As the domestic cotton prices do not intend to decline, therefore, the Indian central government to allow domestic cotton prices into line with the international cotton prices increase the pressure. Recently, the industry’s appeals to the central government ordered the Indian Cotton Corporation (CCI) to the price dropped to about 20,000 rupees (365 kilograms) level, which is the current international prices.

2008-09 minimum support price (MSP) steep 40 percent, resulting in the domestic cotton price increased to 22,500 rupees / candy. To the end of February, the number of new cotton arrival may be reduced, the local textile industry bogged down in an unprecedented crisis, they want the price into line with international prices. According to Cotlook A Index, the international cotton prices, at least over India Shankar-6 cotton prices low Rs 1000-2000, which cotton is the most popular varieties of the Indian subcontinent.

Domestic textile industry consumes about 24 million bales of cotton (170 kg), but now the factory can not afford the market price in accordance with the existing procurement of cotton. At present, the cotton textile factory procurement volume reduction of one third in 2007-08. Cotton prices in 2008 washed up on 30,000 rupees / candy, now at 22,500 rupees price / candy, higher than the international price of Rs 1000-2000.

It is interesting to note ,2005-2008 Shankar-6 cotton prices in the 18,500 rupees / candy, lower than the international market prices by about 6-7 cents / lb. Now the minimum support price of a 40% increase since November 2008 since, Shankar-6 cotton prices lower than the international market, cotton prices higher than 5 cents.