*From large exporter to net importer: India’s looming cotton crisis.*BT cotton, a GM variety once glorified as white gold, has run its course. This lies at the heart of the crunch. It no longer defends against pests.New Delhi: The current summer-sown season will be his last tryst with cotton, a crop that once brought prosperity in his entire village, said Kailash Rao Kadam, a 55-year-old grower from western Maharashtra.Although farmers like him commonly face fluctuations in profits, the lowest prices in three years, which cotton buyers however deem high because the fibre is much cheaper abroad, and a decline in productivity have convinced Kadam to switch to something else.The worsening terms of trade has turned India, a large exporter, into a net importer. Cotton imports this year, at 300,000 bales, have outweighed its exports of 1,700,000 bales. “If I continue with cotton, it will make me a beggar,” Kadam said over the phone from Aurangabad.The popular BT cotton, a genetically-modified variety once glorified as white gold, has run its course. This lies at the heart of the crunch. It no longer defends against pests, having lost its effectiveness over the years, and alternatives are few and far between.Many farmers, especially in Punjab, have switched to desi (traditional) varieties to fend off voracious whiteflies, which can devour whole fields overnight, said Joginder Dhinsa, a grower from Mansa.The crisis has deepened this year because the government has allowed duty-free imports for a four-month period until December to cushion the textile sector, battling losses amid high domestic prices of the fibre. The highly labour-intensive sector is also bracing for the worst impacts of US President Donald Trump’s 50% tariff.A inter-ministerial meeting last week acknowledged the need for a technology breakthrough soon enough and reviewed implementation of a five-year cotton productivity mission worth ₹2500 crore announced by finance minister Nirmala Sitharaman in this year’s Union Budget.The slide in cotton output is alarming. In the 2024-25, the country is expected to produce 29.4 million bales (of 170 kg each), the lowest in more than a decade. At the peak of BT cotton’s successful run in 2013-14, output stood at 39.8 million bales.The cotton productivity mission will focus on developing “climate-smart, pest-resistant, and high-yielding cotton varieties, including extra long Staple (ELS) cotton, using advanced breeding and biotechnology tools”, an official said.“Biotechnology tools” mean India could give a go ahead to an upgraded or next generation home-grown GM technology in cotton, although the government is against allowing transgenic food crops.Notes from the review meet showed that GM upgrades in the pipeline include field trials of a proprietary ‘BioCotX24A1’ transgenic technology of Bioseed Research India Ltd. The company has sought permission for a second round of field trials from Genetic Engineering Assessment Committee, the GM regulator.Another firm, Rasi Seeds Pvt Ltd, has sought clearances for first-stage field trials for a gene that is aimed to give protection against the pink bollworm, the main pest BT cotton was meant to kill.“The government is also looking at modernising 1000 ginning mills to bolster the sector under the plan announced as part of the budget,” an official said.read more :- Modi-Trump increased cooperation
*PM Modi and President Trump take first steps to patch up.*PM on Saturday reciprocated to Trump’s statement that he will always ‘be friends with Modi’ and there was nothing to worry about India-US special relationship. With both US President Donald Trump and Prime Minister Narendra Modi reaffirming their personal friendship and strength of bilateral ties, India and US have taken first steps to patch up the relationship which had turned sour over trade deal and Russian oil.With PM Modi reciprocating US President Trump’s statement that he will always ‘be friends with Modi’ and there was nothing to worry about India-US special relationship, it is now for the officials to get together and hammer out a final trade deal which is a win-win for both the countries.After the two leaders engaged each other, External Affairs Minister S Jaishankar also made it clear that PM Modi attaches a lot of importance to ties with US.Replying to a question, President Trump made it clear that he did not think that US had lost India to China. He also stated: “ I get along with Modi as you know, he was here a couple of months ago, we went to Rose Garden