Yavatmal Cotton Farmers Face Price Crash Threat as CCI Deadline Looms
In Yavatmal, a critical agricultural crisis is unfolding as nearly 25% of the district's cotton stock remains unsold at the doorsteps of farmers and traders. With the Cotton Corporation of India (CCI) procurement set to potentially discontinue after February 27, severe concerns are mounting over an imminent price crash that could devastate the local farming community.
Procurement Race Against Time
Thousands of farmers had registered and booked slots with CCI, hoping to secure better prices than those offered by private traders. So far, CCI has procured an impressive 15,74,462.4 quintals of cotton in the district. However, a substantial portion of the produce remains unsold, creating intense anxiety among farmers with only one week remaining before the procurement deadline expires.
Historical Context and Current Challenges
Yavatmal has traditionally been a major cotton-producing district, with cotton cultivated on nearly five lakh hectares this year alone. After suffering severe financial losses during the 2024-25 season, many farmers were left financially devastated with minimal capital to invest in the next crop cycle. Despite this precarious situation, they borrowed money at exorbitantly high interest rates to continue farming rather than leaving their fields fallow.
Climate Impact on Production
The agricultural challenges were compounded by excessive rainfall during the Kharif 2025 season, which destroyed cotton crops across thousands of hectares. In several parts of the district, yields dropped drastically from expected levels. Cotton that typically reaches markets by Dussehra arrived at farmers' homes only around Diwali, significantly delaying the selling season and creating additional financial pressure.
Private Market Exploitation
As a direct result of these delays, many farmers were compelled to sell their produce to private traders at just Rs7,200 per quintal. This represented a substantial loss of nearly Rs800 per quintal compared to the expected market rate, further eroding their already fragile financial positions.
CCI Registration and Procedural Hurdles
Recognizing the significant losses in the private market, farmers registered for CCI procurement where the price was fixed at a more favorable Rs8,100 per quintal. However, stringent conditions and complex procedural hurdles reportedly forced many farmers to sell their cotton to private traders instead. Several farmers who successfully booked slots with CCI are still awaiting confirmation, adding to their uncertainty.
Imminent Price Crash Concerns
With only days remaining before procurement potentially ends, farmers fear that CCI may not be able to purchase the remaining stock in time. If procurement stops abruptly, they may once again be forced to sell at significantly lower rates in the private market. Overall, there is widespread apprehension that cotton prices could decline sharply if CCI withdraws from procurement activities in the region.
Farmer Leadership Response
Bala Nival, a prominent farmers' union leader, highlighted that unseasonal rains persisted late into the season, and cotton picking is still underway in some areas. He has urgently appealed to the district's guardian minister to extend the CCI procurement deadline to prevent further financial distress for the farming community. This extension is seen as crucial to providing farmers with a fair opportunity to sell their remaining stock at reasonable prices.
The situation in Yavatmal represents a critical juncture for cotton farmers who have already endured multiple seasons of hardship. The coming week will determine whether they can secure fair prices for their remaining produce or face another devastating financial blow in an already challenging agricultural environment.
