The latest U.S. Department of Agriculture (USDA) cotton forecast for 2006/07 indicates that world cotton production will increase from 2005/06's 114.3 million bales to this season's projection of 115.6 million.
United States Department of Agriculture Economic Research Service (USDA ERS) announces that however, global cotton consumption is expected to exceed production again in 2006/07, pushing global ending stocks lower for a second consecutive season.
Although the U.S. cotton crop is projected to fall 14 percent from last season's record, China and the rest of the world are expected to more than offset the decrease in the United States, the second-largest producer.
China's crop is expected to rise 5 percent to 27.5 million bales and account for nearly 24 percent of the global output, slightly below the average of the previous 5 years.
Meanwhile, the U.S. share is expected to decline to 18 percent, compared with the 5-year average of 20 percent. As a result, the rest of the world is expected to contribute nearly 59 percent of global production, a record.
United States Department of Agriculture Economic Research Service
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