and did a press conference.”With the two leaders making it amply clear that they were all for closer bilateral ties, the next step perhaps would be the acrimonious noise coming from Washington against India will now either stop or soften up. There is also a strong possibility that the two leaders may pick up the phone to talk to each other and give directions to senior officials in a bid to cement ties.Coming out in the open after his telephonic conversation with President Trump on June 17, PM Modi used X and stated: “ Deeply appreciate and fully reciprocate President Trump’s sentiments and positive assessment of our ties. India and the US have a very positive and forward looking Comprehgensive and Global Strategic Partnership.”PM Modi’s statement on X reflects the sentiments on Raisina Hill as New Delhi was patiently waiting for noise from Washington to die down and for President Trump to reconsider the US position as India was in no way getting close to China. India was just normalizing ties with China while continuing to engage Russia.The mood on Raisina Hill is that all efforts may be made to conclude a trade deal with US after making the latter understand that the bilateral ties between two natural allies are for global good.India was positive that relations would turn for the better when one of India top national security planner visited US last month and met all the top officials of US intelligence and enforcement agencies. The message from US was that disagreement on trade was a just a hiccup and the bilateral relations will go on as usual.read more:- Andhra Pradesh: Cotton farmers shocked by removal of import duty
Andhra pradesh : cotton farmers hit hard by Centre’s duty lift on importsVijayawada: Cotton farmers in Andhra Pradesh are facing fresh uncertainty following the Centre's decision to lift import duties on cotton. With mills expected to import large volumes in the coming weeks, growers fear a sharp drop in domestic prices during the upcoming season.Andhra Pradesh ranks among the top cotton-producing states in India, after Gujarat, Telangana, and Maharashtra. While the Centre's move aims to ease the US-imposed tariff burden on the textile industry, it has come as a blow to farmers already grappling with years of low market prices.Despite the Cotton Corporation of India (CCI) entering the market, its stringent procurement rules have failed to support growers over the past two years. Farmers have been forced to sell to middlemen at Rs 4,000–Rs 5,000 per quintal — far below the Centre's declared Minimum Support Price (MSP) of Rs 7,110.In anticipation of further market distress, the Centre has increased the Minimum Support Price (MSP) for the 2025–26 cotton season, raising the rate for medium staple cotton from Rs 7,121 to Rs7,710 and for long staple cotton from Rs 7,521 to Rs 8,110.However, CPM leader P Ramarao criticized the removal of import duties, warning it would depress domestic prices and deepen farmer debt.Industry analysts echoed the concern, calling the decision a "knee-jerk reaction" that benefits textile exporters at the cost of cultivators.With the kharif harvest approaching, farmers fear the market will be flooded with cheaper imported cotton. Many worry that CCI may delay procurement to minimize its own losses, leaving growers vulnerable."Duty-free imports will flood the market and crush prices. Farmers who've already invested heavily will face severe financial strain," said former MP M Venugopala Reddy. He warned that the decision could worsen distress and trigger more suicides among AP's cotton-growing communities.read more:- CCI made cotton cheaper, 77% sales through e-bidding
CCI Decrease Cotton Prices, sold 77% of 2024–25 Procurement via E-BiddingThe Cotton Corporation of India (CCI) conducted online bidding for cotton bales throughout the week, with significant trading activity observed across both the Mills and Traders sessions. Over the course of Five days, CCI decreased its prices by a total of ₹300 per candy.As of now, CCI has sold approximately 77,48,700 cotton bales for the 2024–25 season, representing 77.48% of its total procurement for the season.Date wise weekly Sales Summary :01 September 2025 :The highest daily sales of the week were recorded on this day, with 1,85,700 bales sold from the 2024–25 season.Mills session : 63,600 balesTraders session : 1,22,100 bales02 September 2025 :A total of 1,71,300 bales were sold from the 2024–25 season.Mills session : 74,400 balesTraders session : 96,900 bales03 September 2025 :Sales amounted to 58,000 bales, all from the 2024–25 season.Mills session: 42,700 balesTraders session: 15,300 bales04 September 2025 :A total of 62,700 bales were sold from the 2024–25 season.Mills session : 11.900 balesTraders session : 50,800 bales05 September 2025 :The week concluded with sales of 21,700 bales.Mills session: 10,200 balesTraders session: 11,500 balesWeekly Total:CCI achieved total sales of approximately 4,99,400 bales for the week, underscoring its strong market engagement and the growing efficiency of its digital transaction platform.read more :- Two demands of GST fulfilled, relief expected: Cotton Association
