Cotton output of the state of Andhra Pradesh is expected to grow up over 30 percent this year as many farmers in the state are cultivating cotton. Last season, 1.3 million hectors of land was brought under cotton cultivation which produced 5.8 million bales (1 bale = over 170 kg of cotton), while this year, the area is expected to increase up to 1.7 million hectares and cotton output to seven to eight million bales.
Farmers producing commercial crops like chillies, maize and pulses have shifted to cotton cultivation due to the demand growth in both domestic and international cotton markets, along with being able to generate lucrative prices.
Cotton prices, which were ruling at Rs 3,500 per quintal in the state last year, went up to Rs 4,000 per quintal in August 2010, and is estimated to increase further to Rs 5,000 per quintal by September, the end of this season.
The two adjoining countries, Pakistan and China, will also be heavily depending completely on India for imports as cotton crops in both the countries, have been damaged due to floods.
In Guntur, which is the cotton hub of the state, cotton crop was sown on around 170,000 hectares by the end of June and it is expected to exceed 200,000 hectares by this month. Last year, this crop was cultivated on around 150,000 hectares.
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