Indian cotton textile industry is a very old industry. India is the second-largest cotton-producing country after China. Cotton is the major raw material of the Indian textile industry. Around 60% of the textile industry is covered by the Indian cotton production. Currently India is producing around 31 million bales per year.
The production of raw cotton in India is estimated to have reached 35.4 million bales in FY20. While that for yarn, the production stood at 4,762 million kgs during this same period. India is the third largest cotton product exporting country in the world.
The Top cotton-growing state of India are Maharashtra, Gujarat, Andhra Pradesh, and Telangana. They are collectively called the cotton basket area. Nearly 67% of the title cotton production of India comes from the cotton basket of India. India has the distinction of having the largest area under cotton cultivation which is about 41% of the world area under cotton cultivation between 12.5 million hectares to 13.0 million hectares.Industry Forecast
Cotton production is expected to reach 36.0 million bales and consumption is expected to reach 114 million bales in FY2, a 13% growth over the previous year.The Covid Effect
The covid pandemic and the following national and international lockdowns, the demand for cotton has reduced to about 11%. Major clothing brands that used to order cotton fabric from India have cancelled their orders. This has affected the cotton industry in India quite drastically. The Indian cotton industry is predicted to pick up the threads, once the internal constraints and logistic hindrances are lifted.