Two out of three GST demands met, more relief expected: Cotton Association of India.Atul Ganatra, President of the Cotton Association of India, welcomed the goods and services tax (GST) cut and said it addressed long-standing industry concerns. “It was a long-standing demand pending from the industry, and it has been fulfilled,” he said.He explained that out of the three key demands made by the association, two have already been met. “Import duty to be removed - that has been done. Cotton Corporation of India (CCI), in the last 15 days, has cut 5% rate, almost ₹2,500 per candy. So out of the three demands, two have been fulfilled,” he said.Ganatra added that export incentives for yarn and cloth to the US remain pending. He said, “We feel that within another two weeks of time, we will have further relief from the government. We feel that an incentive will be given, and also CCI may reduce the further rate of cotton.”Dinesh Nolkha, Chairman and MD of Nitin Spinners, said the GST changes will help resolve the inverted duty structure that had created pressure for man-made fibre producers. “With this change, they can pass on the duty immediately, and their working capital flows are improved a bit,” he said, though he added there is no change in industry margins.Both industry leaders agreed that tariffs on exports to the US continue to hurt demand. Ganatra said, “Export to the USA has come down, and we may see coming months also the figures will come down, because I have heard that USA buyers are asking big discount, 30-35% which is not possible for an Indian exporter to give.” read more :- Rupee fell 16 paise to close at 88.26 against dollar
On friday, the Indian rupee fell by 16 paisa to close at 88.26 per dollar, while it had opened at 88.10 in the morning.At close, the Sensex was down 7.25 points or 0.01 percent at 80,710.76, and the Nifty was up 6.70 points or 0.03 percent at 24,741.00. About 2081 shares advanced, 1828 shares declined, and 152 shares unchanged.read more :- Gujarat: Relief package on cotton crop loss, applications started
*Gujarat: Agricultural relief package announced for cotton crop damage, online application started*The government has announced an agricultural relief package for the damage to cotton crops in Mahuva, Sihor, Ghogha, Umrala talukas of Bhavnagar. Assistance will be provided up to 2 hectares and applications can be made from 02/09/2025.During October-2024, agriculture was severely affected due to the adverse rainfall conditions in Bhavnagar district. Especially in the rural areas of Mahuva, Sihor, Ghogha and Umrala talukas, the cotton crop has suffered heavy damage. The state government has included the villages of these four talukas in the ‘Agricultural Relief Package’. This assistance will prove to be a blessing for the farmers, especially for the damage to the cotton crop.The government has announced “Agricultural Relief Package (Cotton) October-2024” to compensate for the damage to the crop due to heavy rains in October-2024. Which includes Mahuva, Sihor, Ghogha and Umrala talukas of Bhavnagar district. Under this package, assistance will be available up to a limit of 2 hectares. Only one beneficiary is eligible for assistance in one account. To get the benefit of this package, farmers will have to apply online through VCE at Gram Panchayat on Digital Gujarat Portal from 02/09/2025 to 15 days.Farmers will not have to pay any fee to apply. At the time of applying online, farmers will have to submit these supporting documents1) Up-to-date copy of village sample no. 7-12 and 8-A.2) If there is no record of cotton crop cultivation in village sample no. 12 in October 2024, then Talati cum Minister's (Digital Coop Survey DSC) based cultivation pattern will have to be submitted.3) Copy of Aadhaar card.4) Copy of bank passbook/cancelled cheque (with IFSC code) will be required.5) In case of joint