India is the largest producer of cotton, producing around 5.88 million metric ton in 2017. The cotton shipments from India, the world's biggest exporter after the United States, are expected to increase by 15.1% as compared to that of 2016.
As per our analysis, the world cotton stocks have remained stable at 18.5 million metric ton by the end of 2017-18. China’s cotton production rose by 5.2 million metric ton in 2017. Pakistan’s cotton production remained stable at around 2 million metric ton in 2017.
The Indian government has been taking a lot of initiatives with respect to the seed sector in general, and cotton seeds in particular. The main idea behind framing such policies has been to safeguard the interests of the various stakeholders involved in the value chain of the seed market in India. The latest regulation has been that of the Cotton Seeds (Price) Control Order, 2015, which was mainly implemented to bring uniformity in GM Bt. cotton seed prices across the Indian states, a uniformity that was previously non-existing.
The cotton value chain has various stakeholders in various phases of its production and these stakeholders are often unable to extract the most out of their product. According to our analysis, there is excessive price control, with the prices of raw cotton being highly supply-driven. There is high labor costs, amounting to 47% of the total cotton cultivation cost.
1.1 Market Definition
1.2 Key Findings of the Study
2. Research Scope & Methodology
2.1 Study Deliverables
2.2 Study Assumptions
2.3 Research Methodology
2.4 Research Phases
3. Market Overview
3.1 Supply Chain Analysis
3.1.1 Detailed Supply Chain Structure
3.1.2 Issues with Supply Chain Structure
3.2 Value Chain Analysis
3.2.1 Detailed Value Chain Structure
3.2.2 Issues with Value Chain Structure
4. Future of the Market
4.1 Industry Outlook