Cotton prices decline with increase in global production, indicates Imea

Global cotton production for the 2025/26 crop was revised upward and is expected to reach 25.78 million tons of lint, according to the June estimate released by the United States Department of Agriculture (USDA). The data is from the newsletter of the Mato Grosso Institute of Agricultural Economics (Imea), which indicates an increase of 1.22% compared to the previous projection from May. According to the Imea newsletter, the increase in the estimate was driven by the expectation of expanded cultivation area in the United States. As a result, the North American country is expected to contribute significantly to the growth of global fiber supply. On the other hand, global consumption had a more modest increase of only 0.31% in monthly comparison, totaling 25.72 million tons. This mismatch between supply and demand resulted in an increase in global cotton end stocks, which rose 0.68% compared to the previous month and totaled 16.83 million tons. The prospect of greater product ...