account holder, consent form of account holders other than the applicant farmer or in the absence of other farmer account holders, confession of the applicant farmer is required.6) In case of death of a farmer account holder, a firm name will have to be submitted by the heirs. Any one of the heirs in the firm name can submit an affidavit of consent of the other heirs in the firm name and other account holders of that account to get assistance.7) The benefit of this relief package will not be available to government, cooperative or institutional (trust) land holders.8) Assistance is available only once per Aadhaar number under this package.read more:- INR Opens Stronger by 5 Paise at 88.10
Indian rupee opens 5 paise higher at 88.10/USD as Dollar Index easesThe Indian rupee opened 5 paise higher at 88.10 on September 5 after the dollar index eased on rising bets on a rate cut by the US Federal Reserve, compared to the previous close of 88.15 against the greenback.read more :- Maharashtra: Increasing outbreak of thrips disease in cotton crops
Maharashtra: Thrips disease outbreak on cotton crops increasedFarmers are worried due to the outbreak of various diseases on cotton crops sown in 40 thousand hectares in Bhokardan taluka. Farmers consider cotton as a cash crop. However, every year cotton crops are in danger due to the outbreak of various diseases. This is likely to reduce production, which is affecting the farmers.Cotton plants are dying in large numbers due to the outbreak of thrips disease on cotton crops at the beginning of this season. In such a situation, the question has arisen before the farmers that how to increase the cotton crop. Farmers have spent a lot on expensive seeds as well as cultivation and medicines. Similarly, now, since the outbreak of thrips disease is increasing in cotton plants, the cost of the crop will have to be borne by the farmers. This will cause huge financial losses to the farmers, and farmers fear that the Kharif season will be ruined.After a few days of continuous rain, the infestation of thrips and insect diseases on crops has increased significantly, which is expected to increase cotton production. After heavy rains, the roots are not able to absorb nutrients due to waterlogging in the fields. Due to clouds, it is becoming difficult for them to get sunlight and when the sun suddenly sets, the infestation of fungal diseases is increasing. Due to this disease, the leaves have turned yellow and the leaves have become brittle, and the Kokda disease is more visible during the flowering period.Demand for guidanceDue to the outbreak of various diseases on cotton crops, farmers have to spray expensive medicines to control the diseases. Still, the infestation of the disease seems to be decreasing. Guidance is being sought for farmers from the Department of Agriculture.read more :- Cotton sold for Rs. 3805, 18 vehicles arrived in Muhurat sale
Cotton sold for up to Rs 3805 on the first day: 18 vehicles arrived in the Muhurat purchase; MLA said - arrival will increase after the rainKhargoneThe purchase of the new season was started in Khargone's cotton market on Thursday. The program was started with worship in the presence of MLA Balkrishna Patidar. Mandi Secretary Sharmila Ninama and Mandi representative Manjit Singh Chawla were also present on this occasion.On the first day, cotton arrived in the market in 18 vehicles. Businessman Mannalal Jaiswal bought Ashwin Dangi's first consignment at the highest price of Rs 9121 per quintal. The minimum price on this day was Rs 3805 per quintal.MLA Patidar said that currently the rainy season is going on. Arrival will increase after the rain stops. There is a possibility of increase in prices when good quality cotton arrives.According to the Mandi Secretary, farmers seemed satisfied with the initial price. Traders indicated that purchases may be affected due to approval of export to America. He also said that there is little possibility of getting prices above the support price.read more :- Rupee fell 07 paise to close at 88.15
The Indian rupee on thursday lower 07 paise to close at 88.15 per dollar, while it opened at 88.08 in the morning.At close, the Sensex was up 150.30 or 0.19 percent at 80,718.01 and the Nifty was up 19.25 points or 0.08 percent at 24,734.30.read more :- Impact of US tariffs, India buys record cotton
