Cotton Imports Affected by Crisis in West Asia

26-Mar-2026 10:33 AM

Mumbai: The ongoing intense conflict involving Iran, Israel, and the United States in West Asia is beginning to disrupt India’s imports of cotton along with other commodities. As a result, domestic supply conditions are becoming tighter, leading to a firming trend in prices.

Although the government agency Cotton Corporation of India (CCI) holds large cotton stocks, most of it consists of medium staple cotton. However, the textile industry largely depends on imports of long-staple cotton from overseas.

Due to the limited availability and rising prices of high-quality cotton, domestic spinning units and textile mills may face operational challenges. This could also negatively impact India’s exports of cotton yarn, fabrics, and cotton garments.

The government has introduced special schemes to boost domestic cotton production, but significant results have not yet been seen. Cotton output has been declining, and during the current 2025–26 marketing season, domestic production is estimated to fall to around 29 million bales. Production has been declining for the past three seasons.

India imports high-quality cotton from several countries including the United States, Brazil, and South Africa.