Punjab Offers 33% Seed Subsidy To Revive Cotton Acreage

Punjab has rolled out a 33% subsidy on indigenous and Bt cotton seeds to encourage farmers to return to cotton cultivation, which has witnessed a prolonged decline. The benefit will be limited to seed varieties approved by Punjab Agricultural University and will be applicable for up to five acres per farmer. Applications will be accepted online from April 20 to May 31.
The initiative comes against the backdrop of a sharp fall in cotton acreage in the state from nearly 7 lakh hectares in the 1980s to about 1 lakh hectares in 2024, driven by recurring pest attacks, erratic weather and prices often failing to match the Minimum Support Price (MSP). While the area saw a modest recovery to 1.19 lakh hectares in 2025, the state has set a higher target of 1.26 lakh hectares for the current season.
In parallel with the subsidy, the state government is pushing for improved farm practices to enhance productivity. Agricultural experts have highlighted the importance of timely availability of quality seeds, increased adoption of Bt cotton, proper pre-sowing irrigation, and balanced fertiliser use. Extension efforts are also being strengthened to promote practices such as timely sowing, deep ploughing, and better crop residue management to tackle pest-related challenges.
Despite these efforts, farmers remain wary. In key cotton-growing regions such as Bathinda, concerns over unstable yields and frequent pest infestations including pink bollworm and whitefly, continue to influence crop choices. Many growers are seeking greater assurance on returns before committing more land to cotton.
The steady shift towards paddy cultivation, supported by better irrigation facilities and more predictable returns, has also contributed to the decline in cotton area. While the subsidy is expected to ease initial input costs, a sustained revival in cotton cultivation will depend on effective pest management, timely input supply and market prices that ensure profitability.
The state government is banking on a mix of financial support and improved agronomic practices to stabilise cotton acreage and revive its status as a key crop in Punjab’s agricultural landscape.












