The global cotton market may see a spike in supplier easing

- Jun 24, 2019-

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First, global market supply is loose

Cotton stocks remain high in 2018/19

In 2018/19, global cotton acreage was lower than the previous year, and there was a slight decrease in global cotton production due to adverse weather during harvesting in major cotton producing countries.Global cotton production fell 1.07 million tons, or 4.32 percent, to 25.881,000 tons in 2018/19, according to the latest USDA global cotton supply and demand forecast for June.Under the background that global cotton consumption ends remain basically stable, ending stocks of cotton excluding China decreased by 0.56% year on year, but the total stocks are still near a 10-year high.Global cotton stocks are under greater pressure in 2019/20.

Global cotton production is expected to increase strongly in the New Year

Us cotton production is expected to increase inventory pressure

India's cotton supply is relatively loose

Brazil's cotton output continues to grow, spurring exports

Second, the domestic market has sufficient supply but weak demand

Cotton output increased slightly, the main production areas lint processing is basically completed

Cotton acreage is expected to decrease slightly in 2019

State cotton round out, high social inventory

Cotton imports increased markedly

Cotton textile enterprises operating rate decline, product inventory backlog

Global trade frictions affect the textile and apparel industries