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Cotton Sowing Hits Record Low in PunjabThe government's efforts in Punjab to promote crop diversification and reduce dependence on water-intensive crops like paddy have suffered a setback. In the 2026-27 Kharif season, cotton sowing has plummeted to a record low. The state government had set a target of cultivating cotton across 1.25 lakh hectares; however, as of June 2, sowing has been completed in only 70,000 hectares—amounting to a mere 56 percent of the set target.According to data from the Agriculture Department, Fazilka district accounts for the largest area under cotton cultivation, spanning 40,000 hectares. This is followed by the districts of Bathinda, Mansa, and Sri Muktsar Sahib, where sowing has been recorded across approximately 10,000 hectares each. Officials state that the final figures will emerge after June 15; however, the likelihood of a significant increase in acreage remains slim, as farmers are increasingly distancing themselves from cotton cultivation.According to agricultural experts, adverse weather conditions over the past several years—coupled with pest infestations such as whitefly and pink bollworm, as well as financial losses—have eroded farmers' confidence. While there was no major pest outbreak in 2025, unseasonal rains during the cotton harvesting period in October inflicted severe damage upon the crops. Consequently, both production levels and farmers' incomes were adversely affected.Charanjit Singh, Deputy Director (Cotton) at the Punjab Agriculture Department, stated that the decline in cotton acreage would likely drive more farmers toward paddy cultivation, thereby placing additional pressure on groundwater resources. He noted that the government is making continuous efforts to reduce the area under paddy cultivation and promote alternative crops.Experts believe that new hybrid cotton varieties—characterized by superior pest resistance and high productivity—could potentially help regain farmers' confidence in the future. However, issues such as counterfeit seeds, market prices falling below the Minimum Support Price (MSP), and persistent crop-related risks continue to remain the primary concerns for farmers.read more :- Rupee Opens Steady at 95.71 Against US Dollar

The rupee opened steady at 95.71 against the dollar.On Thursday, the Indian rupee opened at 95.71 against the dollar, whereas it had closed at 95.71 on Wednesday.READ MORE :- New US Tariff Proposal May Impact India Amid Ongoing Trade Talks

New US Tariffs Loom Over 60 Nations, Including India; US Team Active in Delhi Amidst Trade TalksThe United States is preparing to impose new import duties (tariffs) on at least 60 trading partner nations, a list that includes India. President Donald Trump's administration is considering taking action against countries accused of failing to prevent the importation of products linked to forced labor. According to a recent report by the Office of the United States Trade Representative (USTR), the proposed tariffs could range between 10 percent and 12.5 percent. It is proposed that an additional duty of 10 percent be levied on Canada, Mexico, Taiwan, and the United Kingdom, while a 12.5 percent duty is proposed for nations such as India, China, Japan, South Korea, Brazil, and Switzerland.These duties will not take effect immediately. They will first be subject to a public comment period and a comprehensive review process; a final decision will be reached only thereafter. If implemented, this measure could enable the Trump administration to circumvent certain legal constraints placed on tariff policies following recent Supreme Court rulings.This entire process stems from an investigation initiated under Section 301 of the US Trade Act of 1974. The investigation assessed whether trading partner nations have implemented adequate restrictions on the importation of goods produced using forced labor. According to the USTR, 54 economies—including several major nations such as India—have failed to take effective action in this regard.USTR officials have stated that this situation creates unfair competition for American workers within the global trade arena. However, the proposed tariffs do include certain exemptions, such as for beef, coffee, select fruits and nuts, as well as products from Canada and Mexico that fall under the purview of USMCA regulations.Meanwhile, a US trade delegation led by chief negotiator Brendan Lynch is currently in New Delhi, engaged in negotiations with India regarding a Bilateral Trade Agreement (BTA). The Indian delegation is being led by Darpan Jain, Additional Secretary in the Department of Commerce. Both countries are discussing issues such as market access, tariff reductions, non-tariff barriers, and economic security.According to a joint statement issued in February, the US is considering reducing tariffs on Indian goods to approximately 18 percent. If this agreement moves forward, it could signal relief for Indian exporters, who had previously been facing pressure from high tariffs.read more :- The rupee ended 26 paise lower at 95.71 against the dollar.

