India’s cotton consumption falls 2% in 2024-25 as mills prefer man-made fibres: CAI

India’s cotton consumption for the 2024-25 season ending September is projected at 307 lakh bales of 170 kg each, down around 2 per cent from last year’s 313 lakh bales, says the Cotton Association of India (CAI). The association has revised its earlier estimate downward by 8 lakh bales from 315 lakh bales.

Atul S Ganatra, CAI President, explains the decline is due to mills growing preference for man-made fibres like viscose and polyester, especially in South India. Labour shortages have also slowed spinning mill operations, further reducing cotton demand. Ganatra noted that mills receive better realisation for viscose around 98 per cent compared to 73-75 per cent for cotton, encouraging the shift.

CAI estimates the 2024-25 cotton crop size at 291.35 lakh bales. Total supply by April-end stood at 325.89 lakh bales, including 268.20 lakh bales of pressings, 27.50 lakh bales of imports, and 30.19 lakh bales of opening stocks. Consumption till April-end reached 185 lakh bales, with exports at 10 lakh bales.

Cotton stocks in April-end were estimated at 130.89 lakh bales, split between textile mills (35 lakh bales) and other holders including the Cotton Corporation of India (95.89 lakh bales). Imports for 2024-25 are projected at 33 lakh bales, up from last year, while exports are expected to fall to 15 lakh bales from 28.36 lakh bales previously. Carry-forward stocks for 2025-26 are estimated marginally higher at 32.54 lakh bales.