Mumbai, June 28 : The Multi Commodity Exchange of India LTd. (MCX) signed a MoU with the Maharashtra government to create a value chain with final market linkages for thousands of cotton farmers in Vidarbha here on Thursday.
The agreement for the 'Cotton Mission' was signed by MCX MD and CEO Mrugank Paranjape and Additional Chief Secretary-Agriculture and Marketing Bijay Kumar in the presence of Chief Minister Devendra Fadnavis.
The MCX will partner with the agriculture department and other agencies to work closely with Farmer Producer Organisations and help them connect to the MCX's organised market network for building their capabilities.
"The commodity exchanges greatly influence a large section of society due to the trading of various agro commodities, base metals and bullion.
The MCXs special focus through 'Cotton Mission' will greatly improve the lives of the farmers in Vidarbha region," Fadnavis said lauding the initiative.
The MCX already has accredited warehouses in Yavatmal and Jalna and plans to provide delivery facilities in three or more new locations under the mission.
The cotton futures market provides an efficient platform for farmers to move up the value chain and increase their realisations, use the the MCX mechanism to deliver and/or hedge to get remunerative prices.
This would support the farmers' in their upliftment and contribute to doubling their incomes by 2022, as envisaged by the centre.
"Special emphasis will be given to farmers' training, education and awareness so that they can plan and produce quality crop that is marketable and benefit from the existing infrastructure of MCX," said Paranjape.