India set for record cotton buying as imports, US tariffs hit pricesNEW DELHI : India is expected to purchase a record volume of cotton from farmers in the upcoming season, as domestic prices face pressure from cheaper imports and weakening demand following hefty U.S. tariffs on textile exports, industry officials told .Cotton consumption in the world’s second-largest producer has slowed, with exporters reporting a sharp decline in orders from the United States, which accounts for nearly 29% of India’s $38 billion in annual textile exports.“Demand has slowed down, and that’s hurting the industry. In this kind of market, farmers are unlikely to get the promised support price for their cotton,” Atul Ganatra, president of the Cotton Association of India, told .The government will have to step in and buy a record amount of cotton – maybe around 14 million bales, Ganatra said.India has raised the price at which it will buy new-season cotton from domestic farmers by 7.8% to 8,110 rupees per 100 kg, but local market prices are hovering around 7,000 rupees.Prices are expected to come under pressure from next month due to rising supplies from the new season’s crop and the arrival of cheaper imported cotton, said Pradeep Jain, a ginner based in Jalgaon in the western state of Maharashtra.Last week, India extended an import duty exemption on cotton by three months, until the end of December.Farmers usually sell their crop to the state-run Cotton Corporation of India (CCI) whenever prices fall below the government-set floor price.In the 2024/25 marketing year, which ends this month, CCI spent a record 374.36 billion rupees to buy 10 million bales from farmers.“There is no limit or target for buying cotton from farmers in the new season. We will buy the entire quantity that farmers bring to CCI,” Lalit Kumar Gupta, managing director of CCI told .The CCI is planning to increase the number of procurement centres by 10% to 550 in the new season and has the capacity to purchase more than 20 million bales, Gupta said.In December quarter, India could import more than 2 million bales, said a New Delhi-based dealer with a global trade house.“Imported cotton is not only cheaper but also better in quality. So, textile mills will be busy using it even when local supply is at its peak, which will push down domestic prices,” the dealer said.read more :- Rupee open Falls 01 Paise to 88.08/USD
Rupee opens marginally lower at 88.08/USD post GST rate overhaulThe local currency opened at 88.08 against the US dollar, compared with 88.07 against the greenback at the previous close.read more :- Cotton Market Update: Domestic and Global Trends
Cotton Market Weekly: Domestic Trends & Global MovesDomestic MarketsShankar-6 eased ₹100 to ₹55,300/candy as muted demand, thin export parity, and steady arrivals kept mills cautious. CAI reported daily arrivals at 7,400 bales (cumulative: 3.04 crore bales). CCI sold 6,900 bales on Friday.South India’s yarn market stayed weak under higher U.S. tariffs, with Tirupur seeing negligible trades. Mills may cut rates further next month as India’s $10.8 bn U.S. textile exports face up to 63.9% duties, pressuring hubs like Tirupur, Noida, Ludhiana, and Bengaluru.India extended duty-free cotton imports till Dec 2025, easing mill costs but raising procurement pressure on CCI beyond its 99 lakh bale target. Overall sentiment remains negative for domestic prices.International MarketsICE cotton futures fell, weighed by a stronger dollar and soft grain markets. Lower oil prices, making polyester cheaper, also capped cotton.WTI crude slipped 0.9% to $64/bbl amid weak U.S. demand and OPEC+ supply outlook. Cotton’s narrow 65.50–68.50c range signals possible downside below 65.50c.USDA reported net cotton sales of 179,300 RB (2025/26) and exports of 112,700 RB, with commitments down 23% YoY at 30% of USDA’s target.CFTC’s On-call report flagged downside risk: the record 2.3:1 purchase-to-sales ratio suggests any futures rebound may trigger farmer fixation, amplifying selling pressure.read more :- Indian Rupee higher 09 Paisa, Ends at 88.07 per Dollar
The Indian rupee on wednesday higher 09 paise to close at 88.07 per dollar, while it opened at 88.16 in the morning.The Sensex closed the day with a gain of 409.83 points, or 0.51 per cent, at 80,567.71, while the Nifty 50 rose 135 points, or 0.55 per cent, to settle at 24,715.05. The BSE Midcap index rose 0.63 per cent, while the Smallcap index jumped 0.90 per cent.read more :- Giriraj Singh reviews cotton MSP preparations for Kharif 2025-26
