union Minister of State for Agriculture and Farmers Welfare Ramnath Thakur said that every year, the Central government fixes Minimum Support Prices (MSPs) for 22 mandated agricultural crops including cotton based on the recommendations of Commission for Agricultural Costs and Prices (CACP).
The MSP is fixed at least 50 percent margin over the cost of production. The rise in input cost is accounted for in the cost of production calculations. To safeguard the cotton farmers from distress sale, the CCI is appointed as a nodal agency for undertaking procurement from cotton farmers in the event market prices fall below MSP.
To ensure the benefits of the MSP scheme reaches to all farmers in Telangana, the CCI has opened 110 procurement centres in 30 districts. Among that three centres in Peddapalli, four in Warangal and five in Khammam have been opened to cover maximum cotton farmers.
In his question, Vamsi Krishna Gaddam sought to know the steps being taken to address the growing distress among cotton farmers in Telangana, particularly in districts like Peddapalli, Warangal and Khammam, who are facing mounting losses due to fluctuating market prices and input costs;
He wanted to know whether the government has assessed the impact of inadequate insurance coverage and delayed claims on the financial well-being of these farmers apart from measures being implemented to enhance access to credit and input subsidies for cotton farmers, especially in remote rural areas.
He sought to know whether the government was considering any long-term strategies to stabilize the cotton market in Telangana and prevent recurring farmer suicides linked to crop failure and financial strain.
Explaining in detail about the cotton purchases, the Union Minister said that the government has taken steps to strengthen implementation of Pradhan Mantri Fasal Bima Yojana (PMFBY) to bring transparency and ensure timely settlement of claims. National Crop Insurance Portal (NCIP) is a single source of data ensuring subsidy payment, coordination, transparency dissemination of information and delivery of services.
In order to rigorously monitor claim disbursal process, a dedicated module ‘Digiclaim Module’ for payment of claims from Kharif 2022 onwards is operational. To further improve grievance redressal mechanism, Krishi Rakshak Portal and Helpline (KRPH) has been developed.