Mon. 4th May 2026
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Insights Global cotton production is forecast at 25.9 million tonnes in 2026-27, exceeding consumption of 25.2 million tonnes, ICAC mentioned in its latest monthly report. Trade may fall 2.7 per cent, while stocks rise 4 per cent to 17.9 million tonnes. China will remain the top producer and consumer, with Bangladesh leading imports. Prices are seen at 73-84 cents per pound. |
World cotton production in the 2026-27 season is projected at 25.9 million tonnes, surpassing global consumption of 25.2 million tonnes, according to the May 2026 issue of Cotton This Month by the International Cotton Advisory Committee (ICAC), authored by Parkhi Vats, Principal Statistician and Data Architect at ICAC.
The outlook suggests that both production and consumption will remain broadly in line with current season levels, while global cotton trade is expected to decline by 2.7 per cent to around 9.6–9.7 million tonnes.
Several key market drivers are influencing the global cotton scenario. Geopolitical tensions in the Middle East could disrupt fertiliser supply chains, potentially raising input costs for producers. At the same time, severe drought conditions in the United States are affecting major cotton-growing regions, increasing the risk of crop abandonment. Rising prices for synthetic fibres may enhance cotton’s competitiveness, while favourable growing conditions in China are expected to support strong yields.
China is projected to remain the world’s largest cotton producer, with output nearing 7 million tonnes, and the leading consumer, accounting for around 32 per cent of global usage.
In global trade, Brazil is expected to retain its position as the top exporter, followed by the United States and Australia. On the import side, Bangladesh is forecast to remain the largest importer at 1.8 million tonnes, followed by China, Vietnam, Pakistan and Türkiye.
World cotton ending stocks for 2026-27 are projected to increase by 4 per cent to 17.9 million tonnes, driven by higher production and increased imports, particularly by China.
Meanwhile, the ICAC Secretariat’s Cotlook A price forecast for the 2025-26 season is estimated in the range of 73 to 84 cents per pound, with a midpoint of 78 cents per pound, based on current supply and demand dynamics.