Cotton farming up, prices down

Bathinda,
While the area under cotton cultivation has gone up considerably in the state, the farmers arriving with their produce in the grain market here are dejected with the low prices.

Talking to The Tribune here, former North India Cotton Association president Ashok Kapur said the prices had initially touched Rs4,800 per quintal, but now they had come down to Rs4,700 per quintal. He attributed the dip in prices to the current trend in the international market.

He said the off take of yarn was sluggish and the inventory was piling up. He said private buyers were not very active, as they anticipated a further dip in the prices. On the other hand, well-off farmers too were now keen to hold back their stock, hoping for better prices in the coming months.

Former Punjab Cotton Factories and Ginners Association president Bhagwan Bansal admitted that the GST had taken a toll on their business, stating that the banks too were not cooperating with them. He also blamed the “poor quality” of Punjab cotton this year for slow buying by the mill owners. He said the cotton crop needed rain in September, but the weather remained hot and dry, thus affecting its quality. He said a number of buyers had moved to Gujarat that had better quality cotton produce.

Punjab Beopar Mandal president Ashok Kumar Dhunike said the cotton prices had come down, as China had curtailed its imports and spinning mills back home were grappling with the fund crunch. He said the mill owners did not have ample funds due to fiscal slowdown caused by the GST. He said the commission agents too were not giving cotton to the mill owners on credit as was the case earlier.

Jagtar Singh, a farmer from Chuga Khurd village, said he sold off his cotton produce in little less than Rs4,700 per quintal. “Poor cotton prices have hit the small farmers hard. I had taken agricultural land on lease at the rate of Rs48,000 per acre. Besides, the input cost is Rs15,000 per acre. But, the current cotton prices have only fetched me around Rs38,000 per acre,” he lamented.

Modan Singh from Virk Khurd village said the labour cost too had gone up this year. “I ended up paying Rs800 per quintal as labour cost, apart from their free transportation,” he said.

Share this article

About author

Punjab Headlines

Email This email address is being protected from spambots. You need JavaScript enabled to view it.

310 comments

Leave a comment

Make sure you enter all the required information, indicated by an asterisk (*). HTML code is not allowed.

Newsletter

Quas mattis tenetur illo suscipit, eleifend praesentium impedit!
Top