Cotton prices firm up amid expectations of lower production

Mumbai. Cotton production for the current 2026-27 marketing season is expected to decline due to a slight reduction in the area under cultivation, coupled with weather and rainfall conditions that have not been entirely favorable for the crop.

This outlook suggests that the trend of rising or firm prices is likely to persist. It is worth noting that the deadline for the duty-free import of cotton is set to expire on October 31, and the government has yet to issue any notification to extend it; this has created a psychological impact on the market. Meanwhile, cotton prices have begun to strengthen in the global market.

The area under cotton cultivation has seen a decline this season, both in the northern states and in Maharashtra. Drought conditions persist in Maharashtra and Karnataka, while Telangana has also experienced deficient rainfall. These factors have hindered the progress of the crop.