What happened

The Ministry of Textiles, Government of India, shared cotton output trends, domestic and international price movement, import volumes for raw cotton and cotton yarn, and policy measures supporting cotton availability. The key policy announcement is the approval of the five-year Mission for Cotton Productivity (Kapas Kanti) for 2026–27 to 2030–31, along with specific time-bound and continued import-duty exemptions intended to support competitive raw cotton supply.

Cotton production, productivity, and the role of acreage

The Government’s cotton supply narrative attributes major changes in cotton output mainly to changes in cotton acreage, noting that farmers may diversify to other remunerative crops. Over the same period, cotton productivity is described as broadly stable within a narrow range, implying that yield per hectare did not move as sharply as total output.

Cotton prices and linkage to global markets

The Government indicates that cotton prices move in line with both domestic and international market conditions. International cotton prices are stated to have risen by about 19%, while domestic cotton prices for the S-6 variety are stated to have risen by about 18% during the recent period, showing strong co-movement between global and Indian prices.

Related current affairs