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The Cotton Corporation of India (CCI)

CCI was established on 31st July 1970 as a Government Company registered under the Companies Act 1956. In the initial period of setting up, as an Agency in Public Sector, Corporation was charged with the responsibility of equitable distribution of cotton among the different constituents of the industry and to serve as a vehicle for the canalization of imports of cotton.

With the changing cotton scenario, the role and functions of the Corporation were also reviewed and revised from time to time. As per the Policy directives from the Ministry of Textiles, Government of India in 1985, the Corporation is nominated as the Nodal Agency of Government of India, for undertaking Price Support Operations, whenever the prices of kapas (seed cotton) touch the support level. As per this Textile Policy of 1985, the specific role assigned to the Corporation, in brief, is as under:

To undertake price support operations, whenever the market prices of kapas touch the support prices announced by the Government of India, without any quantitative limit;

To undertake commercial operations only at CCI's own risk;

To purchase cotton to fulfill the export commitments; &

To act as implementing agency for Mini Missions III & IV of TMC.

As a Nodal Agency of Government of India to undertake price support operations, Corporation keeps itself in preparedness to meet the eventualities of price support operations.  As and when kapas prices touch the level of Minimum Support Price (MSP), kapas purchases are made under MSP operations without any quantitative limits.  Under these MSP operations, cotton farmers are free to offer their kapas produce to CCI and Corporation continues purchases of such kapas till the prices rule at MSP level.

In the event of kapas prices ruling above MSP level, Corporation undertakes commercial operations at its own cost for supply of cotton to mills in the State sector as well as private sector.   All these operations are dovetailed to benefit the cotton growers on the one hand and supply of quality cotton to the textile mills on the other hand.

The mission of the CCI is helping cotton farmers by ensuring them remunerative price for their produce and thereby protect their interest.  Extending necessary marketing support to the cotton growers in selling their kapas produce at most competitive prices in the various market yards in all cotton growing States through timely intervention – beginning from day one of the kapas arrivals till the end of season, procurement operations spread over more than 225 market yards in the country.

Visit the following website for more information: http://cotcorp.gov.in/

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