T Rajkumar, Chairman, Confederation of Indian Textile Industry (CITI), and Ravi Sam, Chairman, Southern India Mills' Association (SIMA), hope, the removal of import duty on cotton would help stabilize yarn prices from May. This year, India is estimated to have produced around 340 lakh cotton bales. However, spinners are expected to receive around 325 lakh only, say Rajkumar and Sam. They also fear production has declined by 45 lakh bales from previous year due to cancellation of export orders.

India's share in US bedlinen exports is estimated to have dropped from an average of 55 per cent in 2021 to 44.85 per cent in the month of January 2022 only. Meanwhile, Pakistan's share increased to 25.71 per cent while China’s surged to 19.37 per cent during the same period. This led to the industry demanding removal of import duty on cotton. Industry leaders are also encouraging farmers in other states including Tamil Nadu to cultivate extra-long staple cotton of 36 mm.