India’s Cotton Industry Crisis: Root Causes, Implications, and the Way Forward
India’s Cotton Industry Crisis.
India’s cotton industry is facing a serious crisis. Once a global leader, the country’s cotton production has dropped to a six-year low, with yields remaining stagnant. This decline is creating widespread problems for farmers, industries, and the economy. Farmers are struggling with poor harvests and financial losses, while the textile industry faces raw material shortages, threatening exports. The crisis highlights the urgent need to address its root causes, understand its impacts, and explore solutions to revive India’s cotton sector and safeguard its future.
Declining Production and Stagnating Yields
Cotton production in India is estimated to decline to 29.9 million bales in 2024-25, a sharp drop from the record 39 million bales in 2013-14. This decline stems from several key issues:
- Reduced Planting Area: Farmers are planting less cotton due to repeated crop failures. In 2024, the area under cotton cultivation fell by 8.7%, marking a 13% decline compared to the previous five-year average.
- Low Yields: India’s cotton yields average just 443 kg per hectare, almost half the global average of 815 kg per hectare. Countries like China and Brazil achieve yields 4-5 times higher.
- Pests and Climate Challenges: Pest attacks, such as those by pink bollworms, and adverse weather conditions, including high temperatures, have reduced seed germination and crop productivity.
Impact on Farmers and Crop Choices
India’s cotton crisis has hit farmers hard, threatening their livelihoods. Many farmers, like Gagandeep Singh from Haryana, have faced significant financial losses, with some losing up to ₹7 lakh due to poor yields and high pesticide expenses. These repeated failures have forced farmers to rethink their choices. Many are switching from cotton to water-intensive crops like rice, which may provide short-term relief but create long-term problems.
Growing rice requires much more water, leading to overuse of groundwater and worsening soil quality, making the land less productive over time. Moreover, due to constant setbacks, farmers are reducing the area dedicated to cotton cultivation, which further adds to the drop in production. This cycle of declining yields, financial strain, and shifting crops is creating a deeper crisis, not just for individual farmers but also for the overall agricultural landscape and the economy dependent on cotton.
Implications for the Textile Industry and Exports
India’s cotton crisis goes beyond the struggles of farmers; it deeply affects the textile industry and the nation’s export goals. Cotton is essential to India’s textile sector, contributing about one-third of all textile exports. The country has set a target of $100 billion in textile exports by 2030, but declining cotton production threatens this goal. With less cotton available, industries that rely on it are facing challenges. Many apparel manufacturers have shifted to using man-made fibres, which now account for 30% of raw materials, up from just 10% a few years ago. While synthetic fibres provide an alternative, cotton remains a preferred choice for many global markets.
If domestic cotton production continues to decline, India may have to import more cotton to meet the demand. This reliance on imports could increase costs for manufacturers and reduce India’s competitiveness in the global textile market. Exporting becomes harder when production is uncertain and costs rise. For a country where the textile industry provides millions of jobs, these challenges have far-reaching impacts. Addressing the cotton crisis is vital not only for farmers but also for safeguarding the future of India’s textile industry and maintaining its position in the international market.
Root Causes of the Crisis
- Technology Fatigue: India’s cotton sector has not seen significant technological advancements since the introduction of Bt cotton in 2002. Pests like the pink bollworm have developed resistance to the Bt gene, and outdated seed technologies have failed to improve yields.
- Regulatory Hurdles: The Cotton Seeds Price Control Order of 2015 fixed seed prices, discouraging innovation. Furthermore, delays in approving new technologies, such as herbicide-tolerant cotton, have hindered progress.
- Environmental and Climate Challenges: About 65% of India’s cotton is rainfed, making it vulnerable to erratic rainfall and poor soil fertility. Emerging diseases like boll rot have further reduced yields.
- Illegal Seed Usage: Unapproved herbicide-tolerant seeds are being planted on about 15% of India’s cotton area. While these seeds address weed management issues, their unregulated use raises concerns about long-term sustainability.
Comparative Analysis
India’s cotton production is much lower than other leading countries. On average, Indian farmers produce 443 kg of cotton per hectare, while farmers in China and Brazil grow between 1,772 and 2,215 kg per hectare. This gap shows that India needs to adopt better farming methods and technology.
Using advanced practices like machine planting, careful soil matching, and modern seeds can make a big difference. Approving better seed varieties, like herbicide-tolerant cotton, will help farmers fight pests and weeds more effectively. By improving these methods, India can increase cotton yields, reduce farmer struggles, and compete more strongly with other top cotton producers.
Proposed Solutions and Recommendations
To solve India’s cotton crisis, we need to focus on several important steps. First, new seed technologies like herbicide-tolerant GM cotton should be approved to help farmers fight pests and weeds. A technology mission should also be launched to encourage research in cotton farming. Second, the government should revise its policies by removing price controls on cotton seeds, making it easier for private companies to invest in new innovations.
Third, modern farming practices like using machines for planting and matching the right cotton plants to the right soil should be promoted to increase yields. Fourth, better irrigation systems need to be built to reduce dependence on rainfall, and farmers should be encouraged to rotate crops to keep the soil healthy and reduce pests. Fifth, a Cotton Development Board should be created to help solve industry challenges, and farmers should have access to crop insurance to protect against losses. Lastly, the use of illegal seeds should be stopped, and proper rules should ensure only high-quality seeds are sold. By following these steps, India can boost its cotton production, support farmers, and make the industry strong and sustainable.
Conclusion: A Path to Revival
The cotton crisis in India is a pressing issue that affects millions of farmers, the textile industry, and the economy at large. While the challenges are significant, they are not insurmountable. By embracing technological innovation, revising outdated policies, and adopting sustainable farming practices, India can restore its position as a global leader in cotton production. A holistic approach that balances the needs of farmers, the environment, and industry stakeholders will be crucial in navigating this crisis and securing a brighter future for India’s cotton sector.
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The Source’s Authority and Ownership of the Article is Claimed By THE STUDY IAS BY MANIKANT SINGH
