An increased number of farmers is likely to opt for cotton production, after benefiting from high prices last year. The industry players see an increase in the cotton acreage on expectation of better monsoon and sowing process, which has already started in some states.

“Cotton sowing has started in some north Indian states — Punjab, Haryana and Rajasthan. The trend this year looks better and cotton acreage and yield should rise,” said PD Patodia, former president, Cotton Association of India (CAI).

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The sowing has taken place in areas where water for irrigation is available.

“In Gujarat, areas such as Bharuch and central Gujarat as well as Saurasthra, have seen sowing of cotton. The acreage is estimated to increase by around 300,000 hectares in 2009-10,” said Arun Dalal, owner of Arun Dalal & Co, an Ahmedabad-based leading cotton trading firm.

Around 9.2 million hectares of land was brought under cotton cultivation in 2008-09. “Steep hike in minimum support price (MSP) of cotton resulted in better returns for farmers. In the wake of firm prices last financial year, there are possibilities that the cotton acreage in the country may jump to 9.5 million hectares in FY10,” said Kishor Shah of Central Gujarat Cotton Dealers Association (CGCDA).

Maharashtra and Andhra Pradesh may see a major shift to cotton production this year. “There was increased sowing of soybean in Maharashtra in the last financial year but farmers did not get returns as good as cotton farmers. The farmers in Maharashtra may shift to cotton this year. Same is the case with tobacco farmers in Andhra Pradesh,” Shah added.

It may be mentioned here that cotton production in FY09 is estimated to be lower at 290,000 bales as compared to 315,000 bales in FY08. However, industry players estimate a crop of 340,000 bales in FY10.

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