The Samyukt Kisan Morcha (SKM) has condemned the Union government’s decision to scrap the 11% duty on cotton imports, warning that the move would devastate millions of farmers already grappling with agrarian distress.
The farmers’ body has demanded immediate withdrawal of the August 19 notification and declaration of a minimum support price (MSP) of Rs 10,075 per quintal for cotton, calculated at the Swaminathan Commission’s C2+50% formula. It has also sought Rs 25 lakh compensation for families of farmers who die by suicide.
The Finance Ministry’s order removed both the import duty and the Agriculture Infrastructure Development Cess on cotton with immediate effect until September 30, citing “public interest.”
SKM, however, termed it an “anti-farmer” step and accused Prime Minister Narendra Modi of betraying his Independence Day promise of protecting farmers, fisherfolk, and cattle keepers.
“It is ironic that this anti-farmer decision was followed by Prime Minister Modi’s Independence Day speech in which he said that he is ‘standing like a wall against any adverse policy that could impact Indian farmers, fisherfolk and cattle keepers’,” SKM said during a press conference at the Press Club of India in the national capital on Monday (August 25).
The group alleged that the order was the result of U.S. pressure to open Indian markets in the wake of America’s tariff war.
According to SKM, the decision will cause domestic prices to crash as small Indian farmers cannot compete with heavily subsidized American producers. While U.S. subsidies amount to 12% of cotton’s production value, India’s support is only 2.37%, leaving Indian growers at a severe disadvantage. Cotton-growing regions in Maharashtra, Gujarat, and Telangana — already hotbeds of farm distress and suicides — are expected to be hit the hardest.
“The elimination of import duty on cotton will further eliminate the livelihood of 60 lakhs cotton farmer households,” SKM warned, citing official data of over 4.5 lakh farmer suicides since 1991, including 479 suicides in Maharashtra alone between March and April 2025. It demanded that compensation for suicide-affected families be raised from Rs 1 lakh to Rs 25 lakh with retrospective effect from 2014.
The farmers’ body also pointed out that government MSP announcements fall far short of fair levels. While the Commission for Agricultural Costs and Prices projected a C2 cost of Rs 6,230 per quintal for medium staple cotton in 2024–25, the MSP was fixed at Rs 7,121 per quintal.
At the Swaminathan Commission’s C2+50% formula, the MSP should have been Rs 10,075, leaving farmers to lose Rs 2,365 per quintal. SKM estimated total losses at Rs 1.23 lakh crore in 2024–25, with the average one-acre cotton farmer losing around Rs 31,500 despite the government’s PM-Kisan Nidhi support of Rs 6,000 annually.
“Based on this estimate the loss suffered by one acre cotton framer in the year 2024-25 is Rs.31500. The Prime Minister boasts on the PM Kisan Nidhi of Rs.6000 per year to one farmer. If the Union Government implements MSP@C2+50%, then cotton farmers could save Rs 25000 even after donating Rs.6000 to the Prime Minister’s fund,” the statement said.
Announcing its protest plan, SKM said cotton farmers would burn copies of the notification and hold public meetings in villages from September 1 to 3, passing Gram Sabha resolutions urging the Prime Minister to withdraw the order.
A signature campaign and leaflet distribution drive will continue till September 10, followed by Mandal Mahapanchayats and marches to MPs’ residences if demands are not met. Coordination committees in 11 cotton-growing states will also meet to decide future actions. Additionally, an SKM delegation will visit Vidarbha on September 17–18 to express solidarity with distressed farmers.
“SKM calls upon all farmers to come together and launch an intense agitation to force the government to reverse this decision,” the group declared.
The farmers’ body has demanded immediate withdrawal of the August 19 notification and declaration of a minimum support price (MSP) of Rs 10,075 per quintal for cotton, calculated at the Swaminathan Commission’s C2+50% formula. It has also sought Rs 25 lakh compensation for families of farmers who die by suicide.
The Finance Ministry’s order removed both the import duty and the Agriculture Infrastructure Development Cess on cotton with immediate effect until September 30, citing “public interest.”
SKM, however, termed it an “anti-farmer” step and accused Prime Minister Narendra Modi of betraying his Independence Day promise of protecting farmers, fisherfolk, and cattle keepers.
“It is ironic that this anti-farmer decision was followed by Prime Minister Modi’s Independence Day speech in which he said that he is ‘standing like a wall against any adverse policy that could impact Indian farmers, fisherfolk and cattle keepers’,” SKM said during a press conference at the Press Club of India in the national capital on Monday (August 25).
The group alleged that the order was the result of U.S. pressure to open Indian markets in the wake of America’s tariff war.
According to SKM, the decision will cause domestic prices to crash as small Indian farmers cannot compete with heavily subsidized American producers. While U.S. subsidies amount to 12% of cotton’s production value, India’s support is only 2.37%, leaving Indian growers at a severe disadvantage. Cotton-growing regions in Maharashtra, Gujarat, and Telangana — already hotbeds of farm distress and suicides — are expected to be hit the hardest.
“The elimination of import duty on cotton will further eliminate the livelihood of 60 lakhs cotton farmer households,” SKM warned, citing official data of over 4.5 lakh farmer suicides since 1991, including 479 suicides in Maharashtra alone between March and April 2025. It demanded that compensation for suicide-affected families be raised from Rs 1 lakh to Rs 25 lakh with retrospective effect from 2014.
The farmers’ body also pointed out that government MSP announcements fall far short of fair levels. While the Commission for Agricultural Costs and Prices projected a C2 cost of Rs 6,230 per quintal for medium staple cotton in 2024–25, the MSP was fixed at Rs 7,121 per quintal.
At the Swaminathan Commission’s C2+50% formula, the MSP should have been Rs 10,075, leaving farmers to lose Rs 2,365 per quintal. SKM estimated total losses at Rs 1.23 lakh crore in 2024–25, with the average one-acre cotton farmer losing around Rs 31,500 despite the government’s PM-Kisan Nidhi support of Rs 6,000 annually.
“Based on this estimate the loss suffered by one acre cotton framer in the year 2024-25 is Rs.31500. The Prime Minister boasts on the PM Kisan Nidhi of Rs.6000 per year to one farmer. If the Union Government implements MSP@C2+50%, then cotton farmers could save Rs 25000 even after donating Rs.6000 to the Prime Minister’s fund,” the statement said.
Announcing its protest plan, SKM said cotton farmers would burn copies of the notification and hold public meetings in villages from September 1 to 3, passing Gram Sabha resolutions urging the Prime Minister to withdraw the order.
A signature campaign and leaflet distribution drive will continue till September 10, followed by Mandal Mahapanchayats and marches to MPs’ residences if demands are not met. Coordination committees in 11 cotton-growing states will also meet to decide future actions. Additionally, an SKM delegation will visit Vidarbha on September 17–18 to express solidarity with distressed farmers.
“SKM calls upon all farmers to come together and launch an intense agitation to force the government to reverse this decision,” the group declared.
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