Abstract: A field experiment was carried out to study the effect of alternate furrow-irrigation (AFI) on water consumption characteristics, yield and quality of seed cotton in the oasis region of downstream Shiyang River Basin of Gansu Province. In the early stages of cotton growth (squaring to flowering stages), diurnal crop water consumption under conventional furrow-irrigation (CFI)is higher than in AFI. In the late stages (bolling to open-boll stages), diurnal crop water consumption under AFI is higher than in CFI. Under the same irrigation pattern, AFI improves yield of total seed cotton and seed cotton yield before frost. When irrigation is 375m³·hm^-2 and 480 m3·hm^-2, seed cotton yield and water use efficiency (WUE) under AFI are significantly higher than in CFI. In the two years, the difference in percent lint between AFI and CFI is insignificant. In 2005, average fiber length under AFI is 2.6 mm longer than in CFI, with a significant difference when irrigation is 225 m³·hm^-2. In 2006, no significant difference exists between AFI and CFI in fiber length. This can be attributed to different precipitation events in the two years. It is concluded that AFI is a feasible method of cotton cultivation in the oasis of Shiyang River Basin. With no reductions in fiber quality, AFI increases both seed cotton yield and water use efficiency.