India’s cotton production is likely to decline by 2 per cent to 25.4 million bales of 480 Ib during the 2024-25 period, predicts Foreign Agricultural Service (FAS) by USDA.
Farmers are likely to divert their attention from cotton to crops like pulses, maize, and paddy due to their potentially higher returns, impacting cotton production.
The projected area under cotton cultivation is expected to decline to 12.4 million during this period. However, cotton yields are expected to rise by 2 per cent to reach 446 kilograms per hectare in the upcoming season.
Cotton consumption is also set to increase by 2 per cent compared to the previous year, reaching 24.5 million bales of 480 lb.
Cotton exports for 2024-25 are projected to hit 2.4 million bales of 480 lb, backed by higher carryover stocks and a depreciating rupee. The first six months of 2023-24 witnessed a significant rebound in exports of value-added cotton products, particularly cotton yarn and fabric, signaling resurgence in mill consumption.
With the removal of import duty on extra-long staple (ELS) cotton, imports are expected to rise by 20 per cent to 2.4 million bales of 480 lb.
