Cotton Corporation of India (CCI)
Why in News?
Recently, the guaranteed MSP procurement window by CCI ended on March 13, 2026, with farmers demanding an extension till March 31 due to disruptions caused by public holidays and limited working days at procurement centres.
About
- MSP Funding Approval: The Cabinet Committee on Economic Affairs (CCEA) approved ₹1,718.56 crore in funding to the CCI. This support is specifically for Minimum Support Price (MSP) operations for the 2023–24 cotton season to prevent distress sales and ensure remunerative returns to approximately 60 lakh farmers.
- Record Turnover: In the current fiscal review, it was announced that CCI achieved one of its highest-ever turnovers of ₹20,009 crore during FY 2024–25.
- Dividend Payout: The corporation recently presented a dividend cheque of ₹8.89 crore to the Union Minister of Textiles, reflecting strong financial performance.
Key Features
- Primary Role: Acts as the government's central agency to undertake MSP operations when market prices for seed cotton (kapas) fall below the government-set threshold.
- Infrastructure: Operates an extensive network, recently expanding to 571 procurement centres across 150 cotton-growing districts (up from 508 in the previous season).
- Kasturi Cotton Bharat: The CCI is the backbone of India’s premium cotton branding, producing nearly 97% of all certified Kasturi Cotton (approximately 1.51 lakh bales) to ensure quality and traceability in global markets.
Digital Transformation
- Kapas Kisan App: A mobile platform with over 46 lakh registered farmers used for paperless self-registration, slot booking, and Aadhaar-linked payments.
- Blockchain Traceability (BITS): Implements a Blockchain-based Bale Identification and Traceability System for 100% end-to-end tracking of cotton bales.
- CotBiz: An online portal for faceless e-auctions, billing, and digital contracts for buyers.
- Market Stabilization: Beyond MSP, the CCI undertakes commercial purchase operations when necessary to maintain a steady supply of raw cotton for the domestic textile industry.
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