Cotton Surplus Stock Set to Hit 5-Year High
12-Sep-2025 10:50 AM
Mumbai. Although the domestic production of cotton declined significantly during the 2024-25 season as compared to the 2023-24 season, due to heavy imports from abroad and reduced exports from the country, the total outstanding surplus stock of cotton is estimated to increase to 60.59 lakh bales at the end of the current marketing season, which is 21.40 lakh bales more than the outstanding stock of 39.19 lakh bales of the previous season and the highest level in the last five years.
The marketing season of 2024-25 is going to end at the end of the current month, while the new marketing season will start from October 2025.
The president of the Cotton Association of India (CAI), a leading trade body, says that in the 2023-24 season, only 15 lakh bales of cotton were imported into the country, which is estimated to jump to 41 lakh bales (each bale of 170 kg) in the 2024-25 season.
The current estimated stock is the largest after about 120 lakh bales of 2020-21. In 2020-21, due to the corona epidemic, the domestic demand for cotton had weakened, due to which the stock had increased significantly.
The central government has announced to postpone the 11 percent import duty on cotton till 31 December 2025, which will help the textile industry in reducing cost expenses.
According to the association, about 20 lakh bales of cotton can be imported in the country in the first quarter of the next marketing season i.e. during October-December 2025.
The association had earlier estimated the import of 39 lakh bales of cotton in the current marketing season of 2024-25, but after the abolition of duty, it has now been increased by 2 lakh bales to 41 lakh bales. In 2023-24, 15.20 lakh bales of cotton were ordered, compared to which 25.80 lakh bales more cotton can be imported during 2024-25.
If the suspension of customs duty continues even after December 2025, then its import can increase even faster in the next marketing season.
It is understood that till 31 August 2025, 36.75 lakh bales of cotton had been imported in the country, while in September a little more than 4 lakh bales can be imported. This time there has been a decline in the domestic production area of cotton and in some places the crop has also been damaged by natural calamities.