Lok Sabha Question No. 2996 (UNSTARRED), answered on 2017-08-03
Subject: Procurement of Cotton
Ministry: TEXTILES
Asked by: GEETHA KOTHAPALLI

## LOK SABHA UNSTARRED QUESTION NO. 2996 TO BE ANSWERED ON 03.08.2017

## PROCUREMENT OF COTTON

## 2996. SHRIMATI KOTHAPALLI  GEETHA:

Will the Minister of TEXTILES वस्त्र मंरी be pleased to state:

- (a) whether the cotton fetched the highest price in the season for farmers as arrivals of the produce peaked this year at the procurement centres in the country particularly in Telangana, if so, the details thereof;
- (b) whether  the  Cotton  Corporation  of  India  procured  4000  quintals  of  cotton  at  the minimum support price of Rs. 4100, if the moisture content is below 8 per cent and the private traders also purchased 49,000 quintals at a premium in Telangana and if so, the details thereof; and
- (c) whether it is also a fact that cropped area of cotton in Telangana has also increased this year compared to the previous three years and if so, the details thereof?

## उत्तर

## ANSWER वस्त्र मंरी ( श्री अज

## )

## MINISTER OF STATE FOR TEXTILES (SHRI AJAY TAMTA)

- (a): Yes, Madam.  During current cotton season 2016-17, the average kapas prices are ruling much  above  the  MSP  level  in  all  the  cotton  growing  States.  Statement  showing  zone-wise, variety-wise MSP vis-a-vis kapas prices during last three years are as under:-
- (b): No, Madam. Since the prevailing market prices of Fair Average Quality (FAQ) grade of Bunny Brahma variety of Telangana were ruling much above Minimum Support Price (MSP) level of Rs.4160/- per quintal fixed by the Government of India, therefore, procurement under Minimum Support Price Operation was not required during cotton season 2016-17.
- (c): The area under cotton cultivation in Telangana during last three years is as under:-

|       | J-34 (North Zone)                            | J-34 (North Zone)                            | J-34 (North Zone)                            | S-6 (Central Zone)                           | S-6 (Central Zone)                           | S-6 (Central Zone)                           | Bunny Brahma (Southern Zone) including Telangana   | Bunny Brahma (Southern Zone) including Telangana   | Bunny Brahma (Southern Zone) including Telangana   |
|-------|----------------------------------------------|----------------------------------------------|----------------------------------------------|----------------------------------------------|----------------------------------------------|----------------------------------------------|----------------------------------------------------|----------------------------------------------------|----------------------------------------------------|
| Month | 2014-15                                      | 2015-16                                      | 2016- 17                                     | 2014-15                                      | 2015-16                                      | 2016-17                                      | 2014-15                                            | 2015-16                                            | 2016-17                                            |
|       | Minimum Support Prices of Kapas in Rs./ Qntl | Minimum Support Prices of Kapas in Rs./ Qntl | Minimum Support Prices of Kapas in Rs./ Qntl | Minimum Support Prices of Kapas in Rs./ Qntl | Minimum Support Prices of Kapas in Rs./ Qntl | Minimum Support Prices of Kapas in Rs./ Qntl | Minimum Support Prices of Kapas in Rs./ Qntl       | Minimum Support Prices of Kapas in Rs./ Qntl       | Minimum Support Prices of Kapas in Rs./ Qntl       |
|       | 3950                                         | 4000                                         | 4060                                         | 4000                                         | 4050                                         | 4110                                         | 4050                                               | 4100                                               | 4160                                               |
|       | Average Market Prices of Kapas in Rs./ Qntl  | Average Market Prices of Kapas in Rs./ Qntl  | Average Market Prices of Kapas in Rs./ Qntl  | Average Market Prices of Kapas in Rs./ Qntl  | Average Market Prices of Kapas in Rs./ Qntl  | Average Market Prices of Kapas in Rs./ Qntl  | Average Market Prices of Kapas in Rs./ Qntl        | Average Market Prices of Kapas in Rs./ Qntl        | Average Market Prices of Kapas in Rs./ Qntl        |
| OCT   | 4142                                         | 4566                                         | 5098                                         | 4212                                         | 4418                                         | 5335                                         | 4013                                               | 4058                                               | 4619                                               |
| NOV   | 4005                                         | 4415                                         | 5204                                         | 4071                                         | 4298                                         | 5091                                         | 4019                                               | 4098                                               | 4703                                               |
| DEC   | 4088                                         | 4467                                         | 5197                                         | 4014                                         | 4596                                         | 5127                                         | 4014                                               | 4110                                               | 4854                                               |
| JAN   | 4068                                         | 4738                                         | 5722                                         | 4011                                         | 4766                                         | 5623                                         | 4013                                               | 4227                                               | 5275                                               |
| FEB   | 4102                                         | 4724                                         | 5936                                         | 4059                                         | 4669                                         | 5773                                         | 4015                                               | 4145                                               | 5418                                               |
| MAR   | 4063                                         | 4698                                         | 6015                                         | 4042                                         | 4684                                         | 5828                                         | 4042                                               | 4196                                               | 5423                                               |
| APR   |                                              |                                              |                                              | 4151                                         | 4804                                         | 5798                                         | 4151                                               | 4512                                               | 5409                                               |
| MAY   |                                              |                                              |                                              | 4744                                         | 5001                                         | 5642                                         | 4060                                               | 4828                                               | 5116                                               |
| JUNE  |                                              |                                              |                                              | 4624                                         | 5618                                         | 5554                                         | 4233                                               | 5150                                               | 5102                                               |

| Area under cotton in Lakh hectares   | Area under cotton in Lakh hectares   | Area under cotton in Lakh hectares   |
|--------------------------------------|--------------------------------------|--------------------------------------|
| 2014-15                              | 2015-16                              | 2016-17                              |
| 17.13                                | 17.78                                | 12.50                                |

However, area under cotton cultivation may increase in ensuing cotton season 2017-18 due to good rains, higher Minimum Support Price (MSP) and the prospect of better returns from cotton compared to competing crops.  It is evident from the fact that for the cotton season 201718 (as on 20.7.2017) in the State of Telangana progressive area under cotton cultivation is 15 lakh hectare as against 10.32 lakh hectare sown during the corresponding period of the previous year 2016-17.

***