2nd installment of Rs418cr to be disbursed among cotton farmers
10 Apr '06
1 min read
Maharashtra government has decided to provide 36 lakh cotton farmers in the state the second installment of Rs418 crore of Capital Formation Fund starting May 1 2006.
First installment of Rs350 crore was offered and about Rs123.9 crore was disbursed among 8.8 lakh farmers by the Maharashtra State Cotton Growers Federation Ltd., till April 4.
Federation manages the fund, virtually a corpus and distributes it at the rate of three percent, among cotton growers.
Untimely rains in February has led to delay in cotton purchase this time, but experts believe that the losses are bound to reduce this year and profits will grow, which will be offered as bonus to the farmers.
Between November 11 2005, when the Cotton Monopoly Procurement Scheme was introduced, and April 4, the federation procured 18.4 lakh quintals of cotton worth Rs331 crore, including 8.5 lakh quintal, valued at Rs152 crore from Vidarbha region, sources informed.
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