Centre to go ahead with cotton procurement despite loss

"The government, through Cotton Corporation of India (CCI), will procure cotton from the market till last day of the season," Union textile minister Shankersinh Vaghela told PTI here today.

The loss to CCI due to cotton procurement this season is estimated at Rs 300 crore and that to Maharashtra government at Rs 1,500 crore, Vaghela said.

"What ever may be the loss, the government will be there in the market throughout the season. It will procure maximum cotton arrivals at MSP to help cotton growers of the country," he said.

Total arrivals expected now is 33 lakh bales as the estimated crop size is 213 lakh bales in this season, he said.

Textile commissioner Subodh Kumar said the loss to CCI in cotton procurement would be reimbursed by the Centre later.

"At present, CCI is a profit making body and last year it made a profit of Rs 12 crore. The loss incurred in cotton procurement will be reimbursed after the season," he added.

Meanwhile, cci has procured 23 lakh bales of cotton this season and it is planning to export 6.5 lakh bales by March end.