Global cotton stocks hit 13-year low on China decline: ICAC

ICAC estimated world cotton production at 25.43 million tonnes and consumption at 25.4 million tonnes.

Global cotton ending stocks for the recently concluded year decreased 3.8 per cent to 15.37 million tonnes, largely due to China’s ending stocks falling 9 per cent to 7.89 million tonnes. China’s reliance on existing reserves has reduced import demand, causing its cotton imports to decline sharply by 65 per cent to 1.1 million tonnes.

For 2025–26, China announced it will issue 200,000 tonnes of sliding tariff rate cotton import quotas to textile enterprises, the same as last year.

Outside China, stocks rose 2 per cent in the 2024–25 season. The US reported a 9 per cent increase in ending stocks to 817,000 tonnes due to weaker-than-expected export demand, while Brazil and West Africa also recorded higher stocks, reflecting favourable production conditions and slower shipment flows as per the report.

ICAC projected cotton prices to range between 63 cents and 97 cents per pound in 2025–26, with a midpoint of 77.6 cents.

ALCHEMPro News Desk (KUL)