With cost of seed production going up, the cottonseed industry is demanding a higher price of Rs 1,050 a packet (450 gm) against Rs 930 in Andhra Pradesh.
Representatives of seed industry will meet Ms Usha Rani, Commissioner for Agriculture (Andhra Pradesh), on January 11 to press for their demand. The meeting was scheduled for January 7 but has been deferred to January 11.
“The cost of sourcing (from seed producers) for us has gone up to Rs 450-480 against Rs 375 (for 750 gm). Other costs, too, have gone up. We asked for Rs 1,050 last year itself, but the State Government fixed the price at Rs 930,” Mr P Satish Kumar, Secretary of Seedsmen Association of Andhra Pradesh, told
Seed fixation meetings are being planned well ahead this year to avoid crisis-like situation last year. The Government had delayed its decision last year, making the companies fret as they had to print the MRP (maximum retail price) on packets before distributing them to different parts of the State.
This year, the Government has agreed to settle the issue quite early. It assured to fix the price by February-end, giving seed companies sufficient time to print MRP on labels and distribute. Cottonseed price in Andhra Pradesh is the benchmark for other States to follow.
Estimates
The seed industry estimates that the country would require 3.8 crore packets for next kharif, the same as last year's consumption levels.
Of this, Gujarat is expected to contribute 60 per cent, followed by Andhra Pradesh 20-25 per cent, Maharashtra 10 per cent and remaining from other States. Seed companies in Andhra Pradesh are expected to meet 60 per cent of all cottonseed demand in the country.