The open letter by the farmers said, “… with unending hypocrisy, your government is succumbing to imperialist US pressures and putting India’s sovereignty at stake,” and instead of building a vibrant domestic economy ensuring enhanced purchasing power of the working people through “agriculture led development under the aegis of the state,” the government is surrendering to the imperialist neo-liberal policies of “export oriented development”.
Groundxero | Sep 3, 2025
Cotton farmers under the banner of Samyukt Kisan Morcha (SKM) have written an open letter to the Prime Minister Narendra Modi urging him to immediately withdraw the 19th August notification removing the 11% import duty on cotton, enhance MSP for cotton to ₹10,075 per quintal, a complete loan waiver and Rs. 25 lakhs compensation to peasant suicide victim families. The farmers expressed their profound outrage at their systematic betrayal by the Union Government under his leadership.
In the open letter they reminded PM Narendra Modi of his publicly declaration on August 7, 2025, that India would never compromise on the well-being of its farmers, and he would personally “pay a heavy price” to protect farmers’ welfare. The farmers reminded the PM, how, on 15th August, while delivering the Independence Day speech at Red Fort, he had declared that he ‘will stand like a wall’ to protect farmers, cattle rearers and fisher folk. They wrote that despite these public declarations, within four days, on 19th August, his government issued notification to eliminate 11% import duty on cotton to facilitate zero per cent tariff to import cotton at the expense of Indian farmers. This policy reversal, the farmers alleged, exposes the hollowness of his claim and highlights his government’s willingness to surrender farmers’ interests to the US imperialist pressures.
The elimination of import duty on cotton will have a direct impact on the domestic price of cotton and it will further eliminate the livelihood of 60 lakhs cotton farmer households across India, said the open letter.
The open letter expressed dismay that since 2016, under the Insolvency and Bankruptcy Code, the corporate sector has been given loan waivers totaling a bonanza of Rs. 26 lakh crore, while his government has not given a single rupee as loan waiver to the farmer households suffering acute indebtedness during the last 11 years.
The cotton farmers pointed out how farmer suicides have been increasing on a large scale, and in the first three months of 2025, Maharashtra’s Vidharbha region alone has recorded 767 suicides by farmers. The open letter said that suicide by farmers due to indebtedness has become a common feature after the implementation of the neoliberal reforms affecting agriculture and during the last 11 years under his leadership, 31 farmers are committing suicide daily in India. The letter pointed out that the reason behind these ‘manmade tragedies’ is the burgeoning cost of production and the distress sale of agricultural produce. The farmers demanded that the Union Government and all the State Governments immediately enhance the compensation to the families of the peasant suicide victims to Rs. 25 lakh with retrospective effect from 2014.
The open letter expressed concern that during the last 11 years, the cotton production in India has declined by around 10 lakh metric tonnes – from 65.6 MT in 2014-15 to 55 MT 2023-24. The farmer accused the Narendra Modi Government of safeguarding the profits of global US corporations in the seed and pesticide industry by taking no action despite the Bollgard II seed losing its resistivity against the Pink Bollworm. Cotton farmers were neither compensated nor were the seeds withdrawn, alleged the farmers in the open letter.
The open letter stated:
Your government has betrayed the promise of a legal guarantee of MSP at C2+50%, with procurement forcing farmers to suffer huge losses. Over the last ten years, an average of only 13% of cotton has been procured through CCI and NAFED. 87% of products were forced to sell below the declared MSP@A2+FL, suffering huge indebtedness.
The farmers provided data to highlight the significant financial impact that the gap between MSP and the C2+50% recommended price is having on Indian cotton farmers. The letter pointed out that in 2024-25, with estimated production of 5.21 million tonnes of cotton, the potential loss to the farmers will be a whopping 12 thousand and 328 crore rupees, the loss suffered by one acre cotton farmer being Rs. 31500.
The cotton farmers pointed out the hollowness of Narendra Modi boasting of giving Rs.6000 annually to the farmers via the PM Kisan Nidhi, saying, “If your government had implemented the MSP@C2+50%, then each cotton farmer could have saved Rs 25000 per acre even after donating Rs.6000 to your “the Prime Minister’s fund”.
The letter said, “… with unending hypocrisy, your government is succumbing to imperialist US pressures and putting India’s sovereignty at stake.” The open letter further added that the Modi government, instead of building a vibrant domestic economy ensuring enhanced purchasing power of the working people through “agriculture led development under the aegis of the state” is surrendering to the imperialist neo-liberal policies of “export oriented development”.
The letter concluded with the farmers firmly stating that they will not allow the government to compromise India’s sovereignty and farmers’ interests, and they will, under the banner of Samyukt Kisan Morcha, continue to resist the imperialist-driven, pro-corporate policies of this government.
