Cotton Corporation of India Exam 2024

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The Cotton Corporation of India (CCI) is a public sector undertaking under the Ministry of Textiles in India. It plays a crucial role in the cotton sector, particularly in areas such as procurement, trading, and maintaining cotton price stability. Here are the key aspects of the Cotton Corporation of India:

### History and Establishment:

- Formation: The CCI was established in 1970 with the aim of supporting cotton growers and ensuring a stable market for cotton in India.
- Headquarters: The corporation is headquartered in Navi Mumbai, Maharashtra.

### Objectives and Functions:

  1. Price Support Operations:
       - Minimum Support Price (MSP): CCI is responsible for implementing the Minimum Support Price (MSP) operations for cotton, ensuring that farmers receive a fair price for their produce. When market prices fall below the MSP, CCI procures cotton directly from farmers.
  2. Procurement and Distribution:
       - Cotton Procurement: CCI procures cotton directly from farmers through its network of procurement centers across major cotton-growing states in India.
       - Warehousing and Storage: The corporation has warehousing facilities to store the procured cotton, ensuring its quality and availability throughout the year.
       - Sales and Distribution: CCI sells the procured cotton to various stakeholders, including textile mills, traders, and exporters, through e-auctions and direct sales.

  3. Market Intervention:
       - Market Stabilization: By intervening in the market, CCI helps stabilize cotton prices, preventing extreme fluctuations that could adversely affect both farmers and the textile industry.
       - Buffer Stock Management: CCI maintains buffer stocks of cotton to meet the demand-supply gaps and to ensure availability during lean periods.

  4. Support to Farmers:
       - Awareness and Training: CCI conducts awareness programs and training sessions for cotton farmers on best practices, quality improvement, and market trends.
       - Quality Assurance: The corporation ensures that the cotton procured meets quality standards, benefiting both farmers and buyers.

  5. International Trade:
       - Exports and Imports: CCI also engages in the export and import of cotton to balance domestic supply and demand, as well as to take advantage of international market opportunities.

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