Genetic divergence was studied among twenty germplasm lines of cotton (Gossypium hirsutum L.) by using Mahalanobis D² analysis. Analysis of variances for dispersion showed significant differences among the genotypes and these genotypes were grouped into two clusters. The cluster I consisted of nineteen genotypes, whereas cluster II has single genotype. Highest inter cluster distance observed among both clusters, while cluster I shown maximum intra cluster distance. Characters ginning outturn (26.84 %) contributed maximum towards genetic divergence followed by days to 50 percent flowering (23.68 %), average boll weight (g) (14.74 %), number of bolls per plant (13.68 %). Cluster I and II shown high cluster means for yield and yield components, therefore genotypes viz. GBHV170, SCS793, DHY286, AKH081, AKH081, PKV RAJAT, LRA5166 and ADB 542 of these diverse clusters may be used for further hybridization.