India’s 2026/27 cotton production is forecast at 24.5 million 480-lb bales, with yields expected to fall 2% amid below-normal rainfall, while domestic mill use is raised to 26.2 million bales. | Photo Credit: AMIT DAVE

Following are selected highlights from a report issued ​by the U.S. Department of ‌Agriculture's Foreign Agricultural Service (FAS) post in ​New Delhi:

"India's 2026/27 (Oct-Sept) ⁠cotton production is forecast at 24.5 million 480-lb bales from 11.5 million ‌hectares. Yields are forecast 2% lower at 464 ‌kg per hectare due ‌to ⁠forecasts for below-normal rainfall through ⁠August–September, with western and central India at greatest risk of extended dry ​spells. Although the cumulative ‌monsoon deficit narrowed to 12% below normal by August 12, planting remains 2% behind ‌last year, while reservoir storage is ​at 60% of capacity."

"Domestic mill use forecast ⁠is raised to 26.2 million 480-lb bales, driven by textile and ‌apparel export orders. Higher minimum support prices and tighter crop prospects are expected to support firm lint prices, prompting mills to bridge fiber shortages ‌through higher imports using duty-free export mechanisms ​if the general tariff exemption expires after October 31. ⁠As a result, raw cotton ⁠exportable surplus will remain constrained as available fiber is ‌directed toward higher-value downstream manufacturing."

Published on August 28, 2026