Industry faces shortage as farmers stock cotton for better price later

With the shortage of cotton for the industries, the price of readymade garments has also increased.
Image for representation purpose
Image for representation purpose

ADILABAD: As farmers in the erstwhile Adilabad district continue to hold on to their cotton stocks in hopes that it fetches a higher price later, industries are facing a shortage of cotton supply.
Usually, cotton fetches higher prices from February to August. Most farmers prefer to sell their produce during that time. On Friday, cotton traders were offering Rs 8,150 per quintal, while the Cotton Corporation of India (CCI) offered Rs 8,050 per quintal. “This amount can’t even cover the investment we have made for growing the crop,” said a farmer.

Raju Chintawar, a cotton trader, said that around 22,000 bales of cotton arrived in the market last year. In January 2022, the cotton price reached Rs 9,000 per quintal.

With the shortage of cotton for the industries, the price of readymade garments has also increased. Padmakar Reddy, another farmer, said that he did not sell his cotton yet as the traders and CCI were offering lesser prices. “A substantial amount of the crop was damaged in rains.

To recover those losses, the traders and the Cotton Corporation of India  must offer at least Rs 15,000 per quintal,” he said. According to officials of the agriculture department, farmers cultivated cotton on 3 lakh acres in the Adilabad district in Kharif season last year, with an expected yield of seven quintals per acre.“We are expecting nearly 21 lakh quintals to arrive in the market. However, only 25% of the produce has been traded so far,” an official said.

Related Stories

No stories found.
The New Indian Express
www.newindianexpress.com