Bangladesh imports more than 60 per cent of its required cotton from India, the single largest source of the raw material for the country. Bangladeshi spinners import cotton from India because of the shorter lead-time, which is necessary for the garment business in the present context of fierce global competition.

Demand for the natural fiber is on the rise in Bangladesh as it is the only country that is still dependent on raw cotton for making yarns and fabrics. Other countries have shifted to manmade fibers like filament, polyester and viscose, causing global consumption of cotton to decline in recent years.

Currently, the ratio of cotton and manmade fiber use is 28:72 worldwide, with a pronounced tilt towards artificial fibers, due to their lower price, improved functionality and ease of use. In Bangladesh, more than 90 per cent yarns and fabrics are made from cotton.

Bangladesh is the largest cotton importer and consumer worldwide. In 2016-17, some seven million bales are expected to be imported. Bangladesh's cotton import will creep up to 7.1 million bales in 2017-18. Local growers can supply less than three per cent of the annual demand. The country is also looking to source cotton from the US, Australia and Africa.