CCI steps up purchases

The Cotton Corporation of India (CCI) is intensifying its commercial operations (purchasing cotton at market prices). Its Chairman and Managing Director B. K. Mishra told The Hindu on Saturday that the Union Government had provided Rs.50 crore and the CCI had purchased 45,000 bales in Gujarat in the last few days. The aim was to ensure that prices were viable for farmers. In the case of loss in operations, it would be reimbursed by the Government. Mr. Mishra said the Government would also give a letter of comfort to the banks that extended credit to the CCI. This would help the corporation build 25 lakh bales stock. “The cotton season is coming to an end and we will make purchases wherever cotton is available,” he said. K. N. Viswanathan, Vice-President of Indian Cotton Federation, said purchases by domestic mills were picking up slowly with better yarn prices. Higher purchases by the CCI and the domestic mills had strengthened the cotton prices. Price of Shankar-6 variety was Rs.34,000- 35,200 a candy now. Keywords: Cotton Corporation, CCI, cotton industry