South American cotton production is forecast at a record 1.7 million tons in 2006/07, up 28% from last season. Production is expected to increase in Brazil to 1.4 million tons (+33%) and in Argentina to 177,000 tons (+35%) but is forecast stable or down in most other South American countries.
World cotton production is expected to remain stable at 25.4 million tons in 2007/08. World cotton consumption is forecast at 26.6 million tons in 2007/08, based on a continued but slower growth. Chinese mill use is expected to continue to drive world mill use and imports in 2007/08. Global cotton imports are projected to increase by 7% to 9.2 million tons in 2007/08, the second highest up to date after the record of 9.8 million tons in 2005/06.
World cotton ending stocks are forecast down by 3% to 11.6 million tons in 2006/07 and down by 7% to 10.7 million tons in 2007/08. Stocks are expected to decline more significantly in China (Mainland) than in the rest of the world in 2007/08.
* Season-average Cotlook A Index (U.S. cents per pound).
** Not a projection. Average for the first seven months of 2006/07 (August 1, 2006 to February 28, 2007).
*** The projection for 2007/08 is based on current estimates of supply and use.
The International Cotton Advisory Committee (ICAC) is an association of 42 governments of cotton producing and consuming countries.
International Cotton Advisory Committee, 2007-03-01