India and China together account for more than 50 per cent of global cotton production. In 2015-16, India is expected to surpass China as the world’s largest producer of cotton. So, India’s share of world production will come to 26.5 per cent. For China, 2015-16 production is forecast to decrease by 10 per cent. This will be the lowest since 2003-04. Its share of global production is forecast to fall to 24 per cent.

India is headed towards one of the best yields ever with over 108.67 lakh hectares of sowing completed by August 14. The country is likely to exceed cotton acreage of around 120 lakh hectares. If it rains in September, this could be one of the best yields ever.

China was the largest importer of Indian cotton over the last three years but has imported less fiber this year. This has affected Indian exports. Bangladesh has emerged as India’s biggest cotton buyer. India has sold around 60,000 bales of cotton to the country so far.

However, there is a feeling India’s output next year may not exceed the current year’s output because of the erratic monsoon and the possibility of pest attacks in some parts of the country.