Moisture issue hits cotton trading

October 15, 2015 12:00 am | Updated 05:44 am IST - ADILABAD:

Chaos ruled for most part of the day at Adilabad Agriculture market yard as cotton trading got underway with Cotton Corporation of India (CCI) launching its minimum support price operations in the district on Wednesday. There was lot of heartburn among farmers as the CCI or private traders would not relent on implementing conditions with regard to moisture content in the produce.

The day-long deliberations however, ended with trading starting at about 5 p.m. with farmers agreeing to sell their produce at a price of Rs. 3,825 per quintal against the MSP of 4,100 per quintal for cotton at 8 per cent moisture content. Adilabad RDO A. Sudhakar Reddy negotiated on behalf of the district administration and farmers with representatives of traders and farmers and the parties agreed on the formula for trading on Wednesday only.

Trading began as usual with cotton being auctioned at the market yard wherein the CCI quoted the MSP for cotton with 8 per cent moisture content and deduction of 1 per cent of the price for every percentage point of moisture up to 12 per cent. The private traders quoted slightly higher at Rs. 4,120 per quintal but they too agreed to purchase, subject to the moisture content condition.

Trading could not proceed beyond sale of one tractor full of cotton though the arrivals for the day were estimated to be about 6,000 quintals. As farmers grew restless, the district administration swung into action and worked it out for them with the CCI purchasing cotton from farmers willing to agree to the moisture conditions the produce having been brought in bullock carts.

The moisture content condition has always been a bone of contention between the purchasers and the farmers in Adilabad.

While the purchasers, especially the CCI does not deviate from its rule in the relevant area, farmers swear that the first picked cotton comes with a natural moisture content which exceeds even 20 per cent.

Such cotton is rejected by the CCI and the private purchasers deduct money as per the rule leaving farmers with considerably less money through the sale.

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