- Higher domestic cotton prices encourage farmers to expand sowing
- Normal monsoon forecast supports planting sentiment in key states
India’s cotton acreage is expected to increase by nearly 7% in the 2026-27 season as firm domestic prices and favourable monsoon forecasts improve farmer sentiment ahead of sowing. Industry estimates suggest cotton area could rise to around 13 million hectares from nearly 12.1 million hectares last season, signalling a recovery in planting intentions after weaker returns in recent years.
The acreage expansion is likely across Maharashtra, Gujarat, Telangana, and Madhya Pradesh, where growers are shifting back to cotton amid better price realisations and stable demand from spinning mills. Tight domestic supplies during the current season supported cotton prices and improved farmer confidence.
Monsoon remains key
The forecast of a normal monsoon is expected to support timely sowing and improve moisture availability across major rain-fed cotton regions. However, market participants continue to monitor risks from pink bollworm infestation, erratic rainfall, and rising input costs, which could impact yield prospects.
Supply outlook
Higher acreage may improve cotton availability and help stabilise domestic prices later in the season if weather conditions remain favourable. Traders said India’s export competitiveness remains under pressure from lower-priced Brazilian cotton and volatility in global markets.
Market participants expect domestic cotton prices to stay firm until fresh crop arrivals begin in the final quarter of 2026.
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