Cotton price touches all-time high in Peddapalli

Peddapalli: Cotton price touched an all-time high with Rs 5,850 per quintal in Peddapalli Agricultural Market Yard on Sunday against the regular market price of Rs 4,200 to Rs 4,600 per quintal, fixed by Cotton Corporation of India (CCI) based on the quality.

At the beginning of the season in October 2016, the cotton price was Rs 4,200 per quintal. Within four months, the price touched to an all time high over Rs 5,800 per quintal and according to the officials of Agricultural Market Yard, the price may increase further to over Rs 6,500 per quintal in the coming up days.

Cotton was cultivated in 30,379 acres of land in the district during the present Kharif season. At the beginning of the season, cotton did not grow owing to dry weather conditions.

Farmers, who had stored cotton to sell and take up cultivation with the earnings, have derived profits with the crop bagging a record price over Rs 5,500 per quintal at Peddapalli Agricultural Market Yard.

On the other hand, a majority of big traders, who already stored the product in godowns after purchasing it at a lesser price than MSP, are now getting huge profits by selling the same at a much higher price in the market.

Traders and officials opined that increase in the price of cotton is due to the increase in demand for the crop in both domestic and international markets and also because of low production.

They observed that the government would increase the MSP to Rs 6,000 per quintal and procure the same through CCI.