Cotton cultivation is done on a large scale in Vidarbha. In fact it has the largest area under cotton cultivation in the state. The cash crop (cotton) has had a huge impact on the rural farm economy of the region.
According to Hirani, the production of cotton is expected to be between 350 and 380 lakh quintals, which is more than 300 lakh quintals produced last season.
Last week, private traders began purchases and have already bought 1.5 lakh quintal of cotton at rupees 4,150 to 4,450 per quintal, which is more than the minimum support price of rupees 4,100 fixed by the government.
The Cotton Growers Co-operative Federation of Maharashtra has decided to start opening procurement centres from November 15. However, a formal announcement in this regard is expected on November 9 or after Diwali.
In the coming days the prices of cotton will largely depend on China. If the neighbouring country keeps the option of import open, the Indian cotton growers are surely going to benefit from it.
According to some sources in the cotton industry, the export of cotton will certainly help the farmers, but there is no certainty on it as there is economic slowdown in China.
Two years back, China had imported cotton from around the world on a very large scale and that stock is now expected to get exhausted. Hirani said that cotton cannot be stocked for more than two years due to which there are expectations that China will open up to imports this year. He however, raised doubts on sustenance of current high rates.
Image Credit: cottongrower.com