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India’s Cotton Acreage Likely to Shrink Further Amid Shift to Alternate Crops

2025-05-27 17:34:34
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India's Cotton Acreage to Shrink as Farmers Shift Crops


India’s cotton cultivation area, which fell by 10% during the 2024 kharif season, is expected to contract further in 2025 as farmers increasingly turn to alternative crops like maize and groundnut. With planting already underway in parts of northern and southern India—where the monsoon has arrived early—industry stakeholders hold mixed views on the outlook for the 2025–26 season.


“Cotton acreage will decline in central India, which accounts for about 66% of the country’s total cotton area and production,” said Atul S. Ganatra, President of the Cotton Association of India (CAI), speaking to BusinessLine. “However, the north and south may see a marginal increase. Overall, we expect a 7–8% reduction in the country’s total cotton acreage.”


According to Ganatra, farmers in Gujarat are likely to switch from cotton to groundnut, while those in Maharashtra and Madhya Pradesh are moving toward maize. He attributed the trend to poor yields, high input costs, and labour expenses, combined with the availability of more profitable crop alternatives.

Bhagirath Chaudhary, Founder Director of the South Asia Biotechnology Centre in Jodhpur, noted that the new cotton season has begun sluggishly, with sowing delayed across northern India. “Delayed canal water release has hit farmer sentiment hard. So far, only 65–70% of sowing has been completed. Crop conditions remain weak due to extreme heat, water scarcity, and recurring sandstorms,” he said.

Chaudhary also highlighted a growing disconnect between the central government and cotton-producing states in the north. “There is still no clear roadmap for implementing the much-anticipated Technology Mission on Cotton 2.0. Consequently, cotton acreage in the north looks set to decline for the fifth consecutive year.”

On the global front, the US Department of Agriculture (USDA) projects India’s cotton production for the 2025–26 season to fall by 2%, down to 24.5 million bales (of 480 pounds each) from 25 million bales in the previous year. The USDA expects India’s total cotton area to remain largely unchanged at around 11.80 million hectares.


Domestically, cotton market sentiment remains subdued amid low demand and uncertain global trends. Despite this, some regions are witnessing strong early sowing activity, buoyed by timely rains and improved water availability.


“In regions like Adoni, Yemmiganur, Nandyal (Andhra Pradesh), and Bellary (Karnataka), early sowing using borewell and well water is already complete,” said Ramanuj Das Boob, sourcing agent in Raichur and Vice President of the All India Cotton Brokers Association. “Recent rains have boosted crop prospects, and we may see early arrivals from these areas by September.”


However, Das Boob noted that weak global demand and sluggish price movements continue to weigh on the market. “Cotton prices are still below the minimum support price, and with steady sowing and ample availability, a significant carryover stock with the Cotton Corporation of India (CCI) is likely.”


During the 2024–25 season, the CCI procured over 1 crore bales due to subdued market prices. With similar market dynamics expected to persist, another round of intervention by the CCI may be needed in the upcoming cycle.


read more :-India retains forecast of above average monsoon rains




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