US cotton sales hit season high as weekly demand rebounds: USDA

According to the weekly US cotton export sales report of the US Department of Agriculture (USDA), net Upland cotton sales for the 2025–26 marketing year surged to 339,700 running bales (RB), each weighing 226.8 kg (500 pounds), a marketing-year high. The volume was sharply higher than the previous week and 89 per cent above the prior four-week average, indicating renewed demand after recent caution.

Vietnam remained the largest buyer with net purchases of 127,400 RB, followed by China (57,200 RB) and Pakistan (48,000 RB). Other key buyers included Indonesia (25,200 RB) and Bangladesh (14,500 RB), reflecting sustained demand from Asian spinning centres. Forward sales for the 2026–27 season were relatively modest at 10,100 RB, mainly to Costa Rica, El Salvador and Pakistan, suggesting limited early coverage for next season.

Despite the sharp weekly rebound, outstanding Upland sales stood at 3.79 million RB, well below the 4.98 million RB recorded a year earlier, pointing to thinner forward order books compared with last season. In contrast, shipment activity remained resilient, with Upland exports reaching 156,100 RB, up 1 per cent week on week and 8 per cent above the four-week average.

Vietnam also led shipment volumes at 56,200 RB, followed by Pakistan (24,900 RB), China (18,200 RB), Turkiye (13,500 RB) and Indonesia (10,200 RB), underscoring steady execution of existing contracts even as new sales remain selective.

The Pima cotton segment showed a stronger upswing. Net Pima sales for 2025–26 climbed to 15,700 RB, a marketing-year high, driven mainly by demand from India (11,800 RB) and China (2,700 RB). Pima exports rose to 9,800 RB, marking a sharp improvement from the previous week and remaining well above the recent average.

Overall, the latest figures indicate that US cotton exports continue to be supported by solid shipment performance, while the rebound in weekly sales suggests renewed near-term buying interest. However, lighter outstanding sales compared with last year highlight that mills remain cautious about extending forward coverage amid price volatility and uncertain downstream demand.

ALCHEMPro News Desk (KUL)