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The Government of India established the erstwhile Indian Central Cotton Committee (ICCC) in 1921 and the Committee started its functioning in the same year. The Committee was supposed to look after the Cotton Production, Trade, Marketing, Research and Development Activities etc. The Committee did a remarkable work in these fields during the period of 45 years (1921 to 1966). But during April, 1966, the Committee was abolished and the research work was transferred to the Indian Council of Agricultural Research (ICAR), while cotton production and developmental activities were retained under the Ministry of Agriculture by Government of India. After abolition of the Committee, the Directorate of Cotton Development, Mumbai, a subordinate office under the Ministry of Agriculture, Department of Agriculture and Cooperation was set up by the Government of India in April, 1966 for continuing and intensifying development, monitoring the progress of cotton programmes and schemes and other related activities on all aspects of cotton. However, the Directorate of Cotton Development, Mumbai, had been reorganised in June, 1995, and the reorganised set up came into effect from June, 1996.
The Directorate of Cotton Development functioned at 2nd floor of Indian Mercantile Chambers Building, 14- Ramjibhai Kamani Marg, Ballard Estate, Mumbai 440001 from 1921 to 30.09.2014.  
The Directorate of Cotton Development had been shifted from Mumbai to Nagpur. It has been functioning at first floor of B - Wing   of Bhoomi Sarvekshan Bhavan, Nagpur since 01.10.2014.