India: Bumper cotton yield fails to resolve agrarian crisis

January 18, 2007

http://www.fibre2fashion.com/news/textile-news/new…

Bumper cotton yield in the 2006-2007 season failed to resolve agrarian crisis that farmers in Maharashtra are facing.

Even after bumper cotton yield, Government officials declared special relief packages to curb farmers’ suicides in Vidarbha.

While Maharashtra cotton marketing federation estimated yield of around 27.5 million quintals, Cotton Advisory Board revised its estimates to 25 million quintals now.

According to estimate, about 15 million quintals of cotton have been traded by private traders, Cotton Corporation of India and the state federation till mid-January.

During this season, cotton productivity increased from three quintals per acre to six on an average. Even the cost of production also increased and farmers have to invest between Rs8,000 and Rs10,000 which include cost of pesticides and fertilisers and labour charges.

Although cost of production has increased, private buyers are offering farmers an average price between Rs1,800 to Rs2,000 per quintal.