The cotton industry was concentrated in Maharashtra and Gujarat because: 1. Raw material- Black soil, ideal for cotton, is present in the region. 2. Transport- Port facilities are easily accessible through land and water transport. 3. Climate- The region's moist climate and the temperature is ideal for cotton growth. 4. Market- Being a highly populated area, there is a big market to sell the products. 5. Labour-Cheap labour which is essential for production, is readily available.