Traders oppose move to buy cotton directly from farmers

Staff Correspondent

Say it will hit commission agents hard

Cotton transactions at APMC Hubli amount to Rs. 10 crores to Rs. 12 crores Association warns of agitation if the proposal is not shelved

HUBLI: The Merchants' Association of Hubli has opposed the proposed move of the Cotton Corporation of India, Hubli, to purchase Jayadhar cotton directly from farmers.

Addressing presspersons here on Friday, association president Jagadishgowda Patil said the association has submitted a memorandum to Chief Minister H.D. Kumaraswamy seeking his intervention.

He said the Agricultural Produce Market Committee yard at Amargol in Hubli is the centre of commerce activities in north Karnataka and the transaction with respect to cotton is worth Rs. 10 crores to Rs. 12 crores. Through cotton trading alone, the APMC gets Rs. 15 lakhs to Rs. 20 lakhs as cess from commission agents, he said.

He said that the proposed move will affect the commission agents. The commission agents who have good relations with farmers give advance amount to farmers to meet their expenditures on seeds, fertilisers and wages. He said the merchants and commission agents are paying taxes and market cess promptly. Purchasing cotton directly from farmers will not only hit the commission agents hard but also the farmers. As the payment for the procured crop will be delayed because of the bureaucratic hurdles, the farmers are worried, he said.

Mr. Patil said if the Government fails to give up the move, the association will launch a State-wide agitation by stopping all transactions. Office-bearers of the association V.H. Marad, V.N. Bhandarkar and R.G. Kundagol were present.