Union Minister Shri Giriraj Singh reviews preparations for Cotton MSP operations for Kharif Season 2025-26Criteria for procurement centre operations notified for the first time: Record 550 centres proposed in major cotton producing states. Nationwide self-registration by farmers and slot booking through ‘Kapas-Kisan’ mobile app to commence this seasonUnion Textiles Minister Shri Giriraj Singh chaired a high-level review meeting in New Delhi on 2nd September 2025. The meeting was attended by Smt. Neelam Shami Rao, Secretary, Ministry of Textiles, Smt. Padmini Singla, Joint Secretary (Fibres), Shri Lalit Kumar Gupta, CMD, Cotton Corporation of India (CCI) and other senior officers of the Ministry of Textiles and Cotton Corporation of India. The objective of the meeting was to assess the preparedness for Minimum Support Price (MSP) operations for cotton during the ensuing Kharif marketing season 2025-26 commencing from 1st October 2025.Shri Giriraj Singh reiterated the Government’s commitment to the welfare of cotton farmers and assured that all cotton procurement falling under MSP guidelines will be done without any disruptions and with focus on timely, transparent and farmer-centric service delivery. He expressed his commitment to safeguard the interests of cotton farmers by ensuring remunerative prices for their produce and accelerate the transition to a digitally empowered system.The Union Minister said that in line with the Government’s Digital India vision, all processes from procurement of cotton by Cotton Corporation of India (CCI) to sale of stocks under MSP operations are now completely faceless and paperless thereby strengthening the trust and confidence of farmers and other stakeholders in MSP operations.For the first time, uniform criteria have been laid down for setting up of procurement centres, taking into account key parameters such as area of cotton cultivation, availability of functional APMC yards and availability of at least one stock processing factory at the cotton procurement centre. As a result, a record 550 procurement centres have been set up in major cotton producing states. Procurement of cotton under MSP will commence from October 1 in northern states, October 15 in central states and October 21 in southern states, 2025.From this season, Aadhaar-based self-registration of cotton farmers and 7-day slot booking facility will be made available across the country through the newly launched 'Kapas-Kisan' mobile app. This digital platform aims to streamline procurement operations, ensure transparency and realise Aadhaar-based payments directly into farmers' bank accounts through the National Automated Clearing House (NACH). The SMS-based payment information service introduced last year will also continue.To enhance support at the ground level, Local Monitoring Committees (LMCs) will be constituted by the States in each APMC Mandi for immediate grievance redressal. Additionally, dedicated state-level helplines and a central CCI helpline will remain active throughout the procurement period. Deployment of adequate manpower, logistic support and other infrastructure will be ensured before the start of the cotton season.read more :- Textile relations with China strengthened after Modi visit
| title | Created At | Action |
|---|---|---|
| India's cotton crisis: From big exporter to net importer | 08-09-2025 18:40:02 | view |
| Modi-Trump increased cooperation | 06-09-2025 20:09:10 | view |
| Andhra Pradesh: Cotton farmers shocked by removal of import duty | 06-09-2025 18:36:39 | view |
| CCI made cotton cheaper, 77% sales through e-bidding | 06-09-2025 00:51:19 | view |
| Two demands of GST fulfilled, relief expected: Cotton Association | 05-09-2025 23:46:14 | view |
| Rupee fell 16 paise to close at 88.26 against dollar | 05-09-2025 22:45:15 | view |
| Gujarat: Relief package on cotton crop loss, applications started | 05-09-2025 18:25:28 | view |
| INR Opens Stronger by 5 Paise at 88.10 | 05-09-2025 17:23:43 | view |
| Maharashtra: Increasing outbreak of thrips disease in cotton crops | 04-09-2025 23:48:25 | view |
| Cotton sold for Rs. 3805, 18 vehicles arrived in Muhurat sale | 04-09-2025 23:34:30 | view |
| Rupee fell 07 paise to close at 88.15 | 04-09-2025 22:41:14 | view |
| Impact of US tariffs, India buys record cotton | 04-09-2025 21:23:16 | view |
| Rupee open Falls 01 Paise to 88.08/USD | 04-09-2025 17:39:43 | view |
| Cotton Market Update: Domestic and Global Trends | 04-09-2025 00:46:02 | view |
| Indian Rupee higher 09 Paisa, Ends at 88.07 per Dollar | 03-09-2025 22:47:41 | view |
| Giriraj Singh reviews cotton MSP preparations for Kharif 2025-26 | 03-09-2025 21:28:33 | view |
