Centre fixes Bt Cotton seed MRP at ₹864/packet for 2024-25, lowest hike since 2019

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CHART- MRP of BG-II cotton seed packet (₹/475 gm)

2018-19 = ₹710
2019-20 = ₹710 (0 per cent)
2020-21 = ₹730 (3 per cent)
2021-22 = ₹767 (5 per cent)
2022-23 = ₹810 (6 per cent)
2023-24 = ₹853 (5 per cent)
2024-25 = ₹864 (1 per cent)

The Union Agriculture Ministry has fixed the maximum retail price (MRP) of Bt Cotton Seed price at ₹864/packet for Bollgard II and at ₹635 for Bollgard II for the upcoming kharif season, as sowing is to commence with the arrival of monsoon in June.

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In a notification issued by Joint Secretary Ajeet Kumar Sahu, the Ministry said that in exercise of the powers conferred by section 3 of the Essential Commodities Act, 1955 (10 of 55) read with sub-clause (1) of clause 5 of the Cotton Seed Price (Control) Order, 2015, the Central Government, after taking into consideration the recommendation made by the committee hereby notifies the maximum sale price of Bacillus thuringiensis (Bt.) cotton seed packets (475 grams RIB seed packet containing minimum 5 per cent and maximum 10 per cent non Bt. Cotton seed) for the financial year 2024-25.

In 2023-24, the government had raised the MRP of BG II by 5 per cent to ₹853 and the seed industry was hopeful of a similar increase for next season. Some industry experts attributed the low hike to the last year’s drought in many parts of Maharashtra, a key growing region of cotton. Farmers in India mostly use BG II seeds to grow cotton.

According to industry estimates there was 30-40 per cent drop in cotton seed production in 2023 and there was not much surplus from previous year to offset the loss.

In kharif 2023, the actual sales were 4.4 crore packets (of 450 gram each) against availability of about 4.8 crore packets, Ram Kaundinya, adviser at the Federation of Seed Industry of India (FSII), had said earlier. The industry was expecting the demand to grow to 4.8 crore packets in kharif 2023 from 4.2 crore packets in kharif 2022.

Also read: As cotton prices surge, SIMA urges spinning mills not to panic

The drop was due to long dry spells in monsoon season. In many places even germination was an issue. For seed purpose, the cotton crop has to be good in every aspect, Kaundinya had said.