Data from National Supply Company (CONAB) show cotton area rising just 0.7 per cent to 2.1 million hectares, as reductions in the Centre-South are partly offset by expansion in the North and Northeast. Lower yields, forecast to fall 3.5 per cent, are expected to pull production down 2.9 per cent year on year to 3.96 million tons.
Domestic availability in 2025-26 is projected at 6.77 million tons, up 4.5 per cent, with exports forecast to rise nearly 4 per cent to 3.06 million tons. Domestic consumption is estimated at 730,000 tons, while ending stocks by December 2026 are seen at 2.98 million tons, more than 6 per cent higher than a year earlier, CEPEA said in its latest fortnightly report on the Brazilian cotton market.
Trade data from BBM indicate that, by January 6, 2026, contracts for the 2025-26 crop had already covered about 16 per cent of expected output, signalling continued strong forward selling by Brazilian producers.
ALCHEMPro News Desk (KD)
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