New Delhi, Oct. 20 -- India's decision to suspend a duty on cotton imports to allow for cheaper inbound shipments has caused prices to crash in a year of anticipated robust output, farmers and growers' unions have said. In several states, including Maharashtra and Punjab, cotton is selling between Rs.6,700-7,000 on average against a federally fixed floor rate of Rs.8,110 (long staple variety) per quintal, data compiled at mandi (market yards) for the week ending on Saturday showed. Farmer organisations have alleged that imports have quickened in view of the exemption and a flood of cheap imported fibre is poised to cause heavy losses in a year of good monsoon. On August 19, the Centre had issued a notification suspending 11% customs duties on the import of raw cotton between August 19 and September 30 to help cushion a textile industry battered by a streak of losses. This was then extended till December 31. The temporary exemption was given following "persistent demands from the textile industry" due to rising supply constraints, a government statement said at the time. The key reason behind the problem was that domestic prices were higher than international rates. By temporarily waiving the duties, the government aims to stabilise inflation in products, such as garments, ease a raw material crisis, and protect thousands of small and medium enterprises, the statement said. Despite a decision to purchase the fibre at minimum support prices by the state-backed CCI to cushion farmers from the impact of the duty waiver, adequate arrangements for buying the produce are still not in place, said Vikram Rana Rao Patil, a member of All India Kisan Sabha said....