India Procures 100 Lakh Cotton Bales Under MSP in 2024-25 Season, Pays ₹37,450 Cr to Farmers

New Delhi, April 8: In the ongoing 2024-25 cotton season, the Government of India has achieved a major milestone by procuring 525 lakh quintals of seed cotton—equivalent to 100 lakh bales—under the Minimum Support Price (MSP) operations. This initiative, conducted through the Cotton Corporation of India Ltd. (CCI), the nodal agency under the Ministry of Textiles, accounts for 38% of total cotton arrivals (263 lakh bales) and 34% of the estimated national production (294.25 lakh bales) as of March 31, 2025.
Telangana Leads Cotton Procurement in 2024-25
Telangana has emerged as the top contributor with 40 lakh bales procured, followed by Maharashtra (30 lakh bales) and Gujarat (14 lakh bales). Other significant contributors include Karnataka (5 lakh bales), Madhya Pradesh and Andhra Pradesh (4 lakh bales each), Odisha (2 lakh bales), and a combined procurement of 1.15 lakh bales from Haryana, Rajasthan, and Punjab.
₹37,450 Crore Paid to 21 Lakh Cotton Farmers
A total of ₹37,450 crore has been disbursed directly to approximately 21 lakh cotton farmers across the country, reinforcing the government’s commitment to ensuring fair and timely payments. The MSP mechanism continues to offer a safety net to farmers, shielding them from market fluctuations and distress sales.
508 CCI Procurement Centers and Digital Innovations
To facilitate smooth procurement, the CCI has set up 508 centers nationwide. Embracing digital transformation, the government has introduced several farmer-friendly initiatives:
- On-spot Aadhaar authentication
- SMS alerts for payment status
- 100% direct payments via National Automated Clearing House (NACH)
- “Cott-Ally” mobile app—available in nine regional languages, offering real-time MSP rates, center locations, and payment tracking.
Additionally, all cotton bales procured by CCI are now traceable via QR codes using blockchain technology, ensuring transparency and accountability throughout the supply chain.
Government Reaffirms Support for Cotton Farmers
The Government of India remains committed to safeguarding the interests of cotton farmers through a robust, transparent, and technology-driven procurement system under the MSP regime.