The open letter urged the PM to act immediately on the demands of the farmers, which they said are essential for the survival and dignity of cotton-producing families and for protecting the sovereignty of India. The demands of the farmers are given below.
Charter of Demands
1. Immediate and unconditional withdrawal of the notification dated 19th August 2025, which nullifies the 11% import duty on cotton; re-impose import tariff up to 50%.
2. Declare remunerative MSP of ₹10,075 per quintal, calculated using the comprehensive C2+50% cost formula as recommended by the National Commission on Farmers ( M S Swaminathan Commission) with legal guarantee for procurement.
3. Immediate restructuring of the Cotton Corporation of India (CCI) to ensure it functions in farmers’ favour by procuring cotton promptly at the MSP of ₹10,075 per quintal without delay. Establish adequate procurement centres in each block of cotton-growing districts with immediate payment within 8 hours.
4. Launch special relief package for families affected by farmer suicides since 2014. This must include adequate compensation of Rs. 25 lakhs, complete educational support for children, livelihood support, and a full waiver of the deceased’s debts.
5. Given years of distress, crop failures, unremunerated prices and resultant extreme menace of peasant suicides, we demand a complete and unconditional waiver of all outstanding debt burdens on cotton farmers, such as crop loans, farm equipment and machinery loans and microfinance loans. Strictly regulate the microfinance sector with a cap on interest rates at 2% per annum to eliminate predatory lending practices.
6. Protect the interests of agricultural workers and small peasants by providing adequate fund to the Mahatma Gandhi National Rural Employment Guarantee Scheme-MGNREGS- to make compulsory 200 days of work and Rs.600 as wage and link the scheme with agriculture production thus enable cotton farmers to reduce the cost of production.
7. All tax burdens (GST) on essential farm inputs, including fertilizers, pesticides, and farm machinery, must be immediately withdrawn to reduce the soaring cost of production.
8. Enhance crop loan limit to a minimum of ₹1.5 lakh per hectare to reflect current input costs and disburse to farmers and protect RRBs and co-operative banks.
9. Provide full and fair compensation for the massive losses incurred due to the catastrophic natural disasters of heavy rainfall, flood and drought with current prices standards. The Government can’t disown the calamity affected people. Completely restructure the Pradhan Mantri Fasal Bima Yojana (PMFBY) under public sector, keeping away the profit hungry corporate sector and immediately update the unscientific and out-dated Threshold Yield (TY) calculations to reflect current ground realities, ensuring timely and adequate insurance pay-outs. Compensation should be given based on actual loss suffered on each farm.
10. Strengthen Agricultural Produce Market Committees (APMCs) with modern infrastructure for transparent price discovery and regulations. Withdraw the National Policy Framework on Agricultural Market (NPFAM) that weakens APMCs and reject the PPP mode modernisation of APMCs. Implement alternative development policies to promote modern large scale industries –input as well as output- linking with marketing networks under cooperative and public sector to ensure a comprehensive value addition system under the aegis of the state government ensuring credit support by public financial institutions. Enact laws in state assemblies and also in the Parliament to compel industry and trade corporations to share surplus with the primary producers to realise minimum wage and minimum support price with guaranteed procurement.
11. Immediate termination of Free Trade Agreements (FTAs), specifically with Australia, ASEAN Countries and CETA with the UK, that allow for zero-duty cotton imports which triggers the collapse of domestic cotton prices. Halt the Proposed Indo-US Trade Deal and resist the 50% tariff assault on India by the USA to capture the Agricultural Market of India and ruin our Sovereignty. India must assert its sovereignty in all policy decisions and not succumb to US and other imperialist pressures. Remember, lakhs of farmers and workers sacrificed their lives during the freedom struggle to attain our sovereignty.
12. The Cotton Seed & Pink Bollworm crisis is created by corporate seed companies, specifically the failure of Bollgard II against Pink Bollworm for the last 7 years. We demand Compensation to farmers for losses due to the seed scam by corporates exploiting weak regulation & seed certification laws. No corporate collaboration on the research and development sector and strengthening public sector research for new cotton varieties, with mandatory testing and legal binding.
13. Immediate resolution of the fertilizer crisis and black marketing. The policy failure of the Union government is responsible for the current anarchic situation. The government should restore subsidies of Rs 87,339 crores, and completely waive GST on fertilizers, enhance domestic production and explore adequate imports.
14. Formal recognition of sharecroppers and provide direct access to institutional credit, disaster relief, and all government support schemes.
15. Launch specific welfare schemes for the vast number of women farmers and labourers in cotton production providing maternity benefits, healthcare, equal rights, and access to resources. Women carry a 70% workload in cotton production and are exposed to hazardous pesticides & chemicals affecting health.