Domestic revolt in the country has adversely affected cotton markets around the world.
This disturbance in the fifth largest cotton importer of the US, has forced New York traders to decline cotton prices anticipating a much lower demand from Thailand.
December contract prices are quoted at 51.63 cents per pound representing a plunge of 3.5 percent or 1.85 cents, record slump since February.
Daily trade prices dropped significantly to 51.57 cents per pound.
Recent drought in the US has added to the plight of traders as the reported drop in production is over 15 percent with a decrease of around 20.345 million bales compared to last year's 23.89 million 480 pound-bales.
Studies reveal that cotton stocks are expected to shrink to 46.7 million bales by July 2007 as against 52.2 million during the same month this year.
World output is likely to reach 114.9 million bales next year, much lower than the forecast of 115.6 million last month.
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