Buying bulk cotton, maize and wheat from the Nimar mandis: what to fix in writing before the first truck
Most disputes in mandi trade are not about price. They are about a moisture reading nobody agreed on, a weighbridge nobody chose, and a payment date nobody wrote down. This checklist is what we put in every quote, and what we would ask any supplier for if we were buying.
By Tushar Sharma, Founder & Managing Director · Published 22 September 2026 · 6 min read
The belt, briefly
Nimar is the cotton and maize country of western Madhya Pradesh: Barwani, Khargone, Khandwa, Sendhwa, Pansemal, Julwania and Anjad mandis, with Dhar and Indore's Malwa mandis for wheat and moong to the north. Arrivals are seasonal: cotton from October to February, maize in two flushes (kharif from October, rabi from March), wheat from March to May, moong from June to August. Prices move daily with arrivals, so any quote without a validity period is not a quote.
1. Specification, not description
“Good quality cotton” is a description. A specification is a set of numbers with a test method. The minimum we write for each commodity:
| Commodity | Parameters we specify | Test method |
|---|---|---|
| Cotton (seed cotton or lint) | Staple 27–30 mm declared per lot; micronaire 3.8–4.6; moisture 8% max seed cotton, 8.5% max lint; trash 3% max | Moisture meter at loading; HVI report on lint if the buyer asks |
| Maize (feed and starch grade) | Moisture 14% max; damaged 2% max; foreign matter 1% max; broken 3% max; aflatoxin to buyer's limit | Moisture meter and sieve at loading; aflatoxin lab report on request |
| Wheat (mill and sortex grade) | Variety (Lokwan, Sharbati, Mill Quality 147/GW-322); moisture 12% max; damaged 2% max; foreign matter 0.75% max; test weight 76+ kg/hl | Hectolitre weight and moisture at loading |
| Moong (whole) | Moisture 10% max; damaged 2% max; admixture 1% max; bold or medium; machine-cleaned or sortex | Sample retained, sealed, signed by both sides |
Full tables are on our agri trading page. The point is not the exact numbers; it is that both sides sign the same numbers before loading.
2. The deduction formula
A specification without a deduction formula is half a contract. If maize arrives at 15% moisture against a 14% spec, what happens? The three honest answers are: reject, accept at a stated deduction per point, or accept at a renegotiated rate. Write which one applies, and the deduction per point, in the quote. We use a stated per-point deduction for moisture and foreign matter and rejection beyond a stated ceiling. Buyers who see the formula in advance almost never dispute the invoice.
3. Whose weighbridge
Name the weighbridge in the contract: a licensed mandi weighbridge at loading, or the buyer's weighbridge at unloading, or both with a stated tolerance (0.5% is common). If both, say which one governs the invoice. Photographs of the weighment slip go on WhatsApp the same hour; the original travels with the truck.
4. Custody and sampling
For anything held before dispatch, the sane arrangement is third-party warehouse custody with a warehouse receipt, so that neither side is trusting the other's godown. At loading, draw a sample, split it, seal both halves, sign both. If a quality argument comes later, the sealed sample settles it without a lawyer.
5. Payment terms and validity
Cash against delivery or 7–15 days credit against invoice are the two terms we work on; anything longer is a financing arrangement, not a trade, and should be priced as one. Rate validity: mandi rates move daily, so a quote is valid for a stated number of hours or until the day's mandi closes, whichever is written. A supplier who will not put a validity on a rate is planning to renegotiate on the day of loading.
6. GST, e-way bill and mandi fee
Ask who pays mandi fee and how it appears on the invoice; confirm the supplier's GST status and that the e-way bill matches the weighment slip and the vehicle number. Unbranded cereals and pulses attract different GST treatment from branded and packaged goods, so state whether the lot is branded. Get this in the quote, not on the invoice.
What a complete quote from us looks like
- Commodity, grade, variety, and the specification table with test method
- Rate per quintal, basis (ex-mandi, ex-warehouse or delivered), and rate validity
- Deduction formula per parameter and rejection ceiling
- Weighbridge named, tolerance stated
- Custody arrangement and sampling procedure
- Payment term, GST treatment, who pays mandi fee
- Named owner: Sudhir Sharma, Director, with his direct number
If you buy cotton, maize, wheat or moong in bulk and want a quote in this format, send the requirement here or WhatsApp Sudhir directly from the agri page. We respond within working hours the same day.
Questions on this topic
What moisture level should I specify for maize from Madhya Pradesh?
14% maximum is the standard feed and starch grade specification; write a per-point deduction above 14% and a rejection ceiling, so that a 15% arrival has a pre-agreed outcome rather than an argument.
When is cotton available from the Nimar mandis?
Seed cotton arrivals in Barwani, Khargone, Khandwa and Sendhwa mandis run from October to February, with the heaviest arrivals in November and December. Lint is available through the ginning season and from stock after it.
Sources
Related reading
- Open access solar in Madhya Pradesh: what it actually costs an industrial consumer in FY2026-27
- Third-party PPA vs group captive: which open access structure fits your Madhya Pradesh plant
- Green energy banking in Madhya Pradesh: what the 30% cap means for your solar plan
This article is general information for Madhya Pradesh HT/EHT consumers and is not an offer or a quotation. Charges are re-determined in every MPERC tariff order; confirm the current figures before relying on them.
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