India's Cotton Crisis: Economic and Agricultural Challenges

1. Production Decline: India's cotton output dropped from 398 lakh bales in 2013-14 to 294 lakh bales in 2024-25, the lowest since 2008-09.
2. Pink Bollworm Impact: The pink bollworm pest has reduced production by 25% over the past decade, feeding on cotton seeds and lint, causing yield loss and quality degradation.
3. Export-Import Shift: India has turned from a major exporter (117 lakh bales in 2013-14) to a net importer, with imports at 30 lakh bales and exports at 17 lakh bales in 2024-25.
4. Bt Cotton History: Genetically modified Bt cotton boosted production from 136 lakh bales in 2002-03 to 398 lakh bales in 2013-14, but its effectiveness waned as pests adapted.
5. Pest Resistance: By 2014, pink bollworm developed resistance to Bt toxins (cry1Ac and cry2Ab), leading to yield drops from 566 kg/hectare in 2013-14 to 436-437 kg/hectare recently.
6. Regional Spread: The pest crossed economic threshold levels in central India by 2014, southern states by 2017, and northern states by 2021, affecting key cotton zones.
7. New GM Solutions: Seed companies like Rasi Seeds and Ankur Seeds have developed new GM cotton hybrids with cry1c and chimeric Bt genes to combat the pest.
8. Regulatory Hurdles: Delays in approving these new hybrids by the Genetic Engineering Appraisal Committee hinder their commercialization, prolonging the crisis.
9. Economic Fallout: Reduced cotton output impacts textile exports, facing lower U.S. duties (27%) compared to competitors like China (54%), yet losing market edge.
10. Policy Implications: The situation underscores the need for faster regulatory processes and innovative pest management to sustain India’s cotton economy.

Glossary

• Pink Bollworm: An insect pest that damages cotton bolls, reducing yield and lint quality.
• Bt Cotton: Genetically modified cotton with Bacillus thuringiensis genes to resist certain pests.
• Lakh Bales: A unit of cotton measurement; 1 lakh bale equals 170 kg.
• Economic Threshold Level: The pest population level where crop damage costs exceed control costs.
• Genetic Engineering Appraisal Committee (GEAC): India’s regulatory body for approving GM crops.

Link To The Original Article – https://indianexpress.com/article/explained/explained-economics/a-cotton-emergency-9928795/