Fri, Mar 20,
Insights
Drewry's WCI rose 2.3 per cent to $2,172/FEU, marking a third weekly gain, driven by higher Transpacific rates.
Asia–Europe routes remained stable, while Shanghai–US rates increased up to 7 per cent.
Middle East tensions and rising fuel costs led carriers to impose surcharges, supporting freight rates, with further increases expected in the coming weeks.
US cotton export sales softened in the week ended March 12, after the previous week’s rebound, while shipments moderated from recent highs but remained above average levels, indicating continued execution of earlier contracts amid uneven global demand.
Net sales of Upland cotton for the 2025–26 marketing year totalled 196,700 RB, down 22 per cent from the previous week and 30 per cent below the prior four-week average. The decline suggests a temporary pause in fresh buying following the earlier surge.
Vietnam remained the largest buyer with 75,700 RB, followed by Turkiye (27,800 RB), India (12,700 RB), Costa Rica (11,500 RB), and Indonesia (11,100 RB). However, cancellations from markets such as South Korea and Pakistan, reflected some recalibration in demand.
Forward sales for the 2026–27 marketing year rose significantly to 122,200 RB, led by China (48,600 RB), Pakistan (22,000 RB), Vietnam (20,100 RB), Turkiye (17,600 RB), and South Korea (6,200 RB), indicating sustained interest in securing future supplies.
Export shipments of Upland cotton stood at 273,900 RB, down 26 per cent from the previous week but still 8 per cent above the four-week average. Vietnam continued to dominate shipments with 93,700 RB, followed by Pakistan, Turkiye, China, and Mexico.
Outstanding sales were around 4.05 million RB, while cumulative exports reached approximately 5.30 million RB, reflecting steady progress in shipment execution.
In the Pima segment, net sales edged up to 7,800 RB, though exports declined sharply to 5,200 RB, with India accounting for the majority of shipments.
Overall, the week reflected softer Upland sales and lower shipment volumes following the previous week’s peak, though strong forward bookings and steady cumulative exports underscore continued resilience in the global cotton trade.