On Wednesday the Indian Rupee declined by 26 paise to close at 95.71 against the US dollar, after opening at 95.45  in morning trade.At close, the Sensex was down 303.67 points or 0.41 percent at 74,346.17, and the Nifty was down 77.95 points or 0.33 percent at 23,405.60. About 1714 shares advanced, 2318 shares declined, and 167 shares unchanged.read more :- Cotton and Yarn Prices Fall After Import Duty Waiver

Cotton Prices Drop Following Government Decision; 3% Decline RecordedThe impact of the Government of India's decision to suspend the 11% import duty on cotton until October has become immediately visible in the market. Following this announcement, a decline of approximately 3% has been recorded in the prices of both cotton and yarn. Industry experts believe that prices could witness a further reduction of 1–2% in the coming days.Over the past three months, cotton prices had surged by nearly 27%. The price of 29mm cotton rose from ₹54,200 per candy in February to reach ₹69,200 per candy by mid-May. However, due to a softening in the international market, prices had already eased somewhat to hover around ₹65,000 per candy. On Monday, the Cotton Corporation of India (CCI) reduced the price of cotton by ₹700 per candy to ₹64,300, while yarn prices were cut by ₹10 per kilogram.K. Selvaraju, Secretary General of the Southern India Mills Association (SIMA), stated that cotton prices are now softening, and spinning mills have been advised to lower yarn prices. The industry believes that the removal of the import duty will boost market availability and curb hoarding.The textile industry had long been demanding the removal of this duty. Industry bodies argue that Indian exporters were losing ground in competition against countries like Bangladesh and Vietnam, where no duties are levied on imported cotton. The rising cost of raw materials has also impacted the competitiveness of Indian yarn and textile exports.However, this decision has raised concerns among farmers. This step has been taken at a time when the government has announced a ₹5,659 crore 'Cotton Productivity Mission' aimed at boosting domestic production. Nevertheless, industry representatives maintain that the suspension of the import duty is for a limited period, and the 7% hike in the Minimum Support Price (MSP) will provide farmers with protection against potential price pressures.read more :- Manvat APMC Sets Record With 4.36LakhQuintals Cotton Procurement

Maharashtra: Record Cotton Procurement at Manvat APMCParbhani (Maharashtra): The Manvat Agricultural Produce Market Committee (APMC) in Parbhani district has set a new record for procurement during the current cotton marketing season. Despite a decline in production, the market witnessed a significant increase in cotton arrivals and trading activities. Over a period of approximately seven months—from November 13, 2025, to May 30, 2026—a total of 4.36 lakh quintals of cotton were procured; this is being hailed as a significant milestone in the history of the Manvat market.This season, cotton production in several regions was adversely affected by climate change, unseasonal rains, and outbreaks of pests and diseases. Despite these challenges, the Manvat market continued to witness a steady influx of farmers. Thanks to a transparent auction system, timely payments, and competitive rates, farmers' confidence in the market grew consistently, leading to a remarkable surge in trading transactions.Throughout the season, there was fierce competition for cotton procurement between the Cotton Corporation of India (CCI) and private traders. The CCI procured 1,63,647 quintals of cotton at rates ranging from ₹7,500 to ₹8,000 per quintal. However, after the CCI halted its procurement operations post-February, private traders stepped up their activity in the market. The private sector procured over 2.72 lakh quintals of cotton, thereby sustaining market demand and driving a continuous upward trend in prices.At the beginning of the season, cotton prices hovered around ₹7,500 per quintal; however, driven by rising demand and favorable market conditions, prices gradually climbed. During the final phase of the season, cotton prices crossed the historic threshold of ₹10,000 per quintal for the very first time. Nevertheless, since most farmers had already sold their produce by that time, only a limited number of growers were able to capitalize on these elevated prices.Attracted by the Manvat market's transparent public auction system and prompt payment mechanism, farmers from neighboring districts—including Beed, Jalna, and Nanded—as well as those from Parbhani itself, flocked to the market to sell their produce. Consequently, the market recorded a record volume of cotton arrivals this year. According to experts, global factors—such as international production, import-export policies, demand within the textile industry, and the dollar exchange rate—also influence cotton prices.Pankaj Ambegaonkar, Chairman of the Mandi Committee, stated that the record-breaking procurement and arrivals serve as a testament to the farmers' confidence. He noted that the committee has consistently accorded the highest priority to the interests of farmers, and it is precisely due to this transparent system that the Mandi has achieved such success.read more :- Rupee Opens 18 Paise Lower Against US Dollar at 95.45

