The price of cotton in India has risen by 40 per cent over the past six months, according to a survey by The Times Of India.
It has become cheaper to buy cotton than it was a year ago, when the market was flooded with cotton from neighbouring states.
In a year that saw the price of a kilo of cotton fall by more than 50 per cent, farmers in the north of India are getting more profit from their cotton crop than they did in the previous year.
The increase in cotton prices is largely due to a fall in production of the crop from a year earlier, which is why farmers are using cheaper fertilisers and pesticides.
It also means that farmers are buying more seeds.
The average price of the average cotton acre in India fell from ₹2,700 in February to ₳1,600 a month earlier, while the average price for a kilogram of cotton fell by over 40 per 100 kg.
This is because of a fall of about 25 per cent in cotton yield, according the survey conducted by the Times of India.
The survey found that about two-thirds of farmers in Bihar, Uttar Pradesh and Gujarat are using cheap fertilisers, while about a third of farmers are farming with chemical fertilisers.
The survey said farmers in Maharashtra are getting the highest price for cotton from other states.
“The situation is quite different in the northern states like Odisha, Assam, Rajasthan and Tamil Nadu.
Farmers in the states of West Bengal, Punjab, Haryana, Gujarat, Maharashtra and Odisha are getting much higher price,” said Prakash Goyal, co-author of the survey.
Goyal said that the market price of Indian cotton was just a fraction of the price that it was in 2015, when it was cheaper to purchase the crop.
The country is currently experiencing a major crisis in the cotton industry, with the market experiencing an unprecedented surge in the number of farmers facing difficulties in the farming sector.
This has led to a huge spike in the price for the crop, leading to farmers facing the worst of the crisis.
According to the survey, a kilos of cotton cost about ₾3,500 a kilowatt-hour, while a kiloton of cotton costs about №6,000 a kilawatt-hours.
The farmers are getting an additional ₂300 per kilowatthour, or ₿1,000, from their farming expenses.