White Gold of India

pic courtesy: ResearchGate

Cotton in India: A Comprehensive Analysis

A.    Historical Evolution

India's relationship with cotton spans millennia, with its roots deeply embedded in the ancient Indus Valley Civilization dating back to 3000 BCE. Archaeological evidence from this period demonstrates sophisticated cotton cultivation and textile production techniques. During the medieval period, India gained worldwide recognition for its flourishing handloom industry, particularly famous for producing exquisite muslins and calicoes that were highly sought after in global markets.

The colonial era brought significant changes to India's cotton landscape. British policies deliberately weakened the traditional handloom sector to promote British textile imports. However, this period also saw the establishment of modern textile mills, with the first mills being set up in Mumbai (1854) and Ahmedabad (1861). After independence, India's cotton policy shifted towards achieving self-reliance, with a particular emphasis on developing decentralized small-scale industries to protect traditional craftsmen and promote rural industrialization.

B.    Strategic Significance

1.     Global Position

Ø  India holds a commanding position in the global cotton industry. The country accounts for 39% of the world's cotton cultivation area, making it the largest cotton-growing nation. Its production of 323.11 lakh bales (2023-24) ranks second globally, contributing 24% to world cotton production. The crop's immense economic importance has earned it the moniker "White Gold" in India's agricultural landscape.

    2.     Socio-Economic Impact

Ø  Cotton plays a pivotal role in India's socio-economic fabric. The sector directly supports the livelihoods of approximately 6 million farmers, while an additional 40-50 million people depend on cotton-related industries for their income. The crop generates substantial foreign exchange earnings through exports of raw cotton, yarn, fabric, and finished goods. Notably, India's textile industry shows a higher dependence on cotton compared to global trends, with a 60:40 cotton to non-cotton ratio, whereas the global average stands at 30:70.

C.    Production Ecosystem

1.     Cultivation Requirements

Ø  Cotton cultivation in India requires specific environmental conditions for optimal growth. The crop thrives in hot, sunny climates with extended frost-free periods. India's diverse soil types support cotton cultivation across different regions. The northern regions benefit from deep alluvial soils, while central India's black clayey soils and southern India's mixed black-red soils provide suitable growing conditions. Currently, 67% of India's cotton is grown in rain-fed areas, with the remaining 33% under irrigation.

2.     Species Diversity

Ø  India holds a unique position as the only country in the world that cultivates all four species of cotton. These include the traditional Asian varieties (G. Arboreum and G. Herbaceum), the premium Egyptian cotton (G. Barbadense), and G. Hirsutum, which accounts for 90% of hybrid production and forms the foundation for Bt cotton (Bacillus Thuringiensis). This diversity allows India to produce a wide range of cotton qualities suitable for different textile applications.

3.     Geographical Distribution

Ø  Cotton cultivation in India follows a distinct zonal pattern. The northern zone, comprising Punjab, Haryana, and Rajasthan, benefits from well-developed irrigation systems. The central zone, including Gujarat, Maharashtra, and Madhya Pradesh, contains the largest cotton-growing area. The southern zone, encompassing Telangana, Andhra Pradesh, and Karnataka, contributes significantly to production, while Odisha and Tamil Nadu represent important secondary growing regions.

D.    Production Trends and Challenges

1.     Growth Phase (2000-2014)

Ø  The introduction of Bt technology marked a transformative period in India's cotton production. During this phase, lint yields doubled from 278 kg per hectare to 566 kg per hectare. This dramatic increase was accompanied by enhanced production of valuable by-products such as cottonseed oil and cake, strengthening the economic viability of cotton farming.

2.     Decline Phase (Post-2014)

Ø  The emergence of the pink bollworm (PBW) posed a significant challenge to cotton production after 2014. This pest developed resistance to Bt cotton due to its monophagous nature, focusing primarily on cotton plants. The spread of PBW across major cotton-growing states, including Punjab, Gujarat, Maharashtra, and Telangana, has necessitated new pest management strategies.

E.    Government Initiatives

1.     Kasturi Cotton Bharat Programme

Ø  Launched for the period 2022-23 to 2024-25 with a budget of Rs. 30 crore, this flagship program aims to establish Indian cotton as a premium global brand. The initiative incorporates modern technologies such as QR-based certification and blockchain integration for ensuring traceability. Quality standards focus on specific fibre lengths, and the program has successfully onboarded 379 units across the cotton value chain.

2.     Extra Long Staple (ELS) Cotton Development

Ø  This specialized program, operating with a budget of Rs. 41.87 crore, focuses on enhancing India's premium cotton production. Covering 15,358 hectares across eight states, the initiative implements innovative approaches such as High-Density Planting Systems. The program operates through public-private partnerships and provides direct benefit transfers to farmers for technology adoption.

3.     PM MITRA Parks Scheme

Ø  With an outlay of Rs. 4,445 crore extending until 2027-28, this scheme aims to develop world-class textile infrastructure. The program anticipates attracting investments worth Rs. 70,000 crore and generating employment for 20 lakh people through direct and indirect opportunities.

4.     Minimum Support Price (MSP) Mechanism

Ø  The Cotton Corporation of India (CCI) implements the MSP mechanism based on the cost of production (A2+FL) multiplied by 1.5. The system recognizes different quality parameters, with medium staple measuring 24.5-25.5 mm in length and long staple measuring 29.5-30.5 mm. This differentiation ensures appropriate price support for varying cotton qualities.

F.     Current Challenges

1.     Production Challenges

Ø  Indian cotton faces several production-related challenges. Price volatility creates uncertainty for farmers, while inconsistent quality and pest problems affect market acceptance. India's productivity at 441 kg/ha ranks 33rd globally, indicating significant room for improvement through better agricultural practices and technology adoption.

2.     Infrastructure and Market Challenges

Ø  The sector struggles with outdated machinery, particularly in small-scale processing units. High power costs and logistical challenges reduce competitiveness. Additionally, India faces strong competition from countries like Bangladesh and Vietnam, which often offer lower-cost textile products. Meeting international standards and implementing sustainable practices have become crucial for maintaining market position.

3.     Future Prospects

Ø  The technical textiles segment shows promising growth potential, with projections reaching $300 billion by 2047. This growth is particularly evident in healthcare and automotive sectors. The industry is gradually moving towards sustainable development through organic cotton production and circular economy practices. Digital transformation and Industry 4.0 adoption are expected to modernize operations and enhance productivity.

Cotton continues to be a cornerstone of India's agricultural and industrial development. The sector's success requires balancing traditional strengths with modern challenges through technological advancement and sustainable practices. Government initiatives, coupled with industry efforts, are crucial for maintaining India's competitive edge in the global cotton market while ensuring farmer welfare and environmental sustainability.