India could see a cotton deficit or 2.5 million bullets this year, a gap that could be bridge with an increase in imports. | Photo credit: Nagara Gopal
The highland cotton exports of the United States have increased in recent months, fueled by world tariff conflicts, reducing US prices and the increase in demand in the country in southern Asia, industry experts said.
Exports to India from February to April jumped to 155,260 execution bullets, from 25,901 shipping duration a period of one year ago, chrowing the data of the United States Department of Agriculture (USDA). Exports reached a maximum of more than 2-1/2 years in the week of February 20.
The increase occurs as Washington-Beijing commercial tensions increase, reducing US cotton exports to China. China will impose 125 percent tariffs on US assets, above 84 percent announced above, the Ministry of Finance said on Friday.
With these rates and a fall in China’s demand, highland cotton cultivated in Texas and other regions is now finding a market in India, according to Ajay Kedia, director of Kedia advisors.
At the same time, exports to China are expected to decrease, said Justin Cardwell, head of research and technology with an alternative option.
India is the second largest cotton producer in the world after China, as well as one of the largest cotton yarn processors and exporters in the world. However, the decrease in yields has recently converted into the country of a net exporter to a net importer of the fiber.
India mainly imports basic food cotton (Els) of the United States, benefiting from a 10 percent tax exemption, unlike Short Staphon, which has been an import tariff of 11 percent.
“The Cotton Els de USA. UU. It is still profitable for many Indian buyers due to its greater efficiency of generation, better lint performance and superior fiber quality,” Kedia said.
The Cotton Association of India (CAI) reduced its cotton production estimate this year in 250,000 bullets to 30.1 million bullets, marking a fall of 7.84 percent since the 2023-24 season.
Ice cotton futures have fallen almost 5 percent so far this year.
India could see a cotton deficit or 2.5 million bullets this year, a gap that could join an increase in imports, said YG Prasad, director of the Cotton Cotton Institute of Research.
India cotton imports are expected to be doubled due to the fall in production, according to the CAI. India also imports cotton from Australia, Brazil and Egypt.
Posted on April 17, 2025