The Rupee opened 18 paise lower at 95.45 against the USD.On Wednesday, the Indian Rupee opened 18 paise lower against the Dollar at 95.45, whereas it had closed at 95.27 on Tuesday.READ MORE :- India’s Exports See Strong FY27 Start Amid FTA Push

Strong Growth in India's Exports at the Start of FY27; Government Accelerates Initiatives for FTA ExpansionThe beginning of the 2026-27 fiscal year (FY27) has been positive for India's export sector. According to a senior government official, the country's exports recorded double-digit growth during April and May 2026. The Ministry of Commerce is set to release trade figures for the month of May on June 15, a release expected to provide detailed confirmation of this trend.In April 2026, India's exports surged by 13.78 percent to reach $43.56 billion—the highest monthly figure recorded in the last four years. The recovery in petroleum product exports and elevated international crude oil prices played a significant role in driving this growth. However, imports also witnessed a sharp increase during the same period, causing the trade deficit to widen to $28.38 billion—the highest level seen in the last three months.The government is actively pursuing Free Trade Agreements (FTAs) as a key strategy to boost exports and strengthen India's market share in the global arena. In line with this objective, the Ministry of Commerce is currently working on a plan to recruit approximately 1,000 personnel to raise awareness regarding FTAs across the country. Candidates proficient in various Indian languages will be required for these positions, and the formalities regarding the recruitment process are currently underway.Currently, India has operational FTAs with several countries and blocs, including the United Arab Emirates (UAE), Oman, Australia, the European Free Trade Association (EFTA), and Mauritius. Furthermore, agreements with the United Kingdom (UK), New Zealand, and the European Union (EU) are in their final stages of negotiation.According to Commerce and Industry Minister Piyush Goyal, India has concluded nine Free Trade Agreements over the past three and a half years, covering approximately 38 developed nations. He asserts that these agreements are facilitating improved access for Indian goods and services in global markets and collectively impact a significant portion of global trade. The government aims to achieve exports of $1 trillion in the current year and $2 trillion over the next five years. In pursuit of this objective, trade negotiations are being accelerated with Israel, Canada, the Gulf Cooperation Council (GCC), the Southern African Customs Union (SACU), Russia, Central Asian nations, and other partners.read more :- Maharashtra Launches Cotton Revolution Scheme in 19 Districts

‘Cotton Revolution’ Scheme Implemented in 19 Districts of Maharashtra; ₹191 Crore AllocatedMumbai: With the objective of boosting cotton production and improving its quality across the country, the Central Government has decided to implement the ambitious ‘Cotton Revolution’ (Kapas Kranti) scheme. This scheme will benefit 19 major cotton-producing districts across the North Maharashtra, Marathwada, and Vidarbha regions of the state of Maharashtra. A provision of ₹191 crore has been made for this initiative within the state.This initiative is being launched under the Central Government’s ‘Cotton Productivity Mission,’ the primary objective of which is to address the challenges associated with cotton cultivation and to connect farmers with modern agricultural technologies. The scheme is scheduled to be implemented over the period spanning from the year 2026-27 to 2030-31. During this period, approximately ₹5,659.22 crore will be expended nationwide.Under the scheme, farmers will be encouraged to utilize high-yielding, climate-resilient, and pest-resistant seed varieties. Furthermore, emphasis will be placed on the widespread adoption of modern agricultural techniques—such as the High-Density Planting System (HDPS), Closer Spacing (CS), and Integrated Cotton Management. The government believes that these measures will contribute to increasing per-hectare productivity.Under the ‘Cotton Revolution’ scheme, special attention will be directed not only toward promoting the production of Extra Long Staple (ELS) cotton but also toward the modernization of ginning and processing units. This is expected to enhance the quality of cotton and bolster the competitive edge of Indian cotton in the global market.To establish Indian cotton as a high-quality and sustainable product on the international stage, a special promotional campaign will also be conducted under the brand name ‘Kasturi Cotton Bharat.’ This campaign will be operational across 140 districts spanning 14 states of the country.State Agriculture Minister Dattatray Bharne stated that, in light of the higher water requirements associated with the HDPS method, the government is currently considering the possibility of providing additional subsidies to cotton farmers for the installation of micro-irrigation systems. Experts believe that this scheme could lead to a significant increase in production, productivity, and farmers' income in the cotton-producing regions of Maharashtra.read more :- The rupee ended 22 paise lower at 95.27 against the dollar.

