Hyderabad, October 21, 2025 – As the Cotton Corporation of India (CCI) kicks off procurement operations across Telangana today, Union Minister of Coal and Mines G Kishan Reddy hailed the Centre's decade-long investment of over ₹65,000 crore in cotton procurement for Telangana and Andhra Pradesh as a cornerstone of regional economic resilience. The massive outlay – ₹58,000 crore allocated to Telangana alone and ₹7,000 crore to its neighbor – has not only stabilized farmer incomes but also injected vitality into the agrarian backbone of these states, contributing to a surge in rural employment, agro-processing, and export revenues.
The announcement comes amid the launch of the ambitious ₹600 crore Kapas Kranti Cotton Mission, a five-year initiative unveiled last week to revolutionize cotton productivity through high-density planting (HDP) techniques, superior seed varieties, and farmer training programs. Telangana, India's premier cotton-producing state with 24 lakh farmers cultivating the white gold across 45 lakh acres, stands to benefit immensely. "This isn't just procurement; it's a promise of prosperity," Reddy declared during a press briefing in Hyderabad, flanked by CCI officials and state agriculture department representatives. "Over the past decade, our efforts have transformed cotton from a vulnerability to a value driver, with procurement volumes leaping from ₹12,500 crore in 2013-14 (pre-bifurcation Andhra Pradesh) to ₹73,000 crore today – over two-thirds of that in Telangana."
Data from the Ministry of Textiles underscores the economic ripple effects: The ₹65,000 crore infusion has directly benefited nearly nine lakh farmers in the current 2024-25 season alone, with CCI procuring 210.19 lakh quintals worth ₹15,556 crore earlier this year. This financial lifeline has spurred a 15% growth in Telangana's cotton-related GDP contribution, estimated at ₹25,000 crore annually, while creating over 5 lakh jobs in ginning, spinning, and garmenting sectors. In Andhra Pradesh, the ₹7,000-8,000 crore support has bolstered coastal districts like Guntur and Prakasam, where cotton supports 10 lakh smallholders and fuels a burgeoning textile export hub valued at ₹10,000 crore yearly.
The timing is poignant, aligning with the procurement season's official start on October 21 in Telangana – expanded to 122 centers from last year's 110 – and October 22 in Andhra Pradesh. Farmers, many still reeling from recent unseasonal rains that dented yields by 10-15%, are eyeing the Minimum Support Price (MSP) of ₹8,110 per quintal for medium-staple cotton as a safety net. "We've seen prices crash to ₹5,600-₹6,600 in mandis due to import duty waivers, but CCI's assured buy ensures we don't lose our shirt," said K Ramulu, a 50-acre farmer from Warangal, speaking to reporters at a procurement yard. The Centre's crackdown on counterfeit seeds and ginning malpractices, including PD Act invocations against errant mills, further safeguards quality and fair play.
Yet, the boon extends beyond the farm gate. Economists at Prof. Jayashankar Telangana State Agricultural University note that nearly half of CCI's national ₹1.37 lakh crore procurement spend over the decade flowed to these twin states, amplifying the cotton value chain. This has lowered input costs for textile mills by 20%, boosted exports to ₹20,000 crore (targeting markets in Bangladesh and Vietnam), and aligned with the Atmanirbhar Bharat vision by promoting extra-long staple (ELS) varieties – poised to unlock an additional ₹60,000 crore in high-end apparel and home textiles by 2030.
Telangana Chief Minister A Revanth Reddy, while praising the federal support, urged faster disbursals and more drying platforms at panchayat levels to combat moisture-related rejections. "This ₹65,000 crore is our shared success story, but let's make Kapas Kranti the next chapter for sustainable growth," he posted on X. Andhra Pradesh Civil Supplies Minister Nadendla Manohar echoed the sentiment, announcing a 51 lakh tonne paddy procurement target alongside cotton drives to diversify farmer risks.
As bales begin rolling into CCI yards – with Telangana aiming for 40 lakh bales this season, mirroring its national lead last year – the procurement surge signals renewed optimism. In a region where cotton accounts for 30% of agricultural output, this fiscal firepower isn't merely transactional; it's transformative, weaving threads of economic empowerment one quintal at a time. With global textile demand rebounding post-Diwali, stakeholders eye Samvat 2082 as a harvest of hope for the Deccan plateau's cotton belt.
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