Gujarat has been India’s leading cotton producing state owing to its abundant black soil. It sells nearly 120 lakh bales a year, two-thirds of this to Tamil Nadu. Hosiery yarn makers spin the sought-after Sankar 6 variety from Gujarat to make garments sold across the world, including top retailers such as Walmart and Macy’s in the US.

Sankar 6 is priced at Rs 34,000 to Rs 34,200 a candy. Gujarat cotton commands a premium over competing states because it requires fewer chemicals for dyeing, among other advantages. However, pink worm infestation in cotton crops and lack of water for irrigation have spoiled the quality of a huge quantity of cotton bales. This has made yarn manufacturers in Tamil Nadu look to overseas markets.

About 43 mills in the textile hub of Coimbatore and Tirupur are turning to West African nations to replace the supply from their decades-old source as they seek more meters of yarn per bale of cotton. They plan to procure cotton from countries like Mali, Ivory Coast and Burkina Faso.

One advantage is that imports can be booked in January, all the way up to June at a steady price from West African countries. This will provide a continuous supply of the same fiber at lower interest rates of around 2.5 per cent a year.