AAP National Convenor Arvind Kejriwal criticised the Modi government for removing the 11 per cent import duty on American cotton, saying it will make Indian cotton Rs 15–20 per kg more expensive than imported cotton. He warned that this move could force farmers to sell their cotton for less than Rs 900 per 20 kg, putting them in financial crisis. Kejriwal accused PM Modi of prioritising Adani and pleasing the US, and demanded the government restore the duty, fix an MSP of Rs 2100 per 20 kg, and provide subsidies for seeds and fertilisers.
How the Duty Helped Farmers
Arvind Kejriwal explained that Indian farmers planted cotton in June-July after taking loans for seeds, fertilisers, and labor, expecting fair prices in October-November. Until recently, cotton from the US carried an 11% import duty, making it more expensive than Indian cotton. This ensured Indian farmers could sell their crop, while imported cotton stayed unsold. With the removal of the duty, he said, American cotton has become cheaper by 15–20 per kilo. Textile companies in India are now importing cheaper cotton from the US, leaving Indian farmers without buyers when they go to sell their crop.
Farmers Facing Financial Crisis
“The duty was first removed from 19 August to 30 September, then extended until 31 December,” Kejriwal said. “This will make American cotton cheaper for months. Farmers who already spent money on seeds, fertilisers, and wages will not be able to repay loans. Many may feel forced to take extreme steps. He reminded that before 2014, cotton in Gujarat sold for 1500–1700 per 20 kg. PM Modi had promised 2500, but today farmers get only 1200. With American cotton flooding the market, prices may drop below 900, enriching American farmers while hurting Indian ones.
Modi Government’s Response to America
Kejriwal questioned why the Modi government is “helpless before America,” suggesting it is under pressure to protect Adani. He demanded the 11% duty be reinstated, MSP of 2100 per 20 kg be guaranteed, and subsidies for seeds and fertilisers be provided. He also highlighted the plight of diamond workers in Surat, who face unemployment after the US imposed a 50% tariff on Indian diamonds. Unlike other countries that retaliated and forced the US to withdraw tariffs, India remained silent.
Strong Action Needed
Kejriwal argued that instead of removing the duty, India should have imposed higher tariffs on US cotton to protect farmers. He urged PM Modi to act firmly against America, saying, “If India shows strength, Trump will have to yield. PM Modi should impose 75% tariffs on US imports; the country will support him. He noted the political silence around this issue, criticizing Congress for not supporting farmers or diamond workers, and accused it of simply siding with the BJP.