On Tuesday, the Indian Rupee declined by 22 paise to close at 95.27 against the US dollar, after opening at 95.05  in morning trade.At close, the Sensex was up 382.50 points or 0.52 percent at 74,649.84, and the Nifty was up 100.95 points or 0.43 percent at 23,483.55. About 2222 shares advanced, 1803 shares declined, and 165 shares unchanged.read more :- ICAC Forecasts Decline in Global Cotton Production for 2026/27

ICAC Forecast: Slight Decline in Global Cotton Production and Trade in the 2026/27 SeasonAccording to the International Cotton Advisory Committee (ICAC)'s June 2026 report, 'Cotton This Month', a marginal decline in global cotton area, production, and trade is anticipated for the 2026/27 season. The report attributes this to weak demand, rising production costs, and changing climatic conditions in major cotton-producing regions.According to ICAC estimates, the global cotton area is projected to contract by 1 percent, settling at 30.1 million hectares. Production is estimated to decline by 2 percent to 25.7 million tonnes, while global trade is expected to shrink by 1.4 percent to approximately 9.5 million tonnes.According to the report, fertilizer prices rose by approximately 12 percent in early 2026—primarily driven by tensions in the Middle East and supply disruptions in the Strait of Hormuz. Furthermore, adverse weather conditions in several countries are also impacting cotton production. In the United States, a significant portion of the cotton crop is under the threat of drought; Australia is grappling with a severe water crisis; and in Pakistan, pest infestations and erratic weather continue to pose challenges to production. Meanwhile, increasing competition from rival crops—such as maize—and from synthetic fibers is also exerting pressure on the cotton sector.In terms of country-specific estimates, China is expected to retain its position as the world's largest cotton producer. However, a 0.5 percent decline in cotton area and a 4 percent drop in production are projected for the country, which could see production levels settle at approximately 7 million tonnes. Favorable weather conditions and high productivity are expected to sustain China's strong standing.In the United States, the cotton area is projected to shrink by 6 percent to 2.9 million hectares, while production is expected to decline by 4 percent to 2.8 million tonnes. Despite this, a marginal increase in both productivity and exports is anticipated.Following four consecutive years of growth, both cotton area and production in Brazil are projected to experience a decline. Production is expected to fall by 10 percent to 3.8 million tonnes. On the other hand, India continues to remain a leader in terms of cotton acreage. Due to forecasts of a normal monsoon, domestic production is expected to increase by 8 percent, with the majority of this output likely to be utilized for domestic consumption and yarn exports.In Australia, production is estimated to stand at approximately 937,000 tons due to drought and limited irrigation resources; meanwhile, in Pakistan, production could decline by 18 percent—falling to around 900,000 tons—owing to poor seed quality, pest infestations, and adverse weather conditions.The ICAC has projected the Cotlook A Index for the 2025/26 season to range between 75 and 80 cents per pound, with a midpoint of 78 cents per pound. The next issue of the report is scheduled to be released on July 1, 2026.read more :- India-US Trade Deal Nears Final Stage Amid Tariff Talks