1 Acre Cotton Project Cultivation Report in India: Production Cost and Profit

Cotton cultivation is an essential industry in India, as cotton is the country’s most important cash crop. Cotton and textile exports generate over Rs. 70,000 crores, a substantial portion of India’s foreign exchange earnings. India has made significant advances in cotton yarn exports. It has increased its market share in cotton textiles and apparel worldwide. India produces various cotton fibers with staple lengths spanning from 6 to 120 counts, including coarse, non-spinnable, medium, long, extra-long, and extra-fine cotton.

The rapid development of the Indian economy has led to increased demand for cotton, resulting in India having the world’s largest cotton cultivation area, which accounts for about 30 percent of the global cotton cultivation area. India has the greatest cotton-growing area in the world, comprising between 12.5 million and 13.5 million hectares, or approximately 41% of the global cotton-growing area.

1 Acre Cotton Project Cultivation Report in India

The domestic textile industry is one of the greatest industries in India and has experienced a phenomenal increase in installed spindle and yarn production over the past two decades. This expansion involves the implementation of open-ended rotors and the establishment of export-focused units. The Indian spinning industry has kept up with international technological developments. India has become one of the world’s greatest cotton consumers, accounting for approximately 22% of global cotton consumption.

1 Acre Cotton Project Cultivation Report in India

Market and Demand for Cotton Cultivation

India is one of the leading exporters and producers of cotton fibers. Cotton is an Annual crop harvested during a frost-free period with moderate precipitation and ample sunlight. It is resistant to salinity and drought, making it suitable for arid and semiarid regions. The extremely competitive prices of Indian cotton fibers on the global market have led to a rise in demand for cotton yarn and textile products, resulting in a rise in India’s domestic cotton consumption in the market year (MY) 2021-22.

Despite a decrease in cotton harvest and damage caused by excessive rainfall, it is anticipated that cotton production will increase due to high seed cotton prices. Farmers will leave the crop on the field longer to maximize price realization. Cotton imports have also increased due to cotton mills’ increased demand to fulfill export orders.

As the area under the Rabi crop increases in South India, cotton harvesting is expected to decline. Crushed cotton seeds produce cholesterol-free oil, extensively used in cooking, pharmaceuticals, cosmetics, personal care goods, and other industrial uses, such as plastics and polymers. Additionally, cotton seeds yield a high-protein meal to nourish livestock and poultry.

Best High Yielding Varieties for Cotton Cultivation 

  • RASI 773, RASI 776, ANKUR 555, BAYER 7172, BAYER 7272, US 51, US 71, US 81, US 91, NUZIVEEDU 9013, NUZIVEEDU BALWAN, and NUZIVEEDU RAGHAV are some of the finest cotton varieties in India.
  • Due to their high yield potential, resistance to sucking pests, and suitability for the regions of Haryana, Punjab, and Rajasthan, RASI 773 and RASI 776 are popular among farmers. 
  • ANKUR 555 is appropriate for irrigated agriculture and resistant to sucking insects. BAYER 7172 and BAYER 7272 are also favored due to their high production potential, boll load from bottom to top, and resistance to curl and whitefly.
  • US 51, US 71, US 81, and US 91 are hybrids with medium maturity, large boll diameters, and high yields. These plants are pest-tolerant and well-suited for medium to heavy soil in Haryana, Punjab, and Rajasthan regions. 
  • NUZIVEEDU 9013 has excellent yield potential, boll girth, and bollworm tolerance. NUZIVEEDU BALWAN and NUZIVEEDU RAGHAV are early cotton varieties resistant to numerous parasites and adapted to various agro-climatic conditions.

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Farmer Spraying Pesticides

Cost of Cultivation for 1-Acre Cotton Cultivation in India

Costs involved in cultivating one acre of irrigated cotton include land preparation, seeds, manure, pruning, irrigation, plant protection, and harvesting.

  • Land preparation is necessary for clearing and preparing the land for Cultivation. The estimated cost of land preparation per acre is Rs. 1500. 
  • The cost of seedlings and planting is estimated at 2000-3000 rupees, making it the next significant factor. The cost of seeds is a crucial investment for producers, as producing a high-yield cotton crop requires high-quality seeds.
  • Fertilizers and fertilization are also essential components of cotton cultivation. Fertilizer improves soil fertility and yields. The estimated cost of manures and manuring per acre is Rs. 3000-3500. 
  • After Cultivation and irrigation, weeding is another essential step for vegetation control and soil moisture maintenance. The estimated cost of weeding after Cultivation and irrigation is Rs. 2000-4000.
  • Plant protection against pests and diseases is a crucial factor in crop preservation. The estimated cost of plant protection per acre is 3,400-5500 rupees. 
  • The final estimate for harvesting and other Miscellionus costs is Rs. 3,000 per acre.
  • The estimated total cost of cultivating one acre of irrigated cotton in India is between Rs. 14,000 and Rs. 17,000.

Total Returns from 1 acre of Cotton Cultivation in India 

  • On average, cotton yield 8 to 16 quintals per acre. Cotton’s highest market price is 9000.00 INR/Quintal. The average is 7500.00 INR/Quintal in the market. 
  • One acre of cotton farming could Return 120,000 INR (16 quintals x 7500 INR/quintal) at an average price of 7500 INR per quintal. Minimum return: 60,000 INR (8 quintals x 7500/quintal).
  • The maximum return would be 144,000 INR (16 quintals x 9000 INR/quintal), and the lowest return would be 72,000 INR (8 quintals). 
  • It’s important to note that these prices are subject to market fluctuations and can vary based on various factors, including demand, supply, quality, and location.

Net Profit from 1 acre of Cotton Cultivation in India 

We can determine the net Profit from one acre of irrigated cotton cultivation in India by estimating the Total cost at Rs. 14,000–17,000 and the expected returns at 8–16 quintals per acre.

If an acre yields eight quintals at an average market price of 7500 INR/quintal, the total profits would be 60,000 INR.  After deducting cultivation costs (Rs. 15,500), the net return is Rs. 44,500. If the yield is 16 quintals per acre at the maximum market price of 9000 INR/quintal, the total returns are 144,000 INR. After subtracting cultivation costs (Rs. 16,500), the net return is Rs. 127,500.

Thus, one acre of cotton cultivation in India can net a profit of Rs. 44,500 to Rs. 127,500, based on yield and market prices. However, labor costs, quality, and market fluctuations can greatly affect net Profit.

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Cotton Field

Conclusion

In India, the cost of cultivating one acre of irrigated cotton is estimated to be between Rs. 14,000 and Rs. 17,000. The net Profit per acre varies from Rs. 43,000 to Rs. 86,000 at an average price of 7500 INR/quintal.

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