Lok Sabha Question No. 367 (STARRED), answered on 2019-12-13
Subject: Cotton Production in Andhra Pradesh
Ministry: TEXTILES
Asked by: Srinivas Kesineni

## LOK SABHA STARRED QUESTION NO. *367 TO BE ANSWERED ON 13.12.2019

## COTTON PRODUCTION IN ANDHRA PRADESH

## *367. SHRI KESINENI SRINIVAS:

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

- (a) whether there has been a decline in production of cotton in Andhra Pradesh after bifurcation of the State in 2014, if so, the details of the year-wise production during the period and the reasons for decline in production and also the estimated production of cotton in the State during the next three years;
- (b) whether it is also a fact that textile mills in Andhra Pradesh are likely to pay higher taxes to procure cotton from Telangana and if so, the details thereof;
- (c) whether any measures have been taken by the Government to provide relief to textile mills in Andhra Pradesh;
- (d) if so, the details thereof; and
- (e) if not, the reasons therefor?

## उत्तर

## ANSWER

## वस्त्र मंरी ( श्रीमती स्त्म ृ तत ज़ू बिन इरानी )

MINISTER OF TEXTILES (SMT. SMRITI ZUBIN IRANI)

- (a) to (e): A statement is laid on the Table of the House.

## STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (e) OF THE LOK SABHA STARRED QUESTION NO. *367 TO BE ANSWERED ON 13.12.2019.

(a): The production of cotton in Andhra Pradesh State declined from 2014-15 due to  bifurcation  of  the  state  in  2014,  as  major  area  under  cotton  cultivation  went  to Telangana State. Further, the downward trend of cotton production is mainly due to decreasing of cotton cultivation area in Andhra Pradesh. The drought like situation, deficient & erratic rains, dry & hot weather and soil moisture stress conditions could attribute to lower cotton production. The details of cotton production and area from the cotton year 2014-15 to 2018-19 are as under:-

(Production in lakh bales of 170 kgs each) (Area in lakh hectare)

| Cotton Year (October- September)   |   2014-15 |   2015-16 |   2016-17 |   2017-18 |   2018-19 (P) |
|------------------------------------|-----------|-----------|-----------|-----------|---------------|
| Production                         |     26.5  |     23.75 |     19    |     21.26 |         14.5  |
| Area                               |      8.21 |      6.66 |      4.72 |      6.46 |          6.21 |

Source: Cotton Advisory Board     (P) - Provisional

(b): The textile mills in Andhra Pradesh do not pay higher taxes to procure cotton or cotton bales from Telangana.  However, the ginners and the traders have to pay 1% of cotton value towards market cess, if they purchase cotton or cotton bales from outside of Andhra Pradesh.

(c) to (e): The  Government  is  implementing  several  schemes  to  support  the Textile  Industry  which  include  the  Amended  Technology  Up  gradation  Fund Scheme  (ATUFS);  Scheme  for  Integrated  Textile  Parks  (SITP);  SAMARTH  etc. The industries are availing benefits under these schemes for upgrading/reviving their textile units.  Further, to safeguard the interest of cotton farmers and to give them remunerative price of their produce, Government has  nominated Cotton Corporation of  India  (CCI),  as  a  nodal  agency  to  undertake  Minimum  Support  Price  (MSP) operations of seed cotton (kapas) in all cotton growing States. During the crop year 2018-19, CCI procured 0.50 lakh bales of seed cotton (kapas) under MSP in Andhra Pradesh.

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