India has reclaimed its place as the 'Cotton King' in global market. With its vast acreage under cultivation and a thriving textile industry, India has emerged as a dominant force in cotton production and export. This resurgence is due to numerous factors like government initiatives, technological advancements, and the resilience of Indian farmers. However, challenges such as climate change and pest infestations continue to pose a threat to this vital sector.
The ‘Cotton Kingdom’
As per the Ministry of Textiles, India has the largest area under cotton cultivation globally, accounting for approximately 39 per cent of the world's total cotton acreage. India is one of the top producers of cotton globally. As Sanjay Kumar, President of the Cotton Association of India says, "India's cotton sector has witnessed a remarkable transformation in recent years. The government's focus on promoting sustainable farming practices and supporting technological advancements has helped to boost production and quality. This has made India a preferred supplier in the global cotton market."
Ministry of Textiles report says, India is the only country which grows all four species of cotton. India's dominance in the global cotton market is not merely a matter of production volume. Several factors contribute to its strength. First is the abundant resource with a large area under cotton cultivation, providing a substantial raw material base. A vast pool of skilled labor is available for farming, ginning, and textile manufacturing. The adoption of Bt cotton and other modern technologies has boosted productivity and quality. Government policies like MSP and export incentives provide support to the cotton sector. And a thriving domestic textile industry provides a ready market for Indian cotton.
India scores higher as a cotton exporter than many other countries because of its competitive pricing. Also the quality of Indian cotton has improved significantly in recent years. India has a well-established supply chain, ensuring timely delivery of cotton to exporters. And the diverse range of cotton species grown in India allows it to cater to specific requirements of different buyers.
Some major export destinations are:
China: Despite being a major cotton producer, China imports significant quantities from India. In fact, China's growing demand for high-quality cotton has provided an opportunity for Indian exporters.
Bangladesh: Bangladesh's robust garment industry relies heavily on imported cotton, with India being a primary supplier.
Vietnam: Similar to Bangladesh, Vietnam's textile sector depends on cotton imports, making India a key trading partner.
Pakistan: Although facing political tensions, Pakistan remains an important market for Indian cotton due to its proximity and established trade links.
Challenges in the cotton fields
Despite its strong position, the cotton sector has numerous challenges. Climate change, with erratic rainfall patterns and rising temperatures, poses a significant threat to yields. Pest infestations, such as the pink bollworm, also wreak havoc on crops, causing substantial losses. "Approximately 67 per cent of Indian's cotton is produced on rain-fed areas and 33 per cent on irrigated lands," reveals the Ministry of Textiles report.
Also, prices have a significant impact on the industry. Price fluctuations affect the cost of production, impacting global competitiveness. To mitigate this risk, the government has implemented policies to stabilize cotton prices and ensure a steady supply of raw materials.
To address other challenges, the government has launched several initiatives. The Cotton Corporation of India (CCI) plays a crucial role in procuring cotton from farmers at Minimum Support Prices (MSP), ensuring a stable income. The government also promotes the use of Bt cotton, that is resistant to certain pests, to improve yields.
The cotton-textile symbiosis
The cotton industry is linked to the textile sector. The availability of high-quality cotton at competitive prices is essential for the textile industry. The textile industry, in turn, is market for domestic cotton. This symbiotic relationship has helped both sectors to grow. "The textile industry consumes a diverse range of fibres and yarns and the ratio of use of cotton to non-cotton fibres in India is around 60:40 whereas it is 30:70 in the rest of the world," notes the Ministry of Textiles.
With government support, technological advancements, and the adoption of sustainable farming practices, India is ready to strengthen its position as the 'Cotton King' of the world.