Domestic cotton markets are witnessing a strong bull run driven by fears of lower production due to deficient rainfall and robust demand from spinning mills. Cotton prices have surged significantly by around Rs 3,000 to Rs 4,000 per candy over the past week, pushing the benchmark Shankar-6 variety in Gujarat to touch the Rs 68,000 per candy mark. Market sentiment has been further reinforced as farmers are holding back their produce in anticipation of even better realizations, restricting immediate floating supplies. Data shows that during the opening nine days of the new cotton season, cumulative arrivals across the country reached nearly 500,000 bales, with a daily arrival pace of about 78,000 bales. State-wise figures indicate arrivals of 17,000 bales from North India, 16,000 from Madhya Pradesh, 15,000 from Gujarat, 9,000 from Karnataka, 8,000 from Andhra Pradesh, 7,000 from Maharashtra, and 6,000 from Telangana. Additionally, a firm trend in December and March cotton futures on the Intercontinental Exchange (ICE) alongside the Cotton Corporation of India (CCI) raising its stock auction prices by Rs 500 per candy (356 kg) has bolstered domestic market sentiment. Spot market prices continue to benefit from persistent mill demand and constrained supply lines, with physical cotton trading at around Rs 9,700 per quintal in Raichur and roughly Rs 9,200 per quintal in Telangana. However, industry experts caution that as the pace of fresh crop arrivals picks up in upcoming weeks and global markets experience volatility, some price fluctuations are to be expected. For farmers, the current high-price environment offers a lucrative window, and adopting a staggered selling approach rather than liquidating stocks all at once can help optimize profits while mitigating risk. Meanwhile, traders and spinning mills should carefully monitor international ICE trends, CCI auction updates, and regional arrival flows to effectively navigate potential volatility and manage their inventory strategies.