Cotton farmers in Andhra Pradesh can’t seem to catch a break. First, Cyclone Montha left their fields waterlogged and their cotton soaked. Now, as they try to sell what’s left of their crop, they’re running into a wall: the Cotton Corporation of India (CCI) doesn’t want to buy, and the market is flooded with cheap American cotton.

Impact of Import Duty Removal

Here’s what’s making things worse. The central government scrapped the 11% import duty on cotton, which opened the floodgates. Cotton imports from the US have shot up—more than doubled, actually. In just a year, the value of imported cotton jumped from $579 million to $1.2 billion. First, the government said the duty waiver would last till September 30th, then they pushed it to December 31st, and traders already expect it’ll stretch to March next year. This steady stream of foreign cotton is crushing local farmers.

Montha Cyclone Hits Hard

The CCI isn’t making things any easier. They’ve set tough rules for buying—especially on moisture and grading—and they’re using them to avoid paying farmers the Minimum Support Price (MSP). Cyclone Montha left a lot of cotton with moisture higher than 12%. The CCI won’t budge, even though the government sent teams to see the damage for themselves. So, farmers show up with their harvest, and most of it gets rejected. After a month, the CCI has bought less than 10% of the available cotton. It’s not just about moisture, either. The grading system (L1, L2, L3, L4), falling prices, and new digital rules from the Kapas Kisan App are all making things harder.

Farmers aren’t taking this quietly. Chief Minister Chandrababu Naidu and Agriculture Minister Atchannaidu have been pushing the central government hard to relax these strict rules. Atchannaidu even visited purchase centers in Guntur and called out the CCI for refusing to help.

Domestic vs. US Cotton

Farmers in Andhra Pradesh and Telangana mostly grow Extra Long Staple (ELS) cotton—the same type the US exports here. Ninety percent of the imported cotton is the same ELS variety. US cotton is almost fully processed and ready to use, which big textile companies in Maharashtra and Gujarat love. With no import duty, these companies grab the foreign cotton first, leaving Indian farmers out in the cold. What’s really happening here is a clash between global trade policy and the reality on the ground. By wiping out the import duty, the government triggered a drop in demand for Indian cotton. Farmer groups say big textile companies are playing a two-step game: first, they buy up cheap foreign cotton, and then, once the market crashes, they’ll scoop up local cotton at rock-bottom prices for storage. Some of these companies are even building high-tech warehouses to stockpile cheap cotton.

Farmers' Demands

Farmers want action, and they want it now. They’re calling for the government to bring back import duties—up to 30%—to level the playing field. They also want the CCI to relax moisture and purchase norms, at least while they recover from the cyclone. Right now, they feel boxed in by both policy and the weather, and unless something changes, the outlook for Andhra’s cotton farmers looks grim.