Gujarat announces bonus of 500 rupees/100 kg for cotton procurement.

The Gujarat government has announced a bonus of 500 rupees per 100 kg over and above the minimum support price of cotton to help farmers tackle losses in case prices fall due to a bumper crop in the current season started Oct 1. The government has taken a decision on 22 oct to pay 100 rupees (per 20 kg) as bonus over and above the minimum support price on procurement of cotton from farmers in the state. The government has mandated a minimum support price of 4,270 rupees per 100 kg for medium-long staple, the variety produced the most in the state. Including the bonus, the effective support price in the state is now 4,770 rupees.