India’s cotton imports forecast to hit record 60 lakh bales in 2025-26

The Cotton Association of India has raised its import forecast to 60 lakh bales of 170 kg each as mills use the June-October duty-free window. Higher imports could ease raw-material availability for textile and apparel makers while reshaping sourcing and inventory plans.

— Source publishedWed, 29 Jul, 2026, 22:31 IST·First seen Wed, 29 Jul, 2026, 22:38 IST·Source BL · Consumer & Economy

What happened

Cotton Association of India · India’s cotton imports are projected to reach a record 60 lakh bales in 2025-26 as textile mills use the June-October 11% duty

Key facts

  • Cotton import forecast: 60 lakh bales of 170 kg each
  • Forecast raised by 13 lakh bales from 47 lakh bales
  • Imports projected 19 lakh bales above previous year
  • Estimated imports arrived at Indian ports through end-June: 51 lakh bales
  • Additional imports expected by September-end: 10-15 lakh bales
  • Duty exemption: 11% for June-October
  • Cotton export estimate cut to 15 lakh bales from 18 lakh bales
  • Pressing estimate: 337 lakh bales, raised by 3 lakh bales
  • Cotton consumption estimate: 348 lakh bales, raised from 338 lakh bales
  • Total cotton supply estimate: 452.59 lakh bales versus 393.59 lakh bales last year

Why this matters

The import surge increases the strategic value of global cotton sourcing partnerships, logistics capabilities and vertically integrated textile suppliers serving Indian mills.

What to watch

  • Government decision on extension, expiration or modification of the June-October duty-free import window.
  • Landed imported-cotton price versus domestic Shankar-6 cotton, including INR/USD moves, freight and port costs.
  • Cotton Corporation of India procurement, domestic crop-arrival estimates and monsoon conditions affecting the next harvest.
  • Yarn and fabric price response, especially whether mill-level savings are transmitted to apparel vendors.
  • Order-book trends for Indian textile and apparel exports from the US and Europe.
  • Port throughput, shipment lead times and warehouse availability during the import surge.
  • Mill inventory levels and any slowdown in buying after the duty-free window closes.
  • Lock in cotton, yarn and fabric contracts for peak festive and spring-summer production while the duty exemption remains available.
  • Diversify sourcing across imported and domestic cotton to reduce exposure to policy reversal, port congestion and quality variation.
  • Increase use of forward purchase agreements and price-index clauses with mills to convert improved fiber availability into predictable garment costs.
  • Review inventory turns and working-capital limits, as accelerated cotton buying may shift financing pressure upstream to mills and fabric suppliers.
  • Use any cost relief selectively for margin restoration, promotional pricing or higher-quality cotton product assortments rather than assuming broad retail price cuts.

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