Export Sales for Cotton Dip on Higher Prices
Export sales for most commodities were higher for the week ending October 28, 2021, with the exception of cotton sales – which may be declining on the highest prices in 10 years.
cotton exports
Cotton Prices Soar Amid Increasing Global Export Demand
Over the past week, U.S. cotton prices have soared to the life of contract highs amid increasing global demand, a general reopening of the economy, and production challenges in key growing areas.
U.S. Cotton Industry Celebrates Another Large Export Crop
U.S. exports of cotton declined 3 percent in 2020 to $6 billion but remained the fifth-highest export value on record.
Agricultural Trade Deal With China Boosting Cotton Exports
As a result of large carryover sales from the 2019 crop year and increased purchases from China, U.S. export commitments and shipments of cotton have been very strong for the 2020 crop year.
China is Top Early Destination for U.S. Cotton
The top destination this marketing year for U.S. cotton is China, according to a recent CoBank quarterly report.
U.S. Supplies Almost One-Third of Chinese Cotton Imports
Slowly over the last two years, the U.S. cotton industry has increased it share of exports to China.
Smaller Crop and Increased Competition Ahead for Cotton
USDA’s Economic Research Service is projecting FY 2021 cotton exports to fall to $5 billion, down $400 million from 2020 due to a shorter domestic crop and increased foreign competition.