India’s Cotton Sector

Context

In May 2026, the Union Cabinet approved the ₹5,659.22 crore Mission for Cotton Productivity (2026–31) to address declining production, stagnant yields, and rising pest challenges in India’s cotton sector.

Landscape of India’s Cotton Sector

Scale & Global Position

• India has the largest cotton cultivation area (~12 million hectares; ~38% of global acreage).
• It ranks 2nd in production and consumption, contributing nearly 20% of global cotton fibre output.

Varietal Diversity

• India is the only country cultivating all four domesticated cotton species commercially.
• Bt cotton covers 93–95% of total acreage.

Water Dependency

• Around 62% of cultivation is rain-fed, while 38% is irrigated.

Regional Distribution

• Northern: Punjab, Haryana, Rajasthan.
• Central: Gujarat, Maharashtra, Madhya Pradesh (65–70% production).
• Southern: Telangana, Andhra Pradesh, Karnataka.

Economic Significance

• Contributes ~2% of GDP, 10% of industrial output, and ~8% of export earnings.
• Major export markets: US, Bangladesh, Sri Lanka, UK, and UAE.

Livelihood Support

• Supports 6+ million farmers and provides employment to 40–50 million people.

Key Challenges in the Cotton Sector

Low Productivity

• Average lint yield is ~440 kg/ha, below the global average (~770 kg/ha).

Pest Resistance

• Pink Bollworm resistance has reduced Bt cotton effectiveness, increasing yield losses and pesticide use.

Climate Risks

• Heavy dependence on rain-fed farming makes cotton vulnerable to erratic monsoons.

High Harvesting Cost

• Manual harvesting dominates, increasing costs and fibre contamination.

Regulatory & Market Issues

• Slow approval of new traits, price volatility, rising input costs, and synthetic fibre competition reduce profitability.

Key Government Initiatives

Mission for Cotton Productivity (2026–31)

• ₹5,659.22 crore scheme covering 140 districts.
• Promotes climate-resilient and Extra Long Staple (ELS) cotton.
• Targets yield increase to 755 kg/ha by 2031.

MSP & Digital Procurement

• Cotton Corporation of India (CCI) undertakes MSP procurement.
• Cott-Ally and Kapas Kisan apps support marketing and direct payments.

Kasturi Cotton Bharat

• QR-code and blockchain-based certification ensures quality and traceability.

High-Density Planting System (HDPS)

• Promoted under NFSM to improve yields through closer plant spacing.

PM MITRA Parks

• Based on the 5F model to strengthen textile value chains and exports.

Way Forward

Extension Services

• Strengthen KVKs and SAUs to promote scientific farming practices.

Expand Micro-Irrigation

• Integrate cotton under PMKSY to reduce rainfall dependence.

Mechanization

• Promote Custom Hiring Centres (CHCs) and FPO-led access to mechanical harvesters.

Integrated Pest Management

• Encourage refuge crops, biopesticides, and pheromone traps to manage pest resistance.

Conclusion

Improving productivity, climate resilience, and fibre quality is essential for a competitive cotton sector. Effective implementation of the Mission for Cotton Productivity and stronger value-chain integration can enhance farmer incomes while reinforcing India's position in global textile markets.