In light of the declining price of products on the worldwide market, Indian farmers are pleading with the government to enact policies that will increase cotton productivity in the nation, with the goal of making local markets globally competitive.
The need for immediate action to increase cotton output in India has been highlighted by the rise in the import of raw and waste cotton over the past seven months.
In December 2024, cotton imports totalled US $ 142.89 million, and in January 2025, they totalled US $ 184.64 million. In contrast, imports totalled US $ 19.62 million in January 2024 and US $ 29.47 million in December 2023.
Since the start of the current season on 1st October 2024, the Cotton Corporation of India (CCI) has purchased around 100 lakh bales of Indian cotton that have entered the market. Nearly 60 per cent of the daily arrivals of cotton were purchased by the CCI at the minimum support price (MSP) during the peak arrival season in December 2024. The price of the Shankar 6 variety of cotton was Rs. 52,500 (US $ 635) per quintal.
According to Kurbur Shanthakumar, head of the Karnataka State Federation of Farmer Associations, the MSP is Rs. 7,235 (US $ 87) per quintal, and the cost of production is Rs. 9,000 (US $ 109) per quintal. Brokers, meanwhile, were purchasing quintals on the open market for just Rs. 5,000 (US $ 60) to Rs. 5,500 (US $ 67). The Cotton Mission, which aims to increase productivity, was part of the Union Budget that was presented in February.
In the global market, Brazil is an aggressive seller. Up until a few days ago, prices in Brazil, Africa, the US, and Australia were all favourably positioned. The cost of cotton in India was greater than in these nations. In order to enhance textile exports and maintain parity in cotton pricing for farmers and processors, the Indian government and textile sector should consider increasing demand, said Manish Daga, president of the All India Cotton Farmers Producers Organisations Association, adding that maintaining “fibre security” for the mills through increased cotton yield and